Housing Benefit being cut from this month - can they do this?

[FallingWithStyle]

Just opened a letter which tells me that my housing benefit amount is being changed, it says "Reason for calculation: Change of liability" whatever that menas.

When I moved in the rent was within (in fact £50 less) than the allowance for this area. I will now be paid £150 less than the the rent each month! I am on income support and supposed to be starting college next month, I absolutely couldn't cover that shortfall - nowhere near it.

I was under the impression that whatever the allowance was when tenancy commenced would be honoured for the duration of the time at that address.

I am aware that average rent has been falling in this area and I seem to have moved in when rents were at a peak.... rambling, sorry.

Bloody hell, does this mean I have to move? Cant even speak to them til monday.

Bugger, really worrying now.

It was already cut last year but that only meant I no longer got the extra £50 that you're allowed to have if you're rent is lower than the LHA.

I've got it there in black and wite but I just cant believe it...

Sorry - don't know much about it really, but wanted to reply. Perhaps your landlord would agree to accept £50 less per month rather than the hassle of finding a new tenant? (clutching at straws)

Yes, I imagine I'll be told to speak to the landlord about reducing the rent.
But the shortfall is £150 per month! I really cant see them agreeing to that. I'd have to hope they really dont want to go throught the hassle of finding a new tenant.

Sorry I misread it. £150 is quite a lot, even if your landlord is feeling kind. You might have to move. However if this is happening to everyone on housing benefit then rents will generally be falling to meet the amount that tenants can afford. And considering you agreed a rent when rents were high, you might have a chance of renegotiating. Good luck.

I too think you might have a good chance of renegotiating as it sounds like you are a good tenant. The landlords mortgage will likely have gone down due to interest rates.

Is there anywhere better and cheaper you can move to?

You could also apply to your HB department for a Discretionary Housing Payment, this is a top up payment which would allow you an additional amount of money each month to meet your rental liability. You also ought to call Hb and ask what they mean by 'change in liability' because that would normally mean that your liability to pay rent has reduced, which obviously isn't the case here, someone might have cocked up.

Finally, if HB are right, and a DHP doesn't get granted (my Local Authority has already spent most of its budget for this year) you could apply as homeless on the basis your current property is unaffordable, and therefore unreasonable for your continued occupation, you'd have to show you were threatened with homelessness; which you could as your home has become unaffordable, that you were in priority need, which if you have dependent children you will be, that you didn't make yourself homeless, i.e. that you didn't collude with the landlord to increase your rent unreasonably, and that you've lived in the area you are currently in for six of the last twelve months or three of the last five years.

If you can show all of this the Local Authority have to provide you with accommodation, in my area that tends to be private rented properties that the council then manage, but the rent is all taken into account for HB, B+B in emergencies only, and for the very lucky few a council or Housing Association house. My Local Authority also try and push people to the private sector, they help find an alternative affordable property and pay the rent in advance and loan the deposit via the credit union. In my are they will also negotiate with the landlord on your behalf.

Hope that helps.

Oh my goodness emskaboo...that is so helpful! You know your stuff
Ugh, such a relief to know theres options thank you, you're a star!
Rene and laurie - thank you too, checking there hasn't been a mistake will be my first step and trying to renegotiate the rent will be my second.

Goodness, nothing to do with 'greedy landlords' - what a horrible phrase.

Just commenting on mortgages in general - ours has fallen from £1050 a month to £300

My friend has also just had her HB cut. The rental prices round this area have recently dropped a little, therefore they drop the amount of HB being paid to people on full HB. I suppose it does make sense. If someone isn't working and having all their rent paid for them then they are going to want to be paying as little as possible. Therefore they expect the tenant to find a property with the lowest possible rent. of course that may mean living somewhere which may not be your first choice or ideal - but then many people paying full rent can't afford to live in their ideal home either. You mention in your post that you may have moved in when rent was at it's peak - so therefore you may be paying much more than you would if you moved now into a similar property?

I would certainly speak to your landlord about reducing the rent. They may well agree to for the sake of keeping a good tennant and to avoid the hassle and cost of getting a new tennant. I suppose they wouldnt have to reduce it by the full £150, it may be that that make an offer to reduce it by half the amounr your HB has been cut by and you pa the shortfall.