From UC back to old benefits

Do the regulations prevent a UC claimant who moves into supported housing from reverting back to old income benefits (JSA/ESA)? This has been allowed for a few of our residents but I don’t know if it should be allowed. I need to produce guidance for support staff. The background is that when claiming HB (as required in supported housing) claimants struggle to produce their UC   award letter as evidence and can’t always obtain a copy from dwp (or it is very delayed). UC and HB systems are not adequately integrated to enable LA to check direct so they need UC letter as evidence. Therefore HB refused.

If on JSA / ESA claimant can more easily obtain a new proof and LA are able to check directly via link to DWP systems.

Thanks for any help!

If you are in an area where the ‘gateway’ conditions still apply (ie not a UC full service area), then you can go back to the ‘legacy’ benefits. This will be the case if you stop being entitled to UC (eg you no longer meet the basic conditions or your income, other than earnings, becomes too high) or you surrender your UC award, and you then reclaim and don’t meet the gateway conditions.

However, those in supported accommodation probably fall under the definition of ‘specified accommodation’ and so those housing costs are not eligible for the UC housing element. This is the one case where both UC and HB can be paid together, so UC can continue to pay the standard allowance and other elements like those for limited capability for work but the housing costs would be claimed from and paid by HB.

So in the case of your clients already on UC, they should be able to stay on it when they move in (they are in the ‘lobster pot’) but with HB paying their housing costs, but if they choose to surrender their UC award (or they are no longer entitled for some other reason, eg they become a full-time student), they should then be able to make new claims for the old legacy benefits if they would no longer meet the UC gateway conditions.

One thing to note - if do surrender the UC award think about the timing. Ending the award part way through an assessment period will result in loss of benefit for the whole period, with limited possible backdating of legacy benefits.