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Redirection of benefit payment : Contents

Changing and ending Income Related Rent redirections

Once we have established good cause to redirect a client's Income Related Rent or Income Related Rent arrears we will not change, suspend or stop the redirection before the tenancy ends or the arrears are paid unless there is strong evidence to support it.

Client requests redirection to be stopped

Redirections of benefit may be cancelled at the client's request if they can show strong evidence that there is no longer good cause to redirect rent for social housing.

You must carefully consider the evidence that is received to support that there is no good cause. Examples of strong evidence include:

  • client showing that they have a good history of rent payments prior to the redirection (for example, a superannuitant can show they have consistently paid their rent on time for several years before entering social housing)
  • the client having no history of hardship requests
  • the client showing a history of meeting their weekly financial commitments
  • a recommendation from a budget advisory service, mental health service, or other welfare or support agency

Note this is not an exhaustive list.

Changes in the benefit level prevents redirection

If the amount of benefit the client receives is reduced (eg due to income, Child Support payments, Ministry debt repayments), there may be insufficient money for a redirection of benefit to be paid.

Where a change in the benefit level results in there being insufficient benefit funds available to redirect the Income Related Rent or Income Related Rent arrears, the client will need to be advised that they will have to make the payment arrangements themselves.

For more information see:

Legislation

  • Payment generally to, or on account of, beneficiary personally section 339 Social Security Act 2018
Ministerial Direction on Redirection of Benefit Payments
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