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Universal credit/rent reduction

3 replies

DorotheaDiamond · 25/08/2022 23:08

tenant in my property has asked for a temporary reduction in rent over the winter because of the cost of energy. I’m happy to do this but do they have to tell Universal credit if it’s only temporary?

Because presumably if the rent drops permanently so will the housing element of UC so they still won’t be able to pay the bills?

OP posts:
Babyroobs · 25/08/2022 23:19

DorotheaDiamond · 25/08/2022 23:08

tenant in my property has asked for a temporary reduction in rent over the winter because of the cost of energy. I’m happy to do this but do they have to tell Universal credit if it’s only temporary?

Because presumably if the rent drops permanently so will the housing element of UC so they still won’t be able to pay the bills?

Yes they would need to report the change . If they are currently paying more rent than their local housing allowance which is the maximum that UC will pay then they may benefit from your rent reduction because they would still receive the same amount. So if for example their rent is £500 and their lha is £450 and they top up £50 themselves from the rest of their benefits , they would still continue to get the £450, so if you reduced their rent to £450 they would benefit by £50. hope that makes sense !

DorotheaDiamond · 25/08/2022 23:32

Bugger - the rent is the same as the allowance :-(

so was it utterly pointless during Covid when everyone was telling renters to ask for rent reductions?

OP posts:
loveisagirlnameddaisy · 27/08/2022 11:21

The Covid message was more to help those suddenly out of work or furloughed on 80% pay. People on UC weren't affected as far as I know.

How much discount has tenant requested and for how long?

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