Social Welfare Act 2012

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Budgeting in relation to social welfare payments — amendments.

15.— (1) Section 290 of the Principal Act is amended—

(a) in subsection (1) by inserting “, subject to section 290B,” after “may be withheld”,

(b) in subsection (3)(a) by inserting “, other than any functions performed by a local authority under section 23 (amended by section 8 of the Housing (Miscellaneous Provisions) Act 2009 ) of the Housing (Miscellaneous Provisions) Act 1992 ” after “authority”, and

(c) by inserting the following subsections after subsection (3):

“(4) On and after the commencement of section 15 of the Social Welfare Act 2012, an amount of benefit under this section shall not be withheld where the purpose of such withholding of benefit is the separate payment, by the Minister, of rent to a local authority pursuant to this section and regulations made under it.

(5) Nothing in subsection (4) shall affect any withholding of benefit under this section where—

(a) the purpose of such withholding of benefit is to provide for the separate payment, by the Minister, of rent to be paid by a beneficiary to a local authority, pursuant to this section and regulations made under it, and

(b) such withholding of benefit and such separate payment has effect immediately before the commencement of section 15 of the Social Welfare Act 2012.

(6) Where—

(a) a beneficiary has consented to the withholding of an amount of benefit under this section before the commencement of section 15 of the Social Welfare Act 2012,

(b) the purpose of such withholding of benefit is to provide for the separate payment, by the Minister, of rent to be paid by a beneficiary to a local authority pursuant to this section and regulations made under it, and

(c) such withholding of benefit and such separate payment has not taken effect before the commencement of section 15 of the Social Welfare Act 2012,

nothing in subsection (4) shall prevent the taking effect of such withholding of benefit and such separate payment.”.

(2) The Principal Act is amended by inserting the following sections after section 290:

“Budgeting in relation to certain rent payments.

290A.— (1) This section applies to a beneficiary who is a tenant of a housing body and entitled to a benefit prescribed under this section.

(2) The Minister may make arrangements for—

(a) the deduction, subject to section 290B, of a sum of money from a benefit paid to a beneficiary, and

(b) the payment, on behalf of the beneficiary, of that deducted sum to a housing body for the purpose of the payment of the rent payable to the housing body by that beneficiary.

(3) The Minister—

(a) may enter into an agreement with a person, for a specified period, for the purpose of carrying out the arrangement referred to in subsection (2), and

(b) shall, where he or she enters into such agreement, by order specify the person with whom the agreement has been entered into and the period for which that agreement has effect.

(4) A deduction and payment made pursuant to this section shall cease—

(a) where the beneficiary—

(i) ceases to be entitled to a benefit prescribed under this section,

(ii) ceases to be a tenant of a housing body, or

(iii) dies,

or

(b) where such deduction and payment are discontinued in accordance with this section.

(5) A deduction and payment made pursuant to this section shall be discontinued where the housing body concerned consents to such discontinuance and a housing body shall not unreasonably withhold its consent to such discontinuance.

(6) The Minister may, after consultation with the Minister for Environment, Community and Local Government, make regulations in respect of all or any of the following:

(a) the form and manner of an application for—

(i) the deduction and payment pursuant to this section, and

(ii) the discontinuance of such deduction and payment pursuant to this section;

(b) the form and manner of an application for the variation of—

(i) an amount, subject to section 290B, to be deducted and paid to a housing body, and

(ii) the housing body to which the payment is made;

(c) the form and manner of an application to a housing body for consent to the discontinuance of a deduction and payment pursuant to this section;

(d) any documentation relating to an application referred to in paragraphs (a) to (c);

(e) the benefits from which deductions pursuant to this section are made.

(7) In this section ‘housing body’ means—

(a) a housing authority within the meaning of section 23 (amended by section 8of the Housing (Miscellaneous Provisions) Act 2009 ) of the Housing (Miscellaneous Provisions) Act 1992 , or

(b) a body standing approved of for the purposes of section 6 of the Housing (Miscellaneous Provisions) Act 1992 .

Limitations on budgeting under sections 290 and 290A.

290B.— (1) Where a sum of money is to be deducted under section 290A from a benefit to which that section applies that is payable to a beneficiary to which that section applies, the deduction shall not exceed 25 per cent of the weekly rate of that benefit.

(2) Where the withholding of an amount of benefit is to be made under section 290 from a benefit under that section payable to a beneficiary under that section, the deduction shall not exceed 25 per cent of the weekly rate of that benefit.

(3) Where an amount of benefit is withheld under section 290 in respect of a beneficiary referred to in that section and—

(a) that beneficiary and that benefit are, respectively, a beneficiary to whom, and a benefit to which, section 290A also applies, and

(b) that beneficiary makes an application under section 290A for a deduction from that benefit in respect of the same week,

the deduction under section 290A shall, subject to subsection (1), be made in the first instance and the withholding of an amount of benefit under section 290 shall only continue to be made where—

(i) the amount of the deduction under section 290A is less than 25 per cent of the weekly rate of benefit payable to that beneficiary in that week, and

(ii) the combined amount of a deduction under section 290A and a withheld amount under section 290 does not exceed 25 per cent of the weekly rate of benefit payable to that beneficiary in that week.”.