Here is parts of some training notes that I am putting together for my people. It is a “work in progress” but may be of some help to you.
Jeff
7) How do I go about restricting the service charge element?
This is covered by Schedule 1 of the regulations and Commissioner’s decision CH/0137/2004. Here you only need to look at the cost of individual services charges, not the overall level of rent. Just restricting service charges is more straightforward than restricting the “overall” level of rent.
7a – eligibility
Firstly check to see if the services are “eligible” or not. Services are only eligible if they are “connected with the provision of adequate accommodation”. Services charges for items covering day to day living expenses are not eligible for Housing Benefit, nor are charges for personal care or general counselling and support. This is particularly important as the latest DWP advice is that “any cost that is consequent to the provision of support is a support cost” and therefore not eligible for Housing Benefit. So, for example, if a support worker sleeps in a property overnight to provide CSS to the tenants, the cost of the room etc are classed as “support costs”.
When considering if a charge is “connected with the provision of adequate accommodation”, you should consider it in the context of the general population, not in the context of tenants with specific additional needs. To put this another way, if a service is needed to make the accommodation adequate only because of a particular need, or set of needs, of the tenants of that accommodation, it is probably not eligible for Housing Benefit.
7b – Is the amount of the service charge “excessive”
Once you have established that a service charge is eligible you need to decide if it is “excessive” in relation to the services provided for the claimant or his family, having regard to the cost of comparable services”. If the charge is not excessive then no restriction should be applied. If the charge is “excessive” then the LA must restrict the service charge to the level of the comparable services.
As you are only looking at “eligible” services there is plenty of information on the cost of similar services supplied to tenants by housing associations and charities in the “housing association rent increases” folder on DIP to use for comparisons to decide if a service charge is excessive.
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