Housing Benefit overpayment recovery

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Recovery by invoice

If you are not in receipt of Housing Benefit, we will invoice you for the full amount of your overpayment.

You must pay this invoice within 1 month.

Repay the full amount

If you cannot pay the full amount you should request to make a payment arrangement.

Request a payment arrangement

It can take up to 10 days to respond to your message.

Take money from your earnings or benefits

Attachment of (deduction from) earnings or benefits 

If you have not been able to pay your invoice within 1 month or made arrangements to pay, we may need to recover the amount from your earnings or benefits. We can: 

  • ask your employer to deduct a regular amount from your wages towards your unpaid Housing Benefit Overpayment.
  • work with the Department of Work and Pensions to have money deducted from your benefits, such as: 
    • Jobseekers’ Allowance (JSA) 
    • Income Support 
    • Pension Credit (Guaranteed Credit) 
    • Employment Support Allowance 
    • Personal Independence Payment (PIP)  
    • Universal Credit 

If this happens, the Department of Work and Pensions will let you know how much will be taken and when the deductions will begin.

Recovery from landlords

We may deduct the amount owed from Housing Benefit paid to you for your other tenants. You must then, by law, treat the other tenants' Housing Benefit as received in full.

If the overpayment was due to fraud, we will ask the tenant to repay the debt. If the landlord was not involved in the fraud.

Debt collection agencies

We may refer your overpayment to a debt collection agency if you do not:

  • repay the money you owe within the specified time
  • keep to an instalment plan we have agreed with you

Once we have done this you won't be able to make payment arrangements with us and will need to contact the agency. The agency will also seek to recover any costs.

Courts

We may take you to court if you do not:

  • repay the money you owe within the specified time
  • keep to an instalment plan we have agreed with you

If we take you to court, we can:

  • instruct the court to ask your employer to deduct the money you owe from your wages
  • ask the court to place a charging order on your property if you own your own home
  • ask the court to get your bank account frozen. If you have savings in a bank account, we can get the amount owed paid in full
  • request the court to make you bankrupt, but only as a last resort

The court will also expect you to pay any court costs that occur.