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Housing Benefit and council tax underpayment


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Hi,

 

My 1st post and I wonder if anyone can help me with some information.

 

My husband is severely disabled and last year I discovered my local council had underpaid us housing benefit and council tax benefit for 4 years. This amounted to a considerable amount circa £5000. This caused considerable hardship to us during this time.

 

After numerous calls and letters it was finally sorted out and they paid us the underpayment in october last year.

 

We still have this 5K in our bank account and because of the 5k and other savings we are just over the 6k limit? allowed on HB and CTB before they start deducting money from our benefits again.

 

I am sure that there are rules re underpayments of benefits do not count when calculating savings for benefits for a set period of 1 year. After this year is up they are counted as savings. Can anyone confirm this and point me to the relevant rules so that I have some definite proof regarding this rule.

 

Thank you

Edited by theresam
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I think you are looking for paragraph 9(1)(b) of Schedule 6 of the Housing Benefits Regulations

 

Schedule 6 - Capital to be disregarded

9.-

(1)Subject to sub-paragraph (2), any arrears of, or any concessionary payment made to compensate for arrears due to the non-payment of—

 

(b)an income-related benefit under Part 7 of the Act; but only for a period of 52 weeks from the date of the receipt of arrears or of the concessionary payment.

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Thank you,

 

That is what I am looking for, especially the part where it says anything over £5000 back payment when their fault is disregarded for the duration of the claim.

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