DHP frequently asked questions

Discretionary Housing Payments (DHP) are intended as short-term payments for people that are struggling financially and need help towards housing costs

Limited funding for DHP awards is provided by the Government on an annual basis, the local authority is responsible for the administration of the scheme ,and cannot keep any funding if it is not used that year

DHP are not benefit payments and awards are made at the discretion of Sunderland City Council.

Is longer-term support available?

DHP are only intended to provide short term support for most applicants . The council would encourage applicants to look to support themselves in the longer term . The www.sunderland.gov.uk/financial-wellbeing hub provides a range of information and advice and links to where applicants can get this help in their local area www.sunderland.gov.uk/get-support

What do we mean by 'housing costs'?

In broad terms, housing costs usually refer to rental liability, this is the rent you pay to your landlord, however, in certain very limited circumstances, a DHP can also be awarded to cover costs related to moving home. See the 'What other housing costs Can DHP cover?' question below for further details.

Why is there a shortfall in my eligible rent?

Whether you are receiving Universal Credit with Housing Costs (UC) or Housing Benefit (HB) your benefits often don't cover your full eligible rent, however a DHP may be able help to make up part of the shortfall. Some of the most common reasons for a shortfall in your eligible rent include:

· Restrictions in the number of benefits you can receive, this is known as a Benefit Cap

· Spare Room subsidy , often referred to as 'Bedroom Tax' in social rented properties

· Reductions due to Local Housing Allowance restrictions in privately rented properties

Would I qualify for a DHP to cover a shortfall in my rent?

To be eligible you must be entitled to Universal Credit with Housing Costs or Housing Benefit.

DHPs are means-tested, in other words, the amount of income and savings or capital you have will influence your eligibility. The Council will request appropriate proof of your income and savings, and you must also provide details of your weekly or monthly expenditure including details of any debts, whether you are making payments or not.

Awards will only be made where the council considers the additional support will help the applicant improve their financial or housing situations within a reasonably short timescale , or where the applicant provides sufficient information to confirm that a short term DHP award can be made for another defined reason for example

· Where you have given details in your application of any reasons that limit your ability to make improvements or do mean that you cannot move somewhere else ( for example serious medical / health issues or complex needs and having significant support in place , and can provide supporting evidence

DHPs are aimed at people facing financial hardship, applicants must meet the qualifying conditions outlined in our Discretionary Housing Payments Policy - April 2024

What other housing costs can DHP cover?

If you are struggling to pay the rent for your current home, perhaps due to the Bedroom Tax, you may need to move to smaller, more affordable accommodation.

If you receive Housing Benefit or Universal Credit already , have no or very limited savings , and think that you cannot afford the costs related to moving home, in a very small number of cases a DHP may be able to help towards some of these costs.

Rent in advance

these are payments that private landlords usually ask for in advance of people moving into their property

Rent deposit

these are payments that landlords ask you to pay, normally before you move into a property, it can also be called a security deposit. This can be used by the landlord to cover rent arrears or damage to the property
the deposit is your money and should be returned to you in full at the end of your tenancy unless the landlord has reason to make deductions
your landlord must protect your deposit in an authorised deposit protection scheme if you have an assured shorthold tenancy. Most private renters have this type of agreement, you can find out more about private tenancies by visiting Shelter England

Removal costs

DHP may be awarded to help towards the cost of moving your household belongings to your new property

Strict qualifying criteria are applied when considering a DHP for these reasons, you must have exhausted all other means to obtain funding, please do not assume that you will qualify or borrow money on the assumption that the council will pay these costs.

The council will also not make any award for these costs where the move would be to a property where the applicant would then face a higher shortfall in their eligible rent than they may do in their current home

If you are moving into the Sunderland Council area from another council / local authority area, you should apply to your current local authority first in case they can help you . This is because DHP can only be awarded where Housing Benefit or Universal Credit with Housing Costs are already in payment.

In addition, rent in advance and deposits would not be allowed for registered social landlords or housing association properties , or for properties owned by large private landlords .

What do DHPs not cover?

DHP cannot cover council tax or ineligible service charges such as any of the following examples

the acquisition of furniture or household equipment; and
the use of such furniture or equipment where that furniture or household equipment will become the property of the claimant by virtue of an agreement with the landlord
Charges for water, sewerage, and environmental services

A DHP cannot also be awarded to pay for rent while waiting for Housing Benefit or Universal Credit claims to be awarded. For Universal Credit claimants this also means until the end of their first assessment period.

How do I apply and what evidence do I need to provide?

to be considered for an award of DHP you must complete an application form in full, providing as much detail as possible
evidence supporting your application will be requested, this can include income, expenditure, bank accounts and medical evidence
supporting evidence must be provided within the timescales set out in the request. If you are unable to provide the requested information within the given timescales it is important that you let us know
your application may be delayed or refused if you do not provide the information requested within the timeframe we have set

From 1 April 2024 If my application is successful how much DHP will I receive and how will I be paid ?

DHP's are means-tested, so awards will vary according to your circumstances. The amount awarded however will not exceed the shortfall in the rent
A DHP is normally made for 26 weeks however the period can be shorter depending on circumstances
if you are receiving UC with housing costs, your DHP will normally be paid in a lump sum direct to your landlord
if you receive Housing Benefit, the DHP award will be paid alongside your HB payment

Can I reapply for a DHP and if so, what may I get ?

DHP are intended to be short term awards so the majority of applicants may only receive one full value award .
If you do reapply and can demonstrate that you have made improvements in your circumstances you may receive one further DHP award however this may be reduced in value by 50%
If you do reapply and have given details in your application of any reasons that limit your ability to make improvements or do mean that you cannot move somewhere else ( for example serious medical / health issues or complex needs and having significant support in place , and can provide supporting evidence , you may receive one further DHP award

How long does it take to receive a decision on DHP applications?

The council aim to process all DHP applications within six weeks, however during periods of high demand it may take longer. If we are waiting for supporting evidence from you or other organisations, your application will not be processed until this is received.

The council will normally discuss the application with you before any award can be made

How will I be notified of the outcome of my DHP application?

the council will always let you know the outcome of any DHP application in writing, the notification can be sent via letter or email
if your application has been successful, the letter will contain details of how much you will get and for how long
our award letter will also contain details of anything you are expected to do to improve your situation. Details of the support available to you will also be included
if your application is unsuccessful the letter will contain the reasons why, along with information on other support that may be available to you
it is important to check the information provided in your letter

What if I disagree with your decision?

HPs are discretionary however, if you are unhappy with the decision because you think it is incorrect, we have not taken some information into account , or we have got some of the information wrong you can ask us to look at your application again by completing a Discretionary Housing Payment Review Form within one month of the date of the decision

where your request for an internal review is successful, the decision on your application will be changed. You will receive notification in writing
DHP is not a social security benefit therefore If the Internal Review does not change the decision , and you are still unhappy you cannot appeal to HM Courts & Tribunals Service . You may be able to complain via the councils Corporate Complaints Policy or if that fails and in cases of alleged maladministration to the Local Government and Social Care Ombudsman www.lgo.org.uk/make-a-complaint