Reduced Rent during April11 Transitional Protection

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  • #39011
    Anonymous
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    Our Housing Advice team have started negotiating rents to the 30th percentile. This means we now have claims where the rent reduces below the protected eligible rent during the 9 month TP.

    Example
    At anniversary, actual rent is £80, eligible rent £80, 30%ile LHA £75.00. TP protects ER at £80. Two months into TP, rent is negotiated down to lower LHA of £75/week. If we continued paying the protected ER, this would be £5 above the cap rent.

    Am I right in thinking that the regulation amendments to limit maximum rent to the cap rent and removing £15 excess overide the TP regulations (reduced rent doesn’t appear to be a reason to end TP?)

    If this is the case, does TP actaully end or does it continue at the lower cap rent?

    Our system(Northgate)automatically continues to pay the protected rent when the actual rent is reduced. We can manually end TP or change to a different rate but am not sure which option to use.

    Any help appreciated

    #110570
    Anonymous
    Guest

    I don’t think anything will (should) happen until the anniversary date. Any change in actual rent is not something which triggers a revised LHA level. Usually it’s a rent increase and clt has to wait until the anniversary date to see if LHA rate has gone up a bit but in this case the claimant is to the good. I believe that the £15 excess removal only has regard to what the customer’s rent was at 1 April 2011 and can’t be invoked halfway through the year, as it were. I believe Northgate is right.

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