Yet More Tenants Move Onto Universal Credit

Since the start of the year, we’ve been keeping you up-to-date with Universal Credit as it rolls out across the UK.

The Government’s new welfare system means claimants are now paid one monthly payment of all of their benefits, instead of receiving them separately. This includes housing benefit.

So how could this affect private landlords? For landlords with tenants on benefits, the main difference will be that the landlord is no longer paid housing benefit directly – the tenants are now responsible for paying their rent themselves.

Additionally, there have been reports of long crossover times between the old system and the new, which have pushed some claimants into debt. As a result, some landlords may face rent arrears. Remember to communicate with your tenants about changes to their finances and protect yourself with rent guarantee insurance.

From today, more tenants will move onto Universal Credit, as it continues its rollout. If you have rental properties in any of the following areas, be aware that as of today, any tenants you have on housing benefit may face financial difficulties in the coming weeks.

• AL3 8 and AL5 3 in St Albans.
• CA8 2, CA8 7 and CA9 3 of Carlisle.
• CF5 5, CF5 6, CF11 7, CF11 8, CF32 0, CF61, CF62, CF63, CF64 and CF71 in Cardiff.
• DH8 9 in Durham.
• HP4 1 in Hemel Hempstead.
• LU1, LU2, LU3, LU4, LU5, LU6 and LU7 of Luton.
• MK17 8, MK17 9, MK43 0, MK43 9, MK44 3 and MK45 in Milton Keynes.
• NE10 8, NE13 6, NE15 0, NE17, NE19, NE20, NE22, NE23, NE24, NE25 0, NE25 9, NE26 4, NE27, NE31, NE32, NE33, NE34, NE35, NE36, NE37 3, NE41, NE42, NE43, NE44, NE45, NE46, NE47, NE48, NE49, NE61, NE62, NE63, NE64, NE65, NE66, NE67, NE68, NE69, NE70 and NE71 of Newcastle upon Tyne.
• SG5 3, SG5 4, SG15, SG16, SG17, SG18 and SG19 1 in Stevenage.
• SR5 1 and SR6 of Sunderland.
• TD12 and TD15 in Galashiels.

Details of the previous rollout postcode areas can be found here: /do-your-tenants-receive-housing-benefit/

For the latest updates and landlord advice, remember to visit LandlordNews.co.uk.