Agenda item

The report outlined the proposed changes to the existing Discretionary Housing Payment policy, to incorporate the 'Credit Their Service Motion' carried by Members at Full Council meeting on 25.10.23.

Central Government provided local authorities with funding each year through the Discretionary Housing Payment scheme to assist residents who received Housing Benefit or Universal Credit (Housing Element) and were considered to be suffering hardship.

The allocated funding for the scheme in 2023/24 was £398,209. The new allocation for 2024/2025 is still to be confirmed.

There was no cost to the Council in respect of the Discretionary Housing Payment scheme as any expenditure up to the Government allocation is fully funded by the Department for Work and Pensions (DWP).

Discretionary Housing Payments could be used to support residents in a variety of ways, on condition that it related to housing expenditure e.g., support with storage fees, removal costs or rent in advance. The maximum length of an award was 26 weeks. 

The majority of the fund was utilised to support residents who are subject to the welfare reforms introduced in April 2013, including the Spare Room Subsidy Restrictions (a reduction in benefit of 14% or 25% for those with one or more spare bedrooms), the Benefit Cap (which restricted a claimant’s benefit income to a set level) and also restrictions to benefit for those who are single and aged under 35 years old.

Priority was given to those residents who were potentially at risk of homelessness unless they received assistance with shortfall in their rent. The Benefit Service worked closely with the Housing Options team in such circumstances to ensure residents could remain in their tenancy wherever possible, to prevent unnecessary distress and avoid additional costs associated with any such evictions.

ORDERED:

1.     That Executive Member for Finance and Governance approve the amendments to the Discretionary Housing Payment scheme policy to be implemented from 1^st April 2024.

2.      That delegated authority to approve any future minor revisions/modifications was provided to the Director of Finance to reflect revisions to statutory guidance in the policy.     

OPTIONS:

Do nothing – however if the policy was not updated it would not be reflective of the motion that had been passed by members

REASONS:

Following the 'Credit Their Service Motion' carried by Members at the Council meeting on 25.10.23: The Executive Member for Finance and Governance was required to ensure that relevant local policies were updated to reflect this position.

To formalise the disregard of any military compensation payments where they relate to the assessment of Discretionary Housing Payment and/or the Disabled Facilities Grant. 

To ensure that the disregard of any military compensation payments was consistently applied (see para 3).  

The policy was a key decision that impacts on two or more wards and as such requires Executive approval.

The report only contains minor variations and updates and does not have a larger impact on the overall budget or policy framework and therefore meets the criteria for Single Executive approval.

Delegated authority to the Director of Finance to approve future minor modifications to the policy maintains service operation levels.  As a working policy, failure to keep pace with new legislation leaves the Council at risk and can result in inconsistent practices.

All decisions will come into force after five working days following the day the decision(s) was published unless the decision becomes subject to the call in procedures.