Struggling to cover your rent despite receiving Housing Benefit or Universal Credit? You might be eligible for a Discretionary Housing Payment (DHP).
This financial support is offered by local councils to help tenants facing rent shortfalls, arrears, or housing costs that their usual benefits don’t fully cover.
In this guide, we’ll walk you through who is eligible, how to apply for DHP, the supporting documents you’ll need, and tips to increase your chances of approval.
2001 – The UK Government launched the Discretionary Housing Payment scheme to support “low-income households” with extra housing costs.
2013 – Funding was expanded to help mitigate welfare reforms like the “bedroom tax and benefit” cap. Read the early evaluation by DWP.
2023 – The government confirmed a £100 million allocation for “DHPs” for the years ending March 2024 and 2025.
2025 – A Guardian report warned nearly 1 million children are at risk due to rising rents—making DHPs more vital than ever.
1. Who is Eligible for a Discretionary Housing Payment?
DHP is not automatically granted—it’s assessed on a case-by-case basis by your local council. You may be eligible if:
✔️ You already receive Housing Benefit or the housing element of Universal Credit.
✔️ You’re struggling with rent payments due to financial hardship.
✔️ You need help covering rent arrears, moving costs, or rent deposits.
✔️ Your benefits don’t fully cover your rent because of Bedroom Tax or the Benefit Cap.
Who is NOT eligible?
You won’t qualify for DHP if:
❌ You’re not receiving Housing Benefit or Universal Credit.
❌ You need help with Council Tax payments (DHP only covers housing costs).
❌ Your financial situation isn’t considered a hardship by the council.
2. How to Apply for a Discretionary Housing Payment (DHP)
Step 1: Check Your Local Council’s Application Process
Each local authority manages DHP independently, so the application process may vary. You can:
✅ Apply online through your local council’s website: https://www.gov.uk/find-local-council
✅ Download a paper application and submit it by post or in person.
✅ Call or visit your local housing office for assistance.
🔹 Tip: Use the official UK Government website (gov.uk) to find your council’s DHP application page.
Step 2: Complete the DHP Application Form
Your application must include:
📝 Personal details – Full name, address, contact details.
📝 Current benefit information – Proof of Universal Credit or Housing Benefit.
📝 Rent details – How much you pay and how much your benefits cover.
📝 Income & expenditure breakdown – List of earnings, savings, debts, and expenses.
📝 Reason for applying – Explain why you need financial help (e.g., rent arrears, eviction risk, loss of income).
🔹 Tip: Be honest and detailed—your local council will assess whether your circumstances justify extra help.
Step 3: Submit Supporting Documents
Your council will ask for evidence to support your claim. You may need:
📌 Tenancy Agreement – To confirm your rent amount and tenancy terms.
📌 Rent Arrears Letter – If you’re behind on payments.
📌 Universal Credit/Housing Benefit Statement – To prove benefit entitlement.
📌 Bank Statements & Payslips – To show income and financial hardship.
📌 Bills & Debt Statements – To highlight essential expenses (food, utilities, childcare).
🔹 Tip: Missing documents can delay your application. Double-check before submitting!
Step 4: Wait for the Council’s Decision
After submitting your DHP application, your local council will assess it based on:
📌 Your financial need and housing costs.
📌 Whether DHP funds are still available in their budget.
📌 The severity of your situation (e.g., at risk of eviction, disability, dependents).
⏳ How long does it take?
- Processing times vary but typically 2-6 weeks.
- If your application is successful, the council will inform you how much support you will receive and for how long.
🔹 Tip: If you haven’t heard back within a reasonable time, follow up with the council to check your status.
3. What Happens After You Apply?
✅ If Approved
- You’ll receive either a lump sum or monthly payments to help cover your rent.
- The duration of support varies—some councils offer short-term help (3-6 months), while others review your situation periodically.
- Payments may go directly to you or your landlord.
❌ If Rejected
If your DHP application is denied, you have options:
- Request a review – Contact your local council and ask them to reconsider.
- Provide more evidence – If your financial situation worsens, you can submit new supporting documents.
- Seek alternative support – Check if you qualify for Housing Association grants or other welfare assistance programs.
🔹 Tip: If you feel the decision was unfair, ask for help from tenant support organizations like Shelter UK.
4. Tips to Increase Your Chances of Approval
✔️ Apply early – DHP funds are limited and distributed on a first-come, first-served basis.
✔️ Be thorough – Incomplete applications may be rejected. Provide all required documents.
✔️ Explain your circumstances clearly – Highlight why you need help and the consequences if you don’t get it.
✔️ Show evidence of financial hardship – Clearly outline your rent shortfall, debts, and essential expenses.
✔️ Seek help if needed – Many housing support services offer assistance with applications.
5. FAQs on Discretionary Housing Payment
❓ Can I apply if I’m in private rented housing?
✅ Yes, both private and social housing tenants can apply.
❓ Can DHP cover my moving costs?
✅ In some cases, yes. Some councils provide rent deposits or rent in advance to help you move into an affordable home.
❓ How often can I apply for DHP?
✅ There’s no limit, but you must reapply if your payment period ends and you still need help.
❓ Does DHP cover Council Tax?
❌ No, DHP only helps with rent and housing costs—not Council Tax.
❓ What if my benefits are sanctioned?
✅ If your benefits are reduced due to sanctions, you may still get DHP, but approval is at the council’s discretion.
Conclusion
Applying for a Discretionary Housing Payment (DHP) can be a lifeline if you’re struggling with rent. Follow these steps:
1️⃣ Check your local council’s application process.
2️⃣ Complete the DHP application form thoroughly.
3️⃣ Submit all supporting documents to prove financial hardship.
4️⃣ Follow up on your application status and seek support services if needed.
If you’re facing housing insecurity, don’t wait—apply today and secure the financial help you need! 🚀
🔗 Find your council’s DHP application here: gov.uk