How Can You Apply for Discretionary Housing Payment?
Struggling to cover your rent or housing costs despite receiving benefits? A Discretionary Housing Payment (DHP) might be the short-term financial help you need.
Available across the UK, this payment is issued by your local authority to ease housing-related financial hardship.
If you’re receiving Housing Benefit or the housing element of Universal Credit and still can’t meet your housing expenses, this additional support could be vital.
Understanding how to apply for a Discretionary Housing Payment and what it can cover is essential for those facing financial strain due to welfare limitations or housing benefit shortfalls.
What Is a Discretionary Housing Payment?
A Discretionary Housing Payment is a non-repayable financial support provided by your local council. It helps individuals who are struggling to meet housing costs despite receiving benefits. These payments are not part of your core benefit entitlements but are instead granted at the discretion of your local authority.
DHP is meant for people facing difficulty because their Housing Benefit or Universal Credit does not fully cover their rent.
It’s not a guaranteed entitlement, but a form of temporary help during difficult financial periods. Each council evaluates claims independently, considering your financial situation and level of hardship.
It is available in England, Wales, Scotland, and Northern Ireland, though the application processes and criteria may differ slightly by region.
How to Be Eligible for Discretionary Housing Payment?
Eligibility for a Discretionary Housing Payment depends on two main conditions: your current benefit status and the financial difficulty you’re experiencing in relation to housing.
You must meet the following criteria:
- Be receiving either Housing Benefit or the housing element of Universal Credit
- Be facing a shortfall between your housing-related income and your rent or housing costs
- Be responsible for paying rent at the property where you live
Some of the common situations where people may qualify include:
- You’re affected by the Benefit Cap
- Your rent is higher than your Local Housing Allowance (LHA)
- You’ve been hit by the bedroom tax (removal of the spare room subsidy)
- You need financial help for moving costs, such as a deposit or rent in advance
Key Notes:
- You don’t need to be a certain age, but you must have a legal responsibility for the rent
- DHPs are not automatic; your local council assesses your circumstances
- Income, savings, and exceptional expenses are all considered
Meeting the basic criteria and clearly showing your financial hardship gives you the best chance of being approved for a Discretionary Housing Payment.
When Can You Apply for a Discretionary Housing Payment?
You can apply for a Discretionary Housing Payment when you’re experiencing a shortfall in rent or facing difficulty with specific housing-related expenses that your benefits do not fully cover.
Common triggers for applying include:
- Your Universal Credit or Housing Benefit doesn’t cover all your rent
- You’re about to move and need help with a deposit or rent in advance
- You’re dealing with the bedroom tax or benefit cap
- You need help with removal costs for relocation
Minimal bullet points are included because your reason for applying should be supported by a clear explanation of hardship.
Timing matters, so apply as soon as the need arises. Do not wait until arrears build up, especially since councils do not guarantee backdating of payments.
How to Apply for Discretionary Housing Payment?
The process of applying for a DHP differs by local council, but the general approach remains similar throughout the UK. You should begin by contacting your local authority to request an application form or to access their online portal.
You can typically apply via:
- Online council application forms
- Telephone submission
- Postal or in-person applications at council offices
When preparing your application:
- Explain clearly why your current benefit doesn’t cover your rent
- Detail your monthly income and all essential expenses
- Be transparent about any special circumstances (e.g. illness, disability, job loss)
Some councils may also ask for a budget breakdown. It’s advisable to give full, accurate information to improve your chances of approval.
What Information and Documents Do You Need to Apply?
Each council has slightly different requirements, but most expect you to provide supporting documentation that shows financial need.
You will likely need:
- Recent payslips (for you and your partner, if applicable)
- Two months of bank statements
- Proof of rent arrears or letters from your landlord
- Loan or repayment agreements
- Medical evidence if health impacts your situation
- Utility bills showing high or unusual expenses
Being prepared with accurate documents can significantly speed up your application process.
What Happens After You Submit Your DHP Application?
After your application is submitted, the council will assess your financial situation and determine whether you qualify for support.
They will evaluate:
- Your total income and expenses
- Your rent compared to your benefit entitlement
- Any urgent or exceptional needs
Once reviewed, you will be contacted with a decision. This might be:
- A full award (covering all shortfall)
- A partial award
- A rejection with reasons provided
Councils generally respond within a few weeks. If urgent, you can request priority review based on your circumstances.
What a Discretionary Housing Payment (DHP) Can and Cannot Cover?
Discretionary Housing Payments are designed to assist with specific housing-related costs, but they also have clear boundaries on what they do not cover.
What DHP Can Cover?
- Rent shortfalls due to benefit cap, bedroom tax, or LHA limits
- Rent in advance when moving to a new property
- Tenancy deposits for securing accommodation
- Removal or relocation costs
What DHP Cannot Cover?
- Council Tax, even if you’re receiving Local Council Tax Support
- Rent increases due to arrears
- Sanctions or reductions in benefits
- Repayments of overpaid Housing Benefit
By understanding what DHPs do and do not cover, you can avoid wasting time submitting ineligible applications.
How Much Will You Receive and How Long Will a DHP Last?
The amount and duration of a DHP vary greatly and are entirely at the discretion of your local council. There is no national limit on the amount or how long you can receive it.
The council will consider:
- Your rent shortfall
- Level of financial hardship
- Whether your situation is temporary or long-term
DHP Support Summary
| Factor | Details |
| Minimum Award | Can be as low as £1 (symbolic awards exist) |
| Maximum Award | Up to the full rent shortfall |
| Duration | One-off, short-term, or ongoing |
| Reapplication Required? | Yes, if ongoing support is needed |
Always confirm with your council regarding the period covered and reapplication steps for continued support.
How Does the Council Decide the Amount?
Councils consider multiple personal and financial factors to decide how much DHP to award and for how long.
Key considerations include:
- Your income and essential outgoings
- Housing costs not met by benefits
- Number of dependents
- Medical or disability-related costs
- Evidence of financial hardship
They may offer less than requested or prioritise short-term help while you seek a long-term solution.
Can You Get Backdated Discretionary Payments?
Discretionary Housing Payments (DHP) are not automatically backdated, but in certain cases your local council may agree to do so. To be considered, you must provide a valid explanation for why you were unable to apply earlier.
Common reasons include being in hospital or dealing with serious health issues, not realising you were eligible, or waiting for important documents or professional advice before making the application.
If you believe you qualify, clearly explain your situation in your application and attach supporting evidence. While backdating is not guaranteed, councils can exercise discretion if your circumstances justify the delay.
How Is a Discretionary Housing Payment Paid and To Whom?
Discretionary Housing Payments are typically issued directly to the party responsible for housing costs.
Payment to You
In some cases, DHP funds will be paid directly to the tenant. This is more common when the applicant is fully responsible for managing their own rent and has no history of arrears or mismanagement of housing payments. The money is usually transferred to the applicant’s bank account.
Payment to Landlord
If the applicant has rent arrears or the council believes that direct payment will protect the tenancy, DHP may be sent directly to the landlord or housing provider.
This ensures the funds are used solely to reduce housing debt or secure continued accommodation. Either method is determined during the application process based on what’s most suitable and secure.
What Should You Do If Your Application Is Rejected?
If your DHP application is rejected, don’t give up. You still have the right to challenge the decision and request a reconsideration.
Councils will often review a case if new information or documentation is provided after the initial decision. Acting promptly and respectfully will always work in your favour.
Actions you can take:
- Request a detailed explanation for why your application was declined
- Submit additional evidence to show increased hardship or changed circumstances
- Ask for the decision to be reviewed, which many councils allow informally
- Make a formal complaint through the council’s complaint procedure if needed
- Seek advice from welfare or housing support advisers
Although there is no formal appeal process under benefit law, judicial review may be an option if you believe the decision-making process was unfair or unlawful.
How Can You Contact the Council About a Discretionary Housing Payment?
You should contact your local council through its housing department. Most councils offer online portals where you can start your application, upload documents, or check the status.
Tips:
- Use search phrases like “[Council Name] Discretionary Housing Payment” to find the correct page
- If information is not clear, contact the council via phone or visit in person
- Ask for guidance on local schemes such as “Resident Support Schemes” or similar alternatives
Reaching out directly ensures you get accurate advice tailored to your council’s policies and increases your chances of a smooth application.
How Is the Application Process Different in Scotland and Northern Ireland?
Though DHPs are available UK-wide, processes and eligibility can differ in Scotland and Northern Ireland.
Regional Differences:
| Region | Key Differences |
| Scotland | DHPs used to offset bedroom tax and benefit cap automatically |
| Northern Ireland | Paid at different rates via NI Housing Executive; complex eligibility |
| England/Wales | Apply via local councils; support is discretionary and varied |
For residents in Scotland and Northern Ireland, guidance from local housing advisers is recommended due to regional schemes and calculation methods.
Conclusion
Discretionary Housing Payments offer a much-needed financial lifeline for individuals struggling with rent and housing costs. While the support is temporary and not guaranteed, it can bridge the gap during difficult periods.
Knowing how to apply, what’s required, and what to expect from the process is crucial. If you’re eligible, act promptly and provide all the evidence needed to help your council make a fair decision.
It’s a form of support worth considering if you’re facing housing insecurity due to benefit shortfalls.
FAQs About Applying for Discretionary Housing Payment
Do discretionary housing payments affect my other benefits?
No, DHPs are not counted as income or capital and do not affect other means-tested benefits.
Can I receive a DHP if I’m working?
Yes, being employed does not disqualify you from receiving a DHP, but your income will be assessed.
Is there a set limit on how long I can receive DHP support?
No, there is no fixed duration for DHPs. The council will decide based on your situation.
Can I get help with rent arrears using a DHP?
In some cases yes, but DHPs cannot cover arrears resulting from benefit overpayments or sanctions.
What changes must I report while receiving DHP?
You must inform the council of any changes to your income, household, or benefit status.
Is there an age limit for receiving a discretionary housing payment?
There’s no set age limit, but you must be eligible for Housing Benefit or Universal Credit.
How can I increase my chances of a successful application?
Provide detailed documents, explain your situation clearly, and follow the council’s application guidance closely.
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