Universal Credit: Housing

(asked on 9th April 2019) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what steps she is taking to ensure that universal credit adequately supports social housing tenants paying rent weekly to meet their obligations in relation to the 53 week year.


Answered by
Will Quince Portrait
Will Quince
This question was answered on 15th April 2019

No year contains 53 weeks. This perceived issue of their being 53 weeks in a year arises where a landlord charges rent weekly on a Monday and, because of the way the calendar falls every 5 or 6 years, seeks 53 rent payments in a year, with the 53rd payment in part covering the tenancy for the first few days of the following year.

Universal Credit payments are designed to mirror the world of work, with monthly payments reflecting the way many working people are paid. This model of monthly payments allows claimants to take responsibility for budgeting their own income and helps prepare them for getting back to work. The Money and Pension Service can provide debt advice and money guidance to claimants if they need support managing their monthly Universal Credit payments.

We are aware of a separate issue with respect to the way the calculation in the Universal Credit regulations converts a weekly liability into a monthly allowance. The conversion is achieved by multiplying the weekly rent by 52 and then dividing by 12. This effectively means one day’s rent a year (two days in a leap years) are not covered by UC. We are currently considering whether this formulation around weekly rents, and potentially other weekly amounts in the UC calculation, should be amended.

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