No Deductions Without Prior Warning: Roberts v Secretary of State for Work and Pensions
A High Court ruling in Roberts v Secretary of State for Work and Pensions found the Department for Work and Pensions (DWP) policy on Universal Credit rent deductions to be unlawful due to procedural unfairness.
The DWP’s Policy
1. Diversionary Payments: For social landlords, rent payments were made directly to landlords without prior notice to the tenant. Tenants were notified only after the decision and could request reconsideration (taking over 50 days).
2. Recoupment Payments: For both social and private landlords, deductions were made to cover rent arrears. Again, tenants were informed after the fact and allowed reconsideration.
The Court’s Findings
While deductions were deemed beneficial for maintaining tenancies, tenants were entitled to be notified of landlords’ requests beforehand. This allowed tenants to dispute the arrears or address issues like rent disputes or housing disrepair claims. Withholding rent in such disputes, the Court noted, could be a tenant’s only leverage.
The policy of notifying tenants only after deductions was ruled procedurally unfair. The Court declared the DWP’s approach under the 2013 Regulations unlawful.
Commentary
The judgment highlights the significance of tenant rights in rent disputes, including withholding rent in housing disrepair cases—a surprising acknowledgment from both the Court and the DWP. However, housing lawyers caution tenants against withholding rent, as it risks possession claims.
Ultimately, the ruling underscores the need for fairness in decision-making processes and the importance of legal guidance in housing disputes.
Full article here on Nearly Legal
. https://nearlylegal.co.uk/2025/01/no-deductions-without-prior-warning/
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