Managing Housing Benefit Claims in Supported Housing | Part D: Process and Practice
In brief
- A good decision letter tells the tenant and the provider what has been decided, why, on what evidence and under what law, and what they can do if they disagree. Most appeals in supported housing start with a letter that did not do this.
- The regulations set minimum contents for every decision notice, including the right to request a written statement of reasons and the right to request a revision and appeal (Housing Benefit Regulations 2006, regulation 90 and Schedule 9).
- Where no award is made, other than on income grounds, the notice must state the reason why (Schedule 9, para 14(b)). Where an award is made at a lower level than claimed, good practice is to explain that too.
- There is no such thing in law as a decision on a scheme. Each decision is a decision on a tenant’s claim (CH/1289/2007, para 27). But many decisions in supported housing turn on scheme-level facts, so the reasons for a group of claims will often be the same.
- A decision that a scheme is not exempt accommodation, or that a service charge is ineligible, must be notified to each tenant affected, with reasons and appeal rights. A letter to the landlord alone is not enough.
- A landlord is a “person affected”, with its own rights of challenge, only for decisions on direct payment and on recovery of an overpayment from it (Decisions and Appeals Regulations 2001, regulation 3; Wirral MBC v Salisbury Independent Living Ltd [2012] EWCA Civ 84). On other decisions, the provider can act for the tenant with the tenant’s authority.
- SHP’s position: a well-reasoned decision is the best protection for both sides. It lets the tenant and the provider understand the decision, accept it or challenge it on the right points, and it lets a tribunal see that the council applied the law properly.
The law
Notification. The council must notify in writing “any person affected” by a decision, on a claim “forthwith or as soon as reasonably practicable thereafter”, and in other cases within 14 days or as soon as reasonably practicable. Every notification must include the matters in Schedule 9 (regulation 90(1)) (legislation.gov.uk).
Contents of a decision notice. Schedule 9 requires (legislation.gov.uk):
| Part | When it applies | What must be included |
|---|---|---|
| 1 | Every notice | The right to ask for a written statement of reasons; the right to a revision and, where appropriate, to appeal, with the manner and time limits (paras 2 and 3) |
| 1 | After a revision is requested | Whether the decision has been confirmed or revised and, if not revised, the reasons why not (para 4) |
| 2 and 3 | Awards | The weekly eligible rent; any fuel deductions; non-dependant deductions; the weekly amount; payment day and period; the first day of entitlement; the duty to report changes (paras 9 and 10) |
| 4 | Direct payment to a landlord | The amount and start date; the landlord’s duty to report changes. Sent to both the claimant and the landlord (para 11) |
| 6 | No award | Where the reason is not income, “the reason why no award has been made” (para 14(b)) |
| 7 | Recoverable overpayment | The fact, reason, amount, calculation, benefit weeks and method of recovery (para 15) |
The council may include other matters not prescribed by the Schedule (para 6).
Written statement of reasons. A person affected can ask, within one month of notification, for a written statement setting out the reasons for the decision. The council must provide it within 14 days or as soon as reasonably practicable (regulation 90(2) and (4); Decisions and Appeals Regulations 2001, regulation 10) (legislation.gov.uk). Asking for reasons extends the time for a revision or appeal (Chapter 2, 2.7).
Who is a person affected? Regulation 3 of the Decisions and Appeals Regulations 2001 lists them: the claimant; a deputy, attorney or appointee for a claimant unable to act; a person from whom an overpayment is recoverable; and a landlord or its agent where the decision is made under regulation 95 or 96 on direct payment. Even then, the person must have their “rights, duties or obligations” affected (regulation 3(2)) (legislation.gov.uk).
Wirral MBC v Salisbury Independent Living Ltd [2012] EWCA Civ 84. The Court of Appeal (Hughes LJ, with Kay and Lewison LJJ agreeing) held that regulation 3 is an exhaustive list of persons affected, and that only they can appeal. A supported housing landlord had no independent right to appeal against its former tenants’ Housing Benefit awards. Housing Benefit is a benefit for occupiers, not for their landlords (Local Government Lawyer summary). Chapter 20 (20.5) covers the consequences for appeals.
The standard of reasons. The regulations do not define adequate reasons. The general public law standard is a useful benchmark: reasons “must be intelligible and they must be adequate. They must enable the reader to understand why the matter was decided as it was and what conclusions were reached on the ‘principal important controversial issues’, disclosing how any issue of law or fact was resolved”. They “can be briefly stated” and “need refer only to the main issues in the dispute” (South Buckinghamshire DC v Porter (No 2) [2004] UKHL 33, para 36) (BAILII). In rent restriction, the case law specifically requires reasons for the amount of any reduction (CH/4970/2002; Aylesbury Vale DC v ER [2011] UKUT 160 (AAC), para 58; Chapter 10).
Each claim is decided on its own facts. The exempt accommodation test is applied to each claimant and their dwelling (CH/1289/2007, para 27; DWP guidance, para 210). The law has no separate category of “scheme decision” carrying its own rights of appeal.
Equality. Many supported housing tenants are disabled. Councils must make reasonable adjustments in how they communicate decisions, such as using plain language, providing easy-read versions, or sending a copy to a support worker with the tenant’s agreement (Equality Act 2010, sections 20 and 29).
19.1 Good decision letters: reasons, evidence relied on, case law applied
What a good supported housing decision letter contains.
| Element | What to include |
|---|---|
| The decision | What has been decided, in one or two sentences, and from what date |
| The award | Eligible rent, service charges allowed and disallowed, weekly amount and who it is paid to |
| The question decided | For example: landlord status; whether care, support or supervision is provided and is more than minimal; eligibility of a service charge; reasonableness of the rent |
| The law applied | The regulation and the main cases relied on, with the paragraph where useful |
| The evidence relied on | The documents and information considered, including what the provider and tenant supplied |
| The findings | What the council found as fact, and why it preferred one piece of evidence to another |
| The reasons | How the law applies to the findings, engaging with the provider’s and tenant’s main points |
| The alternative award | Where exempt status is refused, what Housing Benefit is payable instead and how it is calculated |
| What happens next | Rights to a statement of reasons, revision and appeal, with time limits; who to contact; any further evidence that would change the decision |
Engage with the evidence. Reasons that say only “the support is minimal” or “the charge is ineligible” do not tell anyone why. A good letter says what support the council accepted was provided, why it considered that it did, or did not, make a real difference to the tenant’s ability to live in the accommodation, and which evidence it relied on (Chapter 8; Bristol City Council v AW [2009] UKUT 109 (AAC)).
Go activity by activity where it matters. Where a service charge is partly disallowed, list the activities allowed and disallowed, with the amount and the reason for each (Chapter 9; Allerdale BC v JD and Others [2019] UKUT 304 (AAC)). Where intensive housing management is accepted as housing-related support and supervision, say so. Where an activity is treated as care or personal support, say why.
Apply the law, not a rule of thumb. A decision that relies on a minimum number of hours, a requirement for commissioning or a comparison between the cost of support and the Housing Benefit at stake is likely to be wrong in law (Chapter 4, 4.2; Chapter 16). If the DWP guidance is relied on, cite the paragraph, and where it differs from the case law, apply the case law (Chapter 3).
Say what the tenant will receive. A refusal of exempt status does not usually mean no Housing Benefit. The tenant may still be entitled under the general rules, for example at the Local Housing Allowance rate. The letter should say what is awarded and how it is calculated, so the tenant and provider can plan.
Say what would change the decision. Where the decision turns on a gap in the evidence, say what further evidence would be relevant. That points both sides towards a revision rather than an appeal.
Plain language. Write for the tenant. Put the decision and the award first. Use short sentences, explain technical terms, and put the detailed reasons in a schedule if needed.
A “minded to” letter. For a significant scheme-level issue, such as a proposed refusal of exempt status for a whole scheme, a short letter setting out the proposed decision and reasons, with a short period for comments, often resolves points of fact before the decision is made. A minded to letter is not a decision and does not carry appeal rights, so it must not be used to delay one. SHP’s position is that two weeks is usually enough, and the council should then decide.
19.2 Scheme level decisions compared with individual claimant decisions
The legal position. Each decision is on a tenant’s claim. A council cannot lawfully make one decision about a scheme and treat it as deciding every tenant’s claim without considering each one (CH/1289/2007, para 27). Tenants in the same scheme can have different outcomes, particularly on whether the support they receive is more than minimal (Chapter 8, 8.4).
The practical position. Many questions in supported housing turn on scheme-level facts that are the same for every tenant: the landlord’s status, who provides the accommodation, the service charge build-up and the rent. The council can decide those questions once, on the scheme evidence, and apply its findings to each claim (Chapter 13; Chapter 18, 18.1). That is consistent decision making, not a scheme decision.
How to do it properly.
- Record the scheme-level findings on the scheme file, with the evidence and reasons.
- Decide each claim, applying those findings and considering the tenant’s own circumstances, such as their need for support and what they receive (Chapter 14).
- Notify each tenant of the decision on their claim, with reasons and appeal rights. The scheme-level reasons can be set out in a common schedule attached to each letter.
- Tell the provider, with the tenant’s authority, so that it can help tenants respond (19.3).
Where outcomes differ. Where the council decides that some tenants’ support is more than minimal and others’ is not, each letter should say why for that tenant. The provider should check whether the difference reflects a real difference in need or support, or a gap in the evidence for some tenants.
Revisions and appeals across a scheme. Where many tenants challenge decisions on the same scheme-level point, the council and provider should agree how to handle them together, for example by agreeing lead cases. Chapter 20 covers this.
Changes on a scheme-level point. Where the council later revises its view on a scheme-level point, for example after new evidence or a tribunal decision, it should apply the revision to every affected claim, not only to those that were appealed.
19.3 Sharing decisions with landlords and tenants while respecting appeal rights
Tenants come first. The tenant is the claimant and the main person affected. Every decision must be notified to them in writing, in a form they can understand, with their rights of challenge. A decision letter sent only to the provider does not meet the regulations and may leave the time limits for a revision or appeal unclear.
What the landlord receives as of right. Where benefit is paid directly, the landlord must be sent the notice of the amount to be paid directly and its duty to report changes (Schedule 9, para 11). It is a person affected by decisions on direct payment and on recovery of an overpayment from it (regulation 3(1)(d) and (e)).
What the landlord cannot do in its own right. Following Salisbury, a landlord cannot ask for a revision of, or appeal against, a decision on a tenant’s eligible rent, exempt status or service charges in its own name. It can do so on the tenant’s behalf, with the tenant’s authority, and the tenant remains the appellant.
Getting authority right. Providers should, at sign-up:
- explain to the tenant how Housing Benefit decisions will be shared and challenged
- obtain the tenant’s written authority for the provider to receive copies of decisions, ask for reasons, and request revisions or appeals on the tenant’s behalf
- record any appointee, attorney or deputy, who is a person affected in their own right where the tenant is unable to act (regulation 3(1)(b) and (c))
- review the authority when the tenant’s circumstances change, and stop acting where the tenant withdraws it
Councils should accept a clear written authority and send copies of decisions to the provider in line with it.
Data protection. Sharing a decision with a provider involves personal data and, often, health information. Share what is needed for the provider to act for the tenant and manage the tenancy, on a lawful basis, and no more (Chapter 12, 12.6). Detailed reasons about one tenant’s health or needs should not appear in a common schedule sent across a scheme.
When a tenant has left. Former tenants keep their rights of challenge, but they are often hard to reach. Where a decision affects former tenants, for example, a decision on a past period, the council should send the letter to the last known address and, with authority, a copy to the provider. Providers should keep forwarding details at move-on where the tenant agrees (Chapter 14, 14.7).
Do not let the process defeat the right. Councils should not refuse to deal with a provider with proper authority, and providers should not lodge challenges without the tenant’s knowledge. Both should ensure tenants know a decision has been made, what it means for them, and that they have a month to challenge it.
The guidance
| Para | What the guidance says | SHP’s view |
|---|---|---|
| 210 | Each case must be considered individually | Agreed. Scheme-level findings support claim decisions; they do not replace them (19.2) |
| 240 and 241 | Notify rent decisions quickly, with reasons and appeal rights | Agreed. The same applies to every supported housing decision (19.1) |
Good practice
For councils:
- Use a standard supported housing decision letter that covers every element in 19.1 (Appendix 10).
- Put the decision and the award first, in plain language, and the detailed reasons in a schedule.
- Cite the law and the evidence relied on, and engage with the main points raised.
- Where exempt status is refused, say what Housing Benefit is payable instead.
- Notify every tenant affected by a scheme-level finding, with their own letter.
- Use a minded to letter for significant scheme issues, with a short, fixed period for comments.
- Make reasonable adjustments in how decisions are communicated.
- Send copies to providers where the tenant has given written authority.
For providers:
- Obtain tenants’ written authority at sign-up, and keep it up to date.
- Read each decision promptly and check it against the scheme file and the tenant’s records.
- Ask for a written statement of reasons where the reasons are unclear, within one month.
- Help tenants understand decisions and their rights, using accessible formats where needed.
- Challenge decisions on behalf of tenants, with their authority, not in the provider’s own name.
Evidence
A decision record. Councils should keep, for each decision, a short record of the evidence considered, the findings, the law applied and the reasons. For scheme-level findings, the record sits on the scheme file (Chapter 13). This speeds revisions, helps the council respond to appeals, and supports quality assurance (Chapter 22).
An authority record. Providers should keep each tenant’s written authority, and the council should note it on the claim.
Finding common ground
Reasons reduce appeals. A tenant and provider who understand a decision are more likely to accept it or to challenge it on the point that matters, and less likely to appeal on everything.
Share the draft schedule. For scheme-level findings, sharing the draft common schedule of reasons with the provider, as part of a minded to letter, lets errors of fact be corrected before the decision is made.
Agree a format. A local protocol can include an agreed decision letter format and a standard tenant authority form (Chapter 17, 17.2; Appendices 10 and 12).
Key cases and cross-references
| Case or provision | Point | Chapter |
|---|---|---|
| Wirral MBC v Salisbury Independent Living Ltd [2012] EWCA Civ 84 | Regulation 3 is exhaustive; landlord has no independent right of appeal | 2, 19, 20 |
| South Buckinghamshire DC v Porter (No 2) [2004] UKHL 33 | Standard of reasons | 19 |
| CH/1289/2007 | Test applied to each claimant and dwelling | 8, 14, 19 |
| CH/4970/2002; Aylesbury Vale DC v ER [2011] UKUT 160 (AAC) | Reasons for the amount of a rent reduction | 10, 19 |
| HB Regulations 2006, reg 90 and Schedule 9 | Notification and contents of decision notices | 19 |
| D&A Regulations 2001, regs 3 and 10 | Persons affected; statement of reasons | 2, 19, 20 |
- Related chapters: Chapter 2 (2.7, reviews and appeals); Chapter 4 (4.2, findings of fact are not rules); Chapter 8 (more than minimal); Chapter 9 (service charges); Chapter 12 (12.6, data protection); Chapter 13 (scheme file); Chapter 20 (disputes and appeals)
- Appendices: Appendix 10 (model decision notice); Appendix 12 (model local protocol); Appendix 13 (data sharing agreement)
Sources
- Housing Benefit Regulations 2006, regulation 90: https://www.legislation.gov.uk/uksi/2006/213/regulation/90
- Housing Benefit Regulations 2006, Schedule 9: https://www.legislation.gov.uk/uksi/2006/213/schedule/9
- Decisions and Appeals Regulations 2001, regulation 3: https://www.legislation.gov.uk/uksi/2001/1002/regulation/3
- Decisions and Appeals Regulations 2001, regulation 10: https://www.legislation.gov.uk/uksi/2001/1002/regulation/10
- Wirral MBC v Salisbury Independent Living Ltd [2012] EWCA Civ 84 (summary): https://localgovernmentlawyer.co.uk/housing-law/315-housing-features/9518-affected-persons-and-housing-benefit
- South Buckinghamshire DC v Porter (No 2) [2004] UKHL 33: https://www.bailii.org/uk/cases/UKHL/2004/33.html
- DWP guidance for supported housing claims: https://www.gov.uk/government/publications/housing-benefit-guidance-for-supported-housing-claims/housing-benefit-guidance-for-supported-housing-claims
Previous: Chapter 18: The Claim Lifecycle
Next: Chapter 20: Disputes, Revisions and Appeals
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.