The Rent Officers (Universal Credit Functions) Order 2013

Article 4

SCHEDULE 1 U.K. Local housing allowance determinations

Categories of accommodation U.K.

1.  The categories of accommodation for which a rent officer is required to determine a local housing allowance in accordance with article 4 are—

(a) accommodation where the tenant has the exclusive use of only one bedroom and where the tenancy provides for the tenant to share the use of one or more of—

(i) a kitchen;

(ii) a bathroom;

(iii) a toilet; or

(iv) a room suitable for living in;

(b) accommodation where the tenant has the exclusive use of only one bedroom and exclusive use of a kitchen, a bathroom, a toilet and a room suitable for living in;

(c) accommodation where the tenant has the use of only two bedrooms;

(d) accommodation where the tenant has the use of only three bedrooms;

(e) accommodation where the tenant has the use of only four bedrooms.

[F1 Local housing allowance for category of accommodation in paragraph 1 U.K.

2.— (1) Subject to paragraph 5 (anomalous local housing allowances) the rent officer must determine a local housing allowance for each category of accommodation in paragraph 1 as follows.

[F2 (2) The local housing allowance for any category of accommodation is the lower of—

(a) the rent at the 30th percentile determined in accordance with paragraph 3; and

(b) for a category of accommodation listed in column 1 of the following table, the amount listed in column 2 of that table (maximum local housing allowance)—

1. Category of accommodation as specified in paragraph 1	2. Maximum local housing allowance for that category of accommodation
paragraph 1(a) (one bedroom, shared accommodation)	£ 1,283.96
Paragraph 1(b) (one bedroom, exclusive use)	£ 1,283.96
Paragraph 1(c) (two bedrooms)	£ 1,589.99
Paragraph 1(d) (three bedrooms)	£ 1,920.00
Paragraph 1(e) (four bedrooms)	£ 2,579.98]

F3 (2A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F3 (2B) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F3 (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F3 (3A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) Where the local housing allowance would otherwise not be a whole number of pence, it must be rounded to the nearest whole penny by disregarding any amount less than half a penny and treating any amount of half a penny or more as a whole penny.]

Textual Amendments

F1 Sch. 1 para. 2 substituted (13.1.2014) by The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2013 (S.I. 2013/2978), arts. 1, 4(3)(a)

F2 Sch. 1 para. 2(2) substituted (30.3.2020) by The Social Security (Coronavirus) (Further Measures) Regulations 2020 (S.I. 2020/371), regs. 1(1), 4(3)(b)

F3 Sch. 1 para. 2(2) substituted for Sch. 1 paras. 2(2A)-(3A) (30.1.2020) by The Rent Officers (Housing Benefit and Universal Credit Functions) (Amendment) Order 2020 (S.I. 2020/27), arts. 1, 4(3)(a)

Rent at the 30th percentile U.K.

3.—(1) The rent officer must determine the rent at the 30th percentile in accordance with the following sub-paragraphs.

(2) The rent officer must compile a list of rents.

[F4 (3) The rent officer must compile a list of rents in ascending order of the monthly rents which, in the rent officer’s opinion, are payable—

(a) for accommodation let under an assured tenancy for each category of accommodation specified in paragraph 1; and

(b) in the 12 month period ending on the 30th day of the September preceding the date of the determination.]

(4) The list must include any rents which are of the same amount.

(5) The criteria for including an assured tenancy on the list of rents in relation to each category of accommodation specified in paragraph 1 are that—

(a) the accommodation let under the assured tenancy is in the broad rental market area for which the local housing allowance for that category of accommodation is being determined;

(b) the accommodation is in a reasonable state of repair; and

(c) the assured tenancy permits the tenant to use exclusively or share the use of, as the case may be, the same number and type of rooms as the category of accommodation in relation to which the list of rents is being compiled.

[F5 (6) Sub-paragraph (7) applies where the rent officer is not satisfied that the list of rents in respect of any category of accommodation would contain sufficient rents, payable in the 12 month period ending on the 30th day of the September preceding the date of the determination for accommodation in the broad rental market area, to enable a local housing allowance to be determined which is representative of the rents that a landlord might reasonably be expected to obtain in that area.]

(7) In a case where this sub-paragraph applies, the rent officer may add to the list rents for accommodation in the same category in other areas in which a comparable market exists.

(8) Where rent is payable other than monthly the rent officer must use the figure which would be payable if the rent were to be payable monthly by calculating the rent for a year and dividing the total by 12.

(9) When compiling the list of rents for each category of accommodation, the rent officer must—

(a) assume that no-one had sought or is seeking the tenancy who would have been entitled to housing benefit under Part 7 of the Social Security Contributions and Benefits Act 1992 M1 or universal credit under Part 1 of the Welfare Reform Act; and

(b) exclude the amount of any rent which, in the rent officer's opinion, is fairly attributable to the provision of services performed or facilities (including the use of furniture) provided for, or rights made available to, the tenant and which would not be classed as service charge payments.

(10) The rent at the 30th percentile in the list of rents (“R”) is determined as follows—

(a) where the number of rents on the list is a multiple of 10, the formula is—

where—

i

P is the position on the list found by multiplying the number of rents on the list by 3 and dividing by 10; and

ii

P1 is the following position on the list;

(b) where the number of rents on the list is not a multiple of 10, the formula is—

where P2 is the position on the list found by multiplying the number of rents on the list by 3 and dividing by 10 and rounding the result upwards to the nearest whole number.

Textual Amendments

F4 Sch. 1 para. 3(3) substituted (13.1.2014) by The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2013 (S.I. 2013/2978), arts. 1, 4(3)(b)(i)

F5 Sch. 1 para. 3(6) substituted (13.1.2014) by The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2013 (S.I. 2013/2978), arts. 1, 4(3)(b)(ii)

Marginal Citations

M1 1992 c.4.

Maximum local housing allowance U.K.

4.  .F6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F6 Sch. 1 para. 4 omitted (2.11.2015) by virtue of The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2015 (S.I. 2015/1753), art. 4(3)(c) , art. 1

Anomalous local housing allowances U.K.

5.  Where—

(a) the rent officer has determined the local housing allowance for each of the categories of accommodation in paragraph 1 in accordance with the preceding paragraphs of this Schedule; and

(b) the local housing allowance for a category of accommodation in paragraph 1(b) to (e) is lower than the local housing allowance for any of the categories of accommodation which precede it,

that local housing allowance is to be the same as the highest local housing allowance which precedes it.

F7 5A.  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F7 Sch. 1 para. 5A omitted (30.1.2020) by virtue of The Rent Officers (Housing Benefit and Universal Credit Functions) (Amendment) Order 2020 (S.I. 2020/27), arts. 1, 4(3)(b)

F8 6.  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F8 Sch. 1 para. 6 omitted (2.11.2015) by virtue of The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2015 (S.I. 2015/1753), art. 4(3)(c) , art. 1

Article 5

SCHEDULE 2 U.K. Housing payment determination

1.  The rent officer must determine whether, in the rent officer's opinion, each of the housing payments payable for the tenancy of the accommodation at the relevant time is reasonable. U.K.

2.  If the rent officer determines under paragraph 1 that a housing payment is not reasonable, the rent officer must also determine the amount of the housing payment which is reasonable. U.K.

3.  When making a determination under this Schedule, the rent officer must— U.K.

(a) have regard to the level of similar payments under tenancies for accommodation which—

(i) is let by the same type of landlord;

(ii) is in the same local authority area [F9 (but see paragraph 4)] ;

(iii) has the same number of bedrooms; and

(iv) is in the same reasonable state of repair,

as the accommodation in respect of which the determination is being made;

(b) exclude—

(i) the cost of any care, support or supervision provided to the tenant by the landlord or by someone on the landlord's behalf;

(ii) any payments for services performed or facilities (including the use of furniture) provided for, or rights made available to, the tenant which are not service charge payments; and

(c) where the accommodation is let at an Affordable Rent, assume that the rent is reasonable.

Textual Amendments

F9 Words in Sch. 2 para. 3(a)(ii) substituted (23.1.2017) by The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2016 (S.I. 2016/1179), arts. 1, 4(4)(a)

4.  Where the rent officer is not satisfied that the local authority area contains sufficient accommodation to allow a determination of the housing payments which a landlord might reasonably have been expected to charge, the rent officer may have regard to the level of housing payments in one adjoining local authority area [F10 or one local authority area adjoining an adjoining local authority area or, if the rent officer considers it necessary, more than one such area] . U.K.

Textual Amendments

F10 Words in Sch. 2 para. 4 substituted (23.1.2017) by The Rent Officers (Housing Benefit and Universal Credit Functions) (Local Housing Allowance Amendments) Order 2016 (S.I. 2016/1179), arts. 1, 4(4)(b)

5.  For the purposes of this Schedule— U.K.

(a) a housing payment is reasonable where it is not higher than the payment which the landlord might reasonably have been expected to obtain for the tenancy at the relevant time;

(b) accommodation is let by the same type of landlord where—

(i) in a case where the landlord of the accommodation in respect of which the determination is being made is a local authority, the landlord of the other accommodation is also a local authority; and

(ii) in a case where the landlord of the accommodation in respect of which the determination is being made is a provider of social housing other than a local authority, the landlord of the other accommodation is also a provider of social housing other than a local authority;

(c) accommodation is let at an Affordable Rent where—

(i) the rent is regulated under a standard by the Regulator of Social Housing under section 194 of the Housing and Regeneration Act 2008 M2 (“the 2008 Act”) which requires the initial rent to be set at no more than 80% of the local market rent (including service charges); or

(ii) the accommodation is let by a local authority and, under arrangements between the local authority and the Homes and Communities Agency (as established by section 1 of the 2008 Act), the Greater London Authority or the Secretary of State, the rent payable is set on the same basis as would be the case if the rent were regulated under a standard set by the Regulator of Social Housing under section 194 of the 2008 Act which requires the initial rent to be set at no more than 80% of the local market rent (including service charges).

Marginal Citations

M2 2008 c.17. Section 194 was amended by S.I. 2010/844 and section 179 of, and Schedule 17 to, the Localism Act 2011 (c.20).