The Rent Service Factsheet

The Rent Service

The rent service is a government agency providing rental valuation services to local authorities in England.  They supply a range of valuations to assist in settling Housing Benefit claims.

Since April 2006 referrals from the Plymouth area have been sent to the Truro branch:

 

Housing Benefit

Each Housing Benefit claim will be assessed at some point in time by the rent service, whether before a tenancy commences to establish what rent level may be achievable (Pre-Tenancy Determination: PTD) or post-tenancy for a rent assessment.

Pre-Tenancy Determinations (PTDs)

A PTD is a valuation by the rent officer which decides the maximum amount of rent that will be used to calculate how much housing benefit a tenant is entitled to.  The amount on the PTD is not the rent that will be paid - but the maximum amount that is used in a Housing Benefit calculation - which then takes into account a person’s income, age and family size.

If there are services included in the rent (such as fuel bills, water charges, laundry or room cleaning), the Rent Officer will deduct the value of these as these are not included in Housing Benefit payments.

For more information a leaflet about PTDs is available through the following link:

http://www.therentservice.gov.uk/documents/housing-benefit/pre-tenancy-determination-Dec-05.pdf

The following is a link to a PTD application form which can be printed.  The form needs to be completed by landlord and tenant and submitted to:

http://www.therentservice.gov.uk/documents/housing-benefit/application-for-a-pre-tenancy-determination.pdf

How can a landlord/agent benefit from completing a PTD?

Completing a PTD has two main benefits for landlords.

• You can get a good idea if a person or family can afford to rent your property.   The PTD will not tell you how much Housing Benefit a tenant will get, but it will indicate the amount that is used in the Housing Benefit calculation - the maximum amount they will look at.  If the PTD comes back vastly different from the rent you have set, it is likely the prospective tenant may find it difficult to make up the shortfall in benefit.
• Completing a PTD prior to a tenancy can also speed up a Housing Benefit claim.  If a PTD is not completed prior to move-in, The Housing Benefit Dept will still have to refer the claim to the Rent Service, thus delaying the time it takes to complete the claim. Delays can also be avoided by completing the PTD form fully and accurately including postcodes.

Sharing Lettings Information

Determinations are based on market evidence.  In order for the Rent Service to have the widest knowledge of rents in the Plymouth area they need local landlords and agents to share information about their rent levels.  

All data received is treated in the strictest confidence.  The Rent Service need:

• the address
• postcode
• type of dwelling (terraced house or flat etc.)
• number of bedrooms and reception rooms
• if central heating or parking
• rent
• water rates or fuel included
• the approximate date of the letting or renewal

The Rent Service can receive this information by post, email or telephone. They can even e-mail or post a pro forma with SAE on request.

How can this benefit landlords/agents? 

If you have ever thought that the Rent Officer’s determination is lower than other local market rents then this may be because they do not have a true picture of wider local rents.  By sharing information particularly about all lettings where tenants are paying from their own resources and not in receipt of housing benefit, then there is a higher chance that housing benefit will reflect local rents. Subject to legislation relating to the number of rooms and local reference rents etc.

Rent Service - Service Level Agreement with Housing Benefit

The Service Level Agreement is a template document that describes the day to day working practices and standards expected between The Rent Service and local authority Housing Benefit departments. It sets out the responsibilities, expectations and obligations for both sides.

They aim to return 95% of PTDs (even if inspected) and rent assessments (that don’t require inspections) within 5 working days.  PTDs are simply rent assessments done by express service prior to occupation.

If I am unhappy with the valuation that a Rent Officer has made on my property, can I appeal?

Yes, if a tenant can show that the Rent Officer determination is below a market rent for the property they rent, they can appeal to the HB dept who can then request a re-determination from The Rent Service. The case will then be reconsidered by a Redetermination Officer, independent from the Rent Officer who made the original decision.  But, the request has to be made by the tenant.

Appeals/Re-determinations on PTDs can only be made once occupation of the premises has been made.

For more information about The Rent Service visit: www.therentservice.gov.uk