LA Owned Hostel

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    I don’t know a great deal about subsidy, so forgive me if this is a very simple question.

    Is a LA owned hostel where claimants are placed under the homelessness duty of Part 7 of the Housing Act 1996 subject to the threshold and cap, and the new subsidy rgime from April 2010, or not. If not, how is subsidy calculated. The hostel is accounted for outside the HRA.




    No they are not – they are rent rebate claims in the normal way, albeit Non HRA. The subsidy penalties apply to accommodation the Council is leasing in or where claimants are placed in B&B

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