A Discretionary Housing Payment (DHP) is a discretionary and short-term payment. Sometimes referred to as a DWP Moving House Grant, it helps those on Housing Benefits or Universal Credit with their housing costs.
The DHP is a “top-up” benefit to help those struggling the most with housing expenses. This includes rent advance if you are moving home. DHP is awarded to individuals by the local council and the payment is not taxable.
For the 2024 financial year, the UK government allocated £100 million in funding to local authorities for DHP support. With the cost of living continuing to rise, the need for DHP has increased.
Below we look at what the Discretionary Housing Payment is, who is eligible and what it can be used for.
To claim a DHP you must submit an application to your Local Authority.
Can I Claim a Discretionary Housing Payment?
Recent changes to benefits in the UK have left many people in need of additional financial help. DHP can help people with housing costs, including those affected by:
The benefit cap
The removal of the spare room subsidy in the socially rented sector
Local Housing Allowance (LHA) rates
To claim a DHP you must submit an application to your Local Authority.
Compare Removal Costs
Save up to 70% on Removal Costs
Used by over 1 million movers in the UK
What is the Eligibility Criteria?
To be eligible for a DHP you must be in receipt of Housing Benefits or Universal Credit. DHP is given if there is a shortfall between the amount of benefit or credit you receive and your housing costs
Your local authority decides if you can claim DHP. However, there are criteria you need to meet regardless of where you are. You must be old enough to have a legally enforceable liability for rent. You must also meet the age rules for Housing Benefits or Universal Credit.
Once you have enquired and applied for DHP, your local council will consider your application, looking at:
Your total income
Whether you have savings
Whether anyone else in the home can help financially
Whether you have loans or debts to pay
Whether you could rearrange your finances to help your situation
Whether you or your family have any exceptional circumstances like ill health or disability
Whether you have attempted to remedy the situation yourself
How Do I Claim?
To claim a DHP you must submit an application to your Local Authority.
This is usually your local council. Each council will decide how its own application process will work.
To see if you are eligible, your council will review your individual circumstances. This enables them to decide the following:
Whether to award you DHP
How much you will be paid
For how long you will receive the payment
How Much Discretionary Housing Payment Will I Get?
How much you get and for how long will be decided by your local council. What they award you will depend on your individual circumstances.
According to Turn2Us, there is no limit to the length of time over which DHPs can be made. Your payment could be a one-off to help you short-term, or it could be an indefinite award. The payment will either be made directly to you or to your landlord.
What Can It Cover?
The amount the local councils give you could cover all or part of your shortfall in rent. It can also help with the costs of taking up a tenancy. This includes:
Rent deposits
Rent shortfall
Rent in advance if you need to move home
Be aware that a DHP cannot cover council tax, even if you get Local Council Tax Support.
To claim a DHP you must submit an application to your Local Authority.
Compare Removal Costs
Save up to 70% on Removal Costs
Used by over 1 million movers in the UK
Can I Challenge the Amount of DHP I’ve Been Given?
If you feel the council’s decision is wrong, you can ask them to review their decision. They will respond in writing with their decision and reasoning. If you are unhappy with how your request has been handled, you can also submit a complaint to your council.
Be aware that there is no right of appeal against a DHP decision. Occasionally you may be able to apply for a Judicial Review in the High Court. This will require seeking legal advice so keep this in mind before proceeding.
To claim a DHP you must submit an application to your Local Authority.
Help with Moving Costs
As we have mentioned, to apply for a DHP you must be a recipient of either Housing Benefits or Universal Credit. These are designed to help those in most financial need across the country. If you are struggling with the costs of moving house, there is help available and a few options for you to consider.
Support for Mortgage Interest
Support for Mortgage Interest (SMI) is available for those who need help paying their mortgage or need a loan for repairs to their home.
Short-Term Benefit Advance
If you are receiving a means-tested benefit, you could apply for a Short-Term Benefit Advance (STBA). If you’ve applied for Universal Credit but are yet to have the first payment, you can apply for an early payout.
Be aware that repayments will be taken from later benefits. As a result, this option must be carefully considered.
The Disabled Relocation Grant
This is available to those with a disability when it's not possible to make their current home safe and accessible. The grants are awarded by the local authority and assessed by an occupational therapist or community care worker.
You may even need to find an accessible home, which is where organisations like Habinteg can help.
Armed Forces Charity SSAFA
If you currently serve or have served in the armed forces, you may be entitled to help with your house move. The Army works with those in Service when it comes to relocation for Service reasons.
For Veterans, the Armed Forces Charity SSAFA lists help available, including housing. Citizen Advice and Shelter also offer housing advice to Veterans.
Local Welfare Assistance
The Local Assistance Scheme is for councils to spend as they see fit. Some local authorities will use the money to help residents with the cost of moving.
Charities and Benevolent Funds
There are a number of charities and benevolent funds in the UK that may be able to offer monetary help. That said, keep in mind some of these are designed to offer aid to specific people. Again, Citizens Advice may be able to assist you in finding an organisation that can help you.
Local Authorities
If you’re struggling to find the money for upfront rent or a deposit, it is worth contacting your local council. There are many boroughs that offer a bond deposit initiative. This is an agreement between the council and your landlord. It covers any deposit deductions due to damage or non-payment of rent.
For more information on the help, you can receive when moving house read our article: Financial Help with Moving House Costs.
To claim a DHP you must submit an application to your Local Authority.
Help with Moving House on Benefits
You must tell the local council and DWP about changes in your circumstances. This includes moving house. If you move to live in a different council area, your Housing Benefit claim will end. You will then need to make a new Housing Benefit claim or claim Universal Credit in its place.
Renting
If you claim or are entitled to benefits, there may be financial help available to you. For those who are renting and on a low income or claim benefits, you may be able to get Housing Benefit to help pay for rent.
Home Ownership
If you own your own home, check if you can get help with paying the interest on your mortgage. Support for Mortgage Interest (SMI) can provide help towards your mortgage. It can also help if you have taken out a loan for repairs and improvements to your home. If you qualify, the DWP will pay any agreed amounts to your mortgage lender
Universal Credit
Universal Credit has come to replace the majority of benefits received by citizens in the UK.
If you claim Universal Credit, there may be other benefits you are entitled to. You may also be able to apply for a council tax reduction. Although this may not help during the move, it can help following the house move and going forward in your new home.
For more information on how Universal Credit can help read: Universal Credit Housing Costs
Finding a Removal Company
If you are looking to save money on your moving house costs, compare removal companies with us. We can match you with up to 6 removal companies, allowing you to find the right price for your budget. You could save up to 70% by using one of our professional removal partners.
