How would it affect if I was to bring in a friend as a lodger???

fatalehahmed
fatalehahmed Online Community Member Posts: 9 Listener
edited May 19 in Benefits and income

hi

Comments

  • fatalehahmed
    fatalehahmed Online Community Member Posts: 9 Listener

    I need advice. I’m living with my 21 year old daughter and I am on esa and pip. We live in a 3 bed house and currently pay bedroom tax. How would it affect if I was to bring in a friend as a lodger???

  • poppy123456
    poppy123456 Online Community Member Posts: 62,295 Championing

    You would be entitled to an extra bedroom for housing benefit. However, income from a lodger will affect any Income Related ESA you maybe claiming minus £20/week disregard. For example. of your lodger pays you £70/week then your Income Related ESA will reduce by £50/week.

  • fatalehahmed
    fatalehahmed Online Community Member Posts: 9 Listener

    so I will be transfering to universal credit as this is happening by September I believe. What I would like to know is if I charge my friend around £20-£30 a week will it affect UC and also my disability living allowance

  • fatalehahmed
    fatalehahmed Online Community Member Posts: 9 Listener

    I’m a council tenant by the way

  • poppy123456
    poppy123456 Online Community Member Posts: 62,295 Championing
    edited May 19

    It's not "by September" they are saying it's from Sept 2024 to Dec 2025 BUT there's nothing official on any Government website that gives any indication the Government has changed their mind. On all of their websites it still says between 2028/29.

    However, if your ESA doesn't include the Severe disability Premium and you're in the Support Group then you will likely be better better of claiming UC because LCWRA for UC pays more than ESA Support Group. (Unless your ESA includes the SDP)

    Income from a lodger is ignored for UC purposes. Whether it's PIP or DLA you're claiming, both will not be affected.

    I'm assuming that this person is not your partner? and just a friend?

  • fatalehahmed
    fatalehahmed Online Community Member Posts: 9 Listener

    yes a good friend who’s in full time employment that has family issues and marriage broke down and is living with parents but would like to move out.