The Housing Benefit and Council Tax Benefit (Subsidy) Order 1997

Further additions to housing benefit subsidy

10.—(1) Subject to paragraphs (8) and (9), the additions referred to in article 4(1) are—

(a) where following the loss, destruction or non-receipt, or alleged loss, destruction or non-receipt of original instruments of payment, an authority makes duplicate payments and the original instruments have been or are subsequently encashed, an amount equal to 25 per cent. of the amount of the duplicate payments;

(b) subject to paragraphs (2) and (3), where, during the relevant year, it is discovered that an overpayment of rebate or allowance has been made and an amount is to be deducted under article 11 in relation to that overpayment, an amount equal to—

(i) in the case of an overpayment caused by departmental error, 95 per cent. of so much of the overpayment as has not been recovered by the authority;

(ii) in the case of a fraudulent overpayment 95 per cent. of the overpayment; or

(iii) except where head (i) or (ii) above applies, 25 per cent. of the overpayment;

(c) where, during the relevant year, it is discovered that an overpayment in respect of which a deduction was made under article 11 of the 1994 Order, 1995 Order or the 1996 Order (other than a deduction under article 11(1)(g) of the 1994 Order or 11(1)(f) of the 1995 or 1996 Orders) was a fraudulent overpayment the difference, if any, between 95 per cent. of any such overpayment and the amount of any housing benefit subsidy that has been paid to that authority in respect of that overpayment;

(d) in the case of an authority identified in column (1) of Schedule 8 the sum specified in relation to that authority in column (2) of that Schedule.

(2) The amount under paragraph (1)(b) shall not include an amount in relation to—

(a) an overpayment caused by an error of the authority making the payment, or

(b) any technical overpayment.

(3) Where an overpayment is caused by departmental error, but some or all of that overpayment is recovered by the appropriate authority, no addition shall be applicable to the authority in respect of the amount so recovered.

(4) In paragraphs (1)(b)(i) and (3) and in article 11(1)(e) “overpayment caused by departmental error” means an overpayment caused by a mistake made or something done or omitted to be done by an officer of the Department of Social Security or the Department for Education and Employment, acting as such, or a decision of an adjudication officer, social security appeal tribunal or Social Security Commissioner appointed in accordance with sections 38(1), 40(1), 51(1) and 52(1) of the Act (appointment of adjudication officers, chairmen and members of social security appeal tribunals and Commissioners) where the claimant, a person acting on his behalf or any other person to whom the payment is made did not cause or materially contribute to that mistake, act or omission.

(5) In paragraph (1)(b)(ii) and (c), in article 11(1)(f) and in paragraph 1 of Schedule 9 “fraudulent overpayment” means an overpayment in respect of a period falling wholly or partly after 31st March 1993 and which—

(a) is so classified by an officer of the authority, designated for that purpose by the authority, after that date; and

(b) occurs as a result of the payment of a rebate or allowance arising in consequence of—

(i) a breach of section 112 of the Act (false representations for obtaining benefit), or

(ii) knowingly failing to report a relevant change of circumstances, contrary to the requirements of regulation 75 of the Housing Benefit Regulations(1) (duty to notify change of circumstances), with intent to obtain or retain such a rebate or allowance for himself or another.

(6) In paragraph (2)(a) “overpayment caused by an error of the authority making the payment” means an overpayment caused by a mistake made or something done or omitted to be done by that authority, where the claimant, a person acting on his behalf or any other person to whom the payment is made did not cause or materially contribute to that mistake, act or omission.

(7) In paragraph (2)(b) “technical overpayment” means that part of an overpayment which occurs as a result of a rebate being granted in advance and—

(a) a change of circumstances reduces or eliminates entitlement to that rebate; or

(b) the authority subsequently identifies a recoverable overpayment which does not arise from a change in circumstances,

but shall not include any part of that overpayment occurring before the benefit week following the week in which the change is disclosed to the authority or it identifies that overpayment.

(8) Except for paragraphs (1)(b)(ii), (1)(c) and (5), this article shall not apply to that part of any rebate or allowance in respect of a case to which paragraph (15) of regulation 72 of the Housing Benefit Regulations (time and manner in which claims are to be made)(2) applies.

(9) Any reference in this article to an overpayment shall not include any rebate or allowances for any period overrun or other period immediately following expiry of the specified period determined under regulation 66 of the Housing Benefit Regulations(3) except for so much of any rebate or allowance to which the claimant would not have been entitled had a claim for that period been duly made and determined.

(1)

Regulation 75 was amended by S.I. 1990/546.

(2)

Regulation 72(15) was amended by S.I. 1996/462.

(3)

Regulation 66 was amended by S.I. 1988/1971, 1989/1322 and 1996/1510.