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Pay £0 rent Universal Credit

7 replies

mehhh322 · 11/03/2025 13:01

I am in the processes of moving out of my ex partners home and a friend has kindly let me live at a property they own rent free for the first few months until I get on my feet. I have looked into applying for Universal Credit but it asks if I am renting from a private landlord which I will be. Will it affect my UC payments if I am not paying anything at the beginning, will I still have to provide a tenancy agreement even though the payment will be £0. I won't be claiming the housing element side of things as I won't be paying anything.

OP posts:
ItsaMeMummio · 11/03/2025 13:03

mehhh322 · 11/03/2025 13:01

I am in the processes of moving out of my ex partners home and a friend has kindly let me live at a property they own rent free for the first few months until I get on my feet. I have looked into applying for Universal Credit but it asks if I am renting from a private landlord which I will be. Will it affect my UC payments if I am not paying anything at the beginning, will I still have to provide a tenancy agreement even though the payment will be £0. I won't be claiming the housing element side of things as I won't be paying anything.

You won't be renting though, will you? You'll be living there rent free, which isn't renting. So just tick "no".

If you go on to move into private rented accommodation, then you contact UC to add the housing element to your claim.

mehhh322 · 11/03/2025 13:05

I won't be renting at the beginning just living there rent free. But still paying council tax and utilities. I didn't know what information they would still need from me. I guess they will only need that once I start paying rent. Thanks op

OP posts:
ItsaMeMummio · 11/03/2025 13:05

Or do you mean that you'll be living there long term, but not paying rent initially? That would be potentially problematic for UC. You'd be better off with a proper tenancy at the full rent, and claiming the housing element from the start. Otherwise UC will want an explanation for why your landlord only expects rent sometimes, they might deem it to be a false/contrived tenancy and refuse any housing element at all.

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mehhh322 · 11/03/2025 14:34

I will be living there for at least a year but for the first few months they have agreed for me not to pay anything so I can buy furniture. I have 2 DC

OP posts:
mehhh322 · 11/03/2025 14:34

I also work too. So would just need the child element of it

OP posts:
YouveGotAFastCar · 11/03/2025 14:40

mehhh322 · 11/03/2025 14:34

I will be living there for at least a year but for the first few months they have agreed for me not to pay anything so I can buy furniture. I have 2 DC

This won’t work for UC. It’ll be considered a contrived tenancy. They have to show that they’re giving you the same terms they’d give a stranger. They obviously wouldn’t let a stranger not pay rent for months.

Maybe you can come to an agreement with them where you pay them the rent amount and they order the furniture? But you’re going to need a proper tenancy agreement before you start to claim UC.

mehhh322 · 11/03/2025 15:04

I understand. To be honest I will be increasing my hours next year so hopefully won't have to claim at all. It's just to help me for the first few months. Thanks everyone.

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