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Top Income Support & Jobseeker's Allowance topic #3587

Subject: "JSA - rent in parents house" First topic | Last topic
Lostdog
                              

Rents Team, Framework Housing Association, Nottingham
Member since
19th Jul 2005

JSA - rent in parents house
Tue 16-Jan-07 02:57 PM

Client would like to claim JSA as recent agency work ended. He lives in a house owned by his parents, and shares house with two friends with a joint tenancy. These friends each pay their slice of the rent directly into client's bank a/c. Client then pays full rent over to parents. He is effecetively acting as an intermediary for his parents.

Should these rent transactions be ignored as income/capital for JSA purposes? What would be proof would be required by JSA section?(e.g. would tenancy agreement be necessary?)

Also, is there any chance of HB in the circumstances, or does the fact that parents are the landlord disqualify client from HB?

Thanks in advance.

  

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Replies to this topic
RE: JSA - rent in parents house, BrianSmith, 17th Jan 2007, #1
RE: JSA - rent in parents house, Lostdog, 17th Jan 2007, #2

BrianSmith
                              

Welfare rights officer, northumberland nhs care trust
Member since
06th Oct 2004

RE: JSA - rent in parents house
Wed 17-Jan-07 09:27 AM

Provided the 3 of them have a joint tenancy in the formal sense, the son can claim HB/CTB on his third. It doesn't matter that the landlord is a close relative provided he/she/they don't live in the premises. It also doesn't matter that the son acts as a post box for the other two's rent - he is not the beneficial owner of that money. LA would need to be persuaded that the tenancy was not contrived, ie they have been paying rent from the start and the rent is no higher than local market rent.

  

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Lostdog
                              

Rents Team, Framework Housing Association, Nottingham
Member since
19th Jul 2005

RE: JSA - rent in parents house
Wed 17-Jan-07 11:52 AM

Thanks Brian - excellent news for all concerned!

  

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Top Income Support & Jobseeker's Allowance topic #3587First topic | Last topic