HRA overpayments

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    Jo Gregory

    Please can someone help!!

    For all proformas received we have inputted WTC/CTC start dates as 7 April 2003. This has created numerous overpayments. We have been classifying CTB and Private tennant overs as departmental error (as previously advised by DWP). However, how are other LA’s dealing with HRA cases? As I understand they are not covered under DWP remit. At the moment I have numerous HRA overpayments (set to recovery No). I also have some rent accounts in credit, due to increase in HB because end of WFTC. Are we supposed to be writting off the overs (which will loose subsidy), or recovering from credits and writting off remainder of over. As I see it we cannot recover the overpayments from claimants. Please advise what other LA’s with LA stock are doing!!

    Julian Hobson

    Unfortunately the decision relating to the ause of the OP and recoverability applies irrespective of which subsidy scheme the case comes under. Therefore in HRA cases they will simply be recompensed under the 1.7% of qualifying expenditure provision. Paul Howarth in his most recent letter suggests that the ODPM are looking at whether to make some special arrangements, and what you should do if you have already included those cases in with the Rent allowance and Non HRA RR cases.

    I think either way the LA takes the hit until (if) the ODPM does something.

    I suggest that all LA’s should raise this with their Housing Finance people (as early as possible)


    I was advised this morning that a (positive) response on this will be announced shortly.

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