Direct Payment from DWP
For those Landlords who accept Tenants on benefits and felt secure in the knowledge that if they got in arrears then an application could be made to DWP for direct payment and a slow repayment of the arrears.
Well unfortunately our great legal system has just cast doubt on this and ruled that DWP need to have the Tenants agreement to make those deductions! As I briefly mentioned at our last meeting
The High Court has declared the Department for Work and Pensions’ (DWP) method of deducting rent payments from Universal Credit recipients unlawful.
In the case of Roberts v The Secretary of State for Work and Pensions, the court ruled that the DWP’s failure to consult individuals before authorising deductions from their benefits is unfair.
Following a landlord application, the DWP decided to make deductions from Mr Roberts’ Universal Credit in March 2024, for ongoing rent payments and towards rent arrears.
However, Mr Roberts challenged the DWP’s decision to deduct rent payments and arrears from his UC.
While the DWP later acknowledged the deductions were made in error and refunded Mr Roberts, he proceeded with his legal challenge, arguing against the policy that allowed these deductions.
Could this be yet another reason for Landlords to sell up I wonder?
read the full article here
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Bruce Haagensen
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Direct Payment from DWP
GB Landlords
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