Expert Advice consultancy case study
Our expert advisers supported a local authority in receiving a backdated payment for the housing costs element of Universal Credit for a client who became unemployed due to ill health.
The problem
A local authority contacted the advice line about a client who became unemployed due to ill health and subsequently made a claim for Universal Credit.
The client had rented a property from their sibling for 6 years and could afford the rent until being unable to work.
The DWP informed the client that they were ineligible for the housing costs element of Universal Credit because their liability was considered to be ‘contrived’ and designed to take advantage of the benefits system. As a result, the client’s sibling was threatening to evict the client due to rent arrears.
The local authority wanted to know if there was any possibility of challenging the DWP’s decision.
The advice
The expert adviser discussed the case with the local authority, explaining the rules regarding eligibility for the housing costs element of Universal Credit, and contrived liability in particular.
The rules for seeking a mandatory reconsideration of a decision, along with case law to support any such request, were also set out.
The adviser highlighted the risks involved with seeking reconsideration of a decision and the possibility that the outcome could be less favourable for the client and potentially lead to an overpayment of benefits.
The outcome
The mandatory reconsideration request was successful and the DWP awarded a considerable back payment of the housing costs element of Universal Credit.