Deciding who the refund should be paid to
Where a decision has been made to backdate the rate of Income Related Rent, a refund needs to be established and issued.
The refund is the difference between the previously calculated rate of Income Related Rent (that generally, the client has been required to pay in rent to their housing provider) and the new lower calculated rate of Income Related Rent.
MSD will decide whether to issue the refund to the client or the housing provider.
MSD will check with the housing provider whether the client has paid the rent charged during the refund period.
Client has paid a higher amount of rent
Where the client has paid the higher amount of rent that the housing provider has charged the refund is due to the client. See:
Client has under paid their rent
Where the client has underpaid their rent to the housing provider the refund must be issued directly to the housing provider. See:
Client has paid some but not all of the rent charged
In some situations, you may need to issue the refund to the client and to the housing provider. This can happen when the client has paid some but not all of the rent charged to their housing provider. See:
Joint tenants due a refund
There may be situations where a refund is due to joint tenants. See:
Legislation
- Backdating of applications for calculation of income-related rent section 105 Public and Community Housing Management Act 1992
- Reviews of income-related rents section 116 Public and Community Housing Management Act 1992
