Government officials have set up a temporary solution for
social landlords facing delays and confusion over how to handle rent increases
under universal credit. Housing associations, councils and the DWP were facing
administrative turmoil under the prior arrangements for increasing benefit
costs in line with rent increases under the government’s landmark welfare
reform policy. However, DWP officials have
notified social landlords of a solution, which will only apply for this year.
Landlords had feared they would be left facing benefit payment delays and
increased rent arrears. The department is considering a longer term extension. Currently,
when social landlords increase rents – usually every April – they inform the
local council, which increases the tenant’s housing benefit in line with the
rent growth. Read more on Inside Housing.
