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DWP looking for social landlords to pilot direct payments of Housing Benefit - Housing Benefit Direct issue 118 October 2011

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Joined: 09/03/2008

Housing Benefit Direct issue 118 October 2011<

Direct Payment demonstration projects

Under Universal Credit (UC), most customers living in the social
rented sector will receive their housing support money direct,
instead of this being paid to the landlord. Minister for Welfare
Reform, Lord Freud, announced on 14 September that DWP will be
working with local partners to set up half a dozen demonstration
projects to test out the best ways of doing this and supporting social
landlords, as well as their tenants, through the changes.

The design of UC should help protect social landlords’ income
streams, and equally, there need to be support mechanisms for
tenants who may need help managing their finances. So these
demonstration projects are a key way of testing elements of a direct
payment to tenant process, for working age tenants within the
Housing Benefit system. This will help get the final design of any
safeguards in UC right.

A crucial element will be obtaining your input, as well as input from
other social landlords, arms length management organisations
(ALMOs), housing associations, voluntary organisations and the
lending sector. We are seeking volunteer local authorities to take
part, and are keen to work with you to see projects in England,
Wales and Scotland.