Chapter 13: Scheme Level Evidence (Provided Once, Then Reviewed)

Managing Housing Benefit Claims in Supported Housing | Part C: Evidencing Claims: What Is Reasonable

In brief

  • Most evidence in supported housing is about the scheme, not the tenant: who the landlord is, how it holds the property, how it is run, what services it provides and how the rent is built up.
  • Scheme-level evidence should be provided once, kept on a scheme file by the council, and reviewed annually or when something changes. It should not be requested again with every claim.
  • The DWP guidance tells councils what to check: landlord status and registers (paras 95 to 125), lease arrangements and connected parties (paras 126 to 132), how support is provided and funded (paras 137 to 140 and 160 to 165), and rent breakdowns on new claims and rent increases (paras 168, 196 and 238).
  • A good scheme file answers the questions in Chapters 5 to 11 in one place. It is the provider’s best protection against repeated requests and the council’s best protection against error.
  • Each claim must still be decided on its own facts (DWP guidance, para 210). The scheme file is the starting point, not the end of the enquiry.
  • Property compliance is not currently a condition of Housing Benefit entitlement, but it will become relevant when licensing is linked to Housing Benefit under the Supported Housing (Regulatory Oversight) Act 2023.
  • SHP’s position: one well-organised scheme evidence pack, shared once and reviewed together, is the single most effective step councils and providers can take to reduce delay, cost and dispute.

The law

There is no separate legal rule for scheme-level evidence. It is evidence “in connection with the claim or the award, or any question arising out of the claim or the award” under regulation 86(1) of the Housing Benefit Regulations 2006, and the same test applies: it must be “reasonably required” (Chapter 12, 12.1). What makes scheme-level evidence different is that the same answer applies to every tenant in the scheme. That is why it should be collected once.

13.1 Landlord status: registration, charitable objects, constitution

What has to be shown. That the landlord is one of the bodies listed in the exempt accommodation definition, and, for a housing association or voluntary organisation, that it is not-for-profit (Chapter 5, 5.1).

Check public registers first. The guidance directs councils to the public registers:

  • the Regulator of Social Housing list of registered providers, which marks for-profit providers (para 97)
  • the Charity Commission and OSCR registers (para 99)
  • Companies House, including community interest statements and CIC34 reports (para 112)
  • the FCA mutuals register for community benefit societies (para 104)

Under Kerr v Department for Social Development [2004] UKHL 23 (para 63), information a council can find for itself should not be counted against the claimant (Chapter 12, 12.1).

What to ask the provider for. Where the register does not answer the question:

  • for an unregistered housing association: its constitution or rules, why it is not registered, and a summary of its accounts “to ensure the surplus is not being removed from the business” (para 98)
  • for a voluntary organisation, including a CIC or community benefit society: its constitution or articles, and a summary of its accounts (paras 104, 119 and 125)

What to look for. The guidance lists indicators of not-for-profit status, including an asset lock, no dividends or profits taken from operations or disposals, and “not making disguised payments to directors (or anyone else) which are in fact profits or dividends” (para 105). Registration “does not guarantee” not-for-profit status (para 106). A landlord only needs to fall within one category (para 107).

Frequency. Once, then annually (with the accounts) or when the constitution, registration or control changes.

13.2 Ownership and lease arrangements, including head-lease terms and connected parties

Why it matters. The lease shows three things the council needs to know:

  • who provides the accommodation. The landlord is the body with the legal relationship with the tenant; it can own the freehold or lease the property (para 89). A body acting only as a managing agent cannot be the landlord (para 90)
  • whether the landlord is in control. Where the owner exerts “excessive influence” and the landlord cannot carry out a landlord’s usual duties, “for example setting their own rents”, it may be treated as a managing agent (para 132; Chapter 5, 5.3)
  • what the accommodation costs. The lease payment is usually the largest single cost in the rent (Chapter 10, 10.9)

Connected parties. Councils can compare the directors and interests of the landlord and the owner at Companies House and, where people with significant control have an interest in the property, “seek assurances as to how any conflict of interest are appropriately managed” (para 131).

What the Regulator of Social Housing has found. The Regulator’s April 2025 focus report on lease-based provision found that, on full repairing and insuring leases, “the registered provider landlord generally takes on a greater share of the risks than the freeholder”, including cost inflation, maintenance, compliance, voids and dilapidations. It also found leases with no break clauses, or break options only in the freeholder’s favour, and boards that “did not have appropriate skills”. These are useful prompts for what to look at in a lease.

What a proportionate request looks like. The council does not usually need the whole lease for every property. It needs:

  • a schedule of properties, owners and lease terms (start, length, rent, uplift basis, repairing obligations, break clauses)
  • a copy of a representative lease, or each lease where terms differ materially
  • a statement of any connection between the landlord and the owner, and how conflicts are managed
  • the management agreement, where a managing agent is involved

Commercial sensitivity. Lease terms can be commercially sensitive. Councils should handle them in confidence and limit internal circulation to those who need them. That is not a reason for a provider to withhold terms that are reasonably required.

SHP’s position. Lease-based provision is lawful and is not in itself a sign of contrivance. The concerns are “about how the model is used, not the model itself” (FYE v Middlesbrough City Council and GPZ v Sunderland City Council [2026] UKUT 157 (AAC), para 11; Chapter 11). Councils should look at the terms, not the label.

Frequency. Once per scheme, then on renewal, variation, change of owner or a new property.

13.3 Governance, finances and viability: accounts, how dependent the provider is on Housing Benefit

Why it matters for Housing Benefit. Financial viability is not a condition of entitlement. Accounts are relevant because they help show:

  • that the landlord is not-for-profit, including payments to directors and related parties (para 105)
  • how costs are made up, which supports the rent build-up (13.5) and the reasonableness of rent (Chapter 10)
  • whether there are any of the warning signs in Chapter 11 (11.3)

What to ask for. The latest filed accounts, or a summary for smaller bodies; related-party transactions; and, for a new provider without accounts, a budget for the scheme.

Dependence on Housing Benefit. Most supported housing landlords depend heavily on Housing Benefit, because rent is their main income. SHP’s position is that this is normal and is not in itself a concern, nor a sign of contrivance (Chapter 11). Funding the eligible housing costs of a scheme through Housing Benefit alone is what the scheme is designed to do.

Delay is a viability risk. The Regulator’s 2025 focus report lists “housing benefit withheld during negotiations” among the sources of cashflow pressure on lease-based landlords. Prompt, proportionate decisions protect tenants as well as providers.

Governance. A short governance statement is usually enough: board membership, relevant skills, how conflicts are managed, and any regulatory findings. Councils can check the Regulator’s published judgements for registered providers themselves.

Frequency. Annually, when accounts are filed, or on a material change.

13.4 Service description: client group, model of CSS, staffing, on-call arrangements

Why it matters. The service description is the scheme-level evidence that care, support or supervision is provided by the landlord or on its behalf (paras 137 to 139; Chapters 6 to 8). It does not replace evidence that each claimant has a need for, and receives, that support (Chapter 14).

What a good service description covers:

  • client group: who the scheme is for, typical needs, and referral routes
  • model of care, support or supervision: what is provided, by whom, how often and how it is linked to the accommodation; including intensive housing management and maintenance where relied on (Chapter 7)
  • staffing: roles, numbers, hours, training and qualifications (para 154), and how time is split between eligible and ineligible activities (Chapter 9, 9.3)
  • on-call and out-of-hours arrangements: what cover is provided and how quickly staff respond. SHP’s position is that this is supervision, which is part of support (Chapter 6, 6.5 and 6.6)
  • third-party support: where another organisation provides support on the landlord’s behalf, the contract or service level agreement and how it is monitored (para 139). A joint venture is not enough (para 140)
  • funding of support: how any ineligible support is funded (paras 160 to 162 and 187). Chapter 3 (3.4) explains SHP’s position that a notional deduction does not apply where the support relied on is eligible intensive housing management and maintenance

Linking to the National Supported Housing Standards. The government’s June 2026 response confirms that the person-centred standard will require an individual needs assessment and a tailored support or supervision plan for each resident. Providers that describe their model in these terms now will be better placed for licensing.

Frequency. Once per scheme, then annually or when the model, client group or staffing changes materially.

13.5 Rent and service charge build-up with apportionment method

What the guidance says. Councils “should request a rent breakdown from the landlord which sets out all the charges included in the rent and service charges when a new claim or rent increase is submitted” (para 168; also para 196). On a rent increase, they should compare the new breakdown with the previous year’s “to identify why the rent has increased and whether it is justifiable” (para 238).

What a build-up should show. Appendix 8 provides a template. A good build-up:

  • starts from actual or budgeted costs for the scheme
  • separates core rent costs (lease or capital costs, management, maintenance, voids, bad debts and overheads) from service charges
  • identifies each service charge and whether it is eligible (Chapter 9)
  • explains the apportionment method for mixed costs, usually staff time, and applies it consistently (Chapter 9, 9.3)
  • shows any ineligible charges and how they are funded
  • explains any change from the previous year

SHP’s position on frequency. The breakdown is a scheme-level document. For a new claim at an established scheme, the current scheme breakdown should be enough, unless the claimant’s charges differ. A new breakdown is needed when the scheme starts, when the rent changes, and when the council reviews the scheme file.

Frequency. On a new scheme, on each rent increase, and on annual review.

13.6 Commissioning, local authority support and needs statements

Why it matters. Commissioning arrangements and local support help show:

  • how support is funded (para 160), including whether the council’s own commissioning team already holds the information
  • that tenants have needs assessed by a public body, which is “a reasonable indication that there is an established need” (para 148)
  • that the scheme meets a recognised local need

What to provide or check:

  • any contract, grant or service level agreement with a council, NHS body, probation or other commissioner
  • referral or nomination agreements with housing options or other referral agencies
  • any council strategy that the scheme supports, such as a temporary accommodation to exempt accommodation strategy
  • how the scheme fits the local supported housing strategy required under the Supported Housing (Regulatory Oversight) Act 2023, once published

Ask within the council first. HB teams should “work with supported housing stakeholders within their LA” (para 149) and collaborate with commissioning and housing options (para 209). Commissioning and referral information is often already held within the council.

SHP’s position. Commissioning is helpful evidence, but it is not a legal requirement for exempt accommodation. A scheme that is not commissioned can still provide care, support or supervision and meet the definition. A letter of support from a council or partner is useful context; its absence is not a reason to refuse a claim.

Frequency. Once per scheme, then on renewal or change of commissioning arrangements.

13.7 Compliance: property standards, safety certificates, NSHS, licensing (when in force)

Current position. Property standards and safety compliance are not conditions of Housing Benefit entitlement under the current regulations. They are relevant to the scheme file because:

  • they are legal duties of the landlord, and failure is a warning sign of wider problems (Chapter 11, 11.3)
  • property condition is relevant when comparing suitable alternative accommodation (Chapter 10, 10.4)
  • they will become directly relevant when licensing is linked to Housing Benefit

Common legal duties. Depending on the property, these include:

  • an annual gas safety check of appliances and flues provided by the landlord (Gas Safety (Installation and Use) Regulations 1998, regulation 36)
  • electrical installation checks at least every five years; these duties were extended to the social rented sector in 2025 (MHCLG guidance)
  • a fire risk assessment for shared parts of buildings
  • a house in multiple occupation licence where required
  • smoke and carbon monoxide alarms

What a proportionate request looks like. A compliance schedule listing each property, each certificate and its date, with copies available on request, is usually enough. Housing Benefit teams are not property inspectors. Concerns about property condition should be shared with the council’s private sector housing or environmental health team, within data protection limits.

Licensing and the National Supported Housing Standards. The government’s June 2026 response confirms that:

  • residents must live in licensed supported housing to receive Housing Benefit under the specified accommodation rules
  • licences will be issued by each local authority area, last five years and require compliance with the National Supported Housing Standards
  • support directly commissioned by a public body is not expected to demonstrate compliance with the standards condition
  • a valid application made before the deadline will keep Housing Benefit in payment while it is decided
  • MHCLG expects to consult on its regulations in late 2026

[Placeholder: update 13.7 when the licensing regulations, National Supported Housing Standards and amended Housing Benefit regulations come into force. Consider whether a licence should replace parts of the scheme file.]

Frequency. Compliance schedule annually, and when certificates are renewed.

The guidance

ParaWhat the guidance saysSHP’s view
89 to 90The landlord has the legal relationship with the tenant; a managing agent cannot be the landlord.Agreed. Chapter 5.
97 to 107Check public registers; ask unregistered housing associations and voluntary organisations for their constitution and a summary of accounts; registration does not guarantee not-for-profit status.Agreed. Registers first, then documents. Once per scheme, then annually.
108 to 125CICs and community benefit societies need rigorous examination of constitution, accounts and articles.Agreed, proportionately. Companies House and FCA records cover much of this.
126 to 132Lease-based schemes carry risks; councils can investigate connected parties and lease terms, and whether the owner exerts excessive influence.Agreed. These are questions about how the model is used, not the model itself (FYE, para 11).
137 to 140Check who provides the support, need, sufficiency, link to the accommodation, and funding; third-party support needs a contract with the landlord.Agreed. The service description and any SLA answer these at scheme level.
160 to 165, 187Identify how support is funded; deduct where ineligible support is unfunded.Agreed for ineligible support actually provided. Not a basis for a notional deduction where the support relied on is eligible IHM and maintenance (Chapter 3, 3.4).
168, 196, 238Request a rent breakdown on new claims and rent increases; compare with the previous year.Agreed for new schemes and increases. For new claims at an established scheme, the current scheme breakdown should be enough.
209 to 210Collaborate with commissioning and housing options; consider each case individually.Agreed. Collaboration is how the scheme file is built and kept up to date.

Good practice

For councils:

  • Keep one scheme file for each scheme and provider, with a named officer responsible for it.
  • Check public registers and internal records before asking the provider.
  • Ask for scheme-level evidence once, using a standard checklist (Appendix 4), and say what you already hold.
  • Review the scheme file annually, and on rent increases or material changes, rather than with every claim.
  • Treat lease and financial information as commercially sensitive and limit who sees it.
  • Where a provider operates in several areas, consider whether neighbouring councils can share or accept the same pack (paras 207 and 208), within data protection limits.
  • Record what has been accepted, so that future claims start from an agreed position.

For providers:

  • Prepare a scheme evidence pack before the first claim at a new scheme (Appendix 4).
  • Keep it up to date and send changes without waiting to be asked.
  • Use a consistent rent and service charge build-up format (Appendix 8) and explain any changes year on year.
  • Describe your support model clearly, including intensive housing management, maintenance and on-call supervision where relied on.
  • Disclose connected parties and how conflicts are managed, rather than leaving the council to find them.
  • Keep a compliance schedule for every property.

Evidence

The scheme evidence pack. A summary of what Appendix 4 contains (see Appendix 4 for the full provider and council checklists):

ItemPurposeReasonable formReview
Register entriesLandlord statusLinks or screenshotsAnnually
Constitution or articlesNot-for-profit, objects, asset lockCurrent versionOn change
AccountsNot-for-profit, costs, related partiesLatest filed or summaryAnnually
Governance statementBoard, skills, conflictsOne or two pagesAnnually
Property and lease scheduleWho provides, control, costSchedule plus representative leaseOn change
Connected parties statementConflicts of interestShort statementOn change
Management agreementAgent’s role, landlord controlCopyOn change
Service descriptionCSS model, staffing, on-callShort narrativeAnnually
Third-party SLASupport on landlord’s behalfCopyOn renewal
Funding of ineligible supportFunding sourceContract or statementAnnually
Rent and service charge build-upEligible rent, reasonablenessAppendix 8 templateOn increase, annually
Commissioning and referral agreementsNeed, funding, local fitCopies or summaryOn renewal
Compliance scheduleProperty safetySchedule, certificates on requestAnnually

Finding common ground

Agree the pack. A council and its local providers can agree the contents of the scheme evidence pack in advance, using Appendix 4, so that everyone knows what “complete” looks like.

Review together. An annual scheme review meeting, using the pack, lets both sides deal with rent increases, changes and concerns in one conversation rather than claim by claim.

Share across boundaries. Providers working in several areas face different requests for the same documents. Neighbouring councils can agree a common pack and, where lawful, share what they have checked.

Prepare for licensing. A good scheme file now will make the move to licensing easier for both sides. Councils’ licensing and Housing Benefit teams should talk early about what information each will hold.

Key cases and cross-references

CasePointChapter
Wirral BC v MF [2013] UKUT 291 (AAC), [2014] AACR 12Not-for-profit test applies to the landlord; bona fide commercial arrangements with third parties do not defeat it5, 13
Chorley BC v IT [2009] UKUT 107 (AAC)A leaseholder landlord provides the accommodation5, 13
R(H) 2/07 (CH/423/2006)Third-party support must be engaged by the landlord; joint ventures are not enough5, 6, 13
FYE v Middlesbrough CC and GPZ v Sunderland CC [2026] UKUT 157 (AAC)Lease-based schemes: concerns are about how the model is used5, 11, 13
Kerr v Department for Social Development [2004] UKHL 23Information the council can find for itself should not count against the claimant12, 13

Sources


Previous: Chapter 12: Principles of Proportionate Evidence

Next: Chapter 14: Claimant Level Evidence

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This manual is licensed under CC BY-ND 4.0: you can share it freely, with credit to SHP, without changes. See Rights and licence. Supported Housing People Ltd, Version 1.0, October 2026.