Refused Service Charges (Universal Credit)
I am a new member, and I would like to get some help/opinion in regards to Service Charges on the Universal Credit Housing Costs. When I moved into my apartment, it came with a parking space as service charge in the Tenancy Agreement which I had to pay extra. However, as I am disabled and the parking space was a bit too far from the entrance of my building, I managed to negotiate with the landlord for it to be removed from my Tenancy Agreement so that I can choose a different parking space closer to the entrance of my building, but it will be with a different letting agency which advertises parking spaces within the complex.
When I asked Universal Credit to add this Parking Space as a service charge on my housing costs, it was refused due to it being separate to my tenancy agreement. Secondly, because they consider parking space is not a service charge.
Upon checking the DWP (UC) Housing Costs guidelines, I came across the following;
Service charge payments for the general upkeep of areas of communal use
F2072 The service charge payments are for the ongoing maintenance and cleaning of, and supply of water, fuel or any other commodity relating to the common use of, internal or external areas including areas for reasonable facilities, examples include
grounds maintenance such as lawn mowing, litter removal and lighting costs for areas of access
tenant parking but not extending to the manning of car parks for security purposes
laundry facilities
upkeep of internal areas of common use outside the home, such as hallways
and corridors
children’s play areas.
Service charge payments
F2050 [See memo ADM 26/17][See memo ADM 5/18] Service charge payments are payments which1
fall within F2051
are not excluded as in F2053 and
where F2060 et seq applies, meet all the conditions set out in those paragraphs.
1 UC Regs, Sch 1, para 7(1)
F2051 Service charge payments are payments which are, in whole or in part1
1. of, or towards, the cost of, or charges for, providing services or facilities to or for the benefit of the people occupying the home or
1 UC Regs, Sch 1, para 3, 3A & 3B
2. fairly attributable to the costs of, or charges for, providing such services or facilities connected with the accommodation as are available for the use or benefit of persons occupying the home
Note: Any payments made into a sinking fund/reserve fund, that fall into 1 or 2 above, can be considered as service charges
1 UC Regs, Sch 1, para 7(2)
F2052 It is irrelevant whether or not the service charge payments1
are separately identified as relating to the costs or expenses referred to in F2051
are made in addition to or as part of any other payment (including a payment that would otherwise be regarded as a rent payment)
are made under the same or a different agreement as that under which the accommodation is occupied.
Basically the above guidelines clearly contradicts their reasons to refuse my application as tenant parking is mentioned. Also, the Service Charges and the Tenancy Agreement can be two separate agreements.
I did point out all these guidelines to the Universal Credit and DWP Complaints Team but they still gave the same refusal reasons.
I hope I have explained it well as English isn't my first language and I do apologise for the long post.
Thank you
Comments
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The paragraphs you quote refer to a service charge for the maintenance and cleaning of tenant parking areas. If the charge is a licence or permit charge for the use of a parking space it doesn’t appear to be covered. Indeed licences and permits are explicitly excluded at paragraph F2077.Information I post is for England unless otherwise stated. Rules may be different in other parts of UK.
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Thank you for your reply @calcotti
Yes you are correct, that paragraph doesn’t cover tenant parking space. My parking contract doesn’t state licence or permit charge, it’s worded “Parking Space Rental Agreement”. Could this fall under F2051?
Also, what is your view on the fact that the parking space agreement being separate from the one the accommodation was sought.
Thanks -
Jayvim said:Thank you for your reply @calcotti
Yes you are correct, that paragraph doesn’t cover tenant parking space. My parking contract doesn’t state licence or permit charge, it’s worded “Parking Space Rental Agreement”. Could this fall under F2051?Information I post is for England unless otherwise stated. Rules may be different in other parts of UK. -
Thanks again @calcotti.
So let’s say they they would have accepted the parking space as service charge if it was in the original tenancy agreement.Would it be considered unreasonable or discriminatory for them not accepting the parking space of my choice (separate agreement) due to proximity, as my disabilities “walking difficulties and severely sight impaired” meant I couldn’t use the parking space that came with the tenancy as it is much further away from the entrance of my building. -
Jayvim said: So let’s say they they would have accepted the parking space as service charge if it was in the original tenancy agreement.Information I post is for England unless otherwise stated. Rules may be different in other parts of UK.
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Hi @Jayvim and welcome to the community.
It would not be considered a housing service charge if you are charged directly via someone who is not your landlord.
Even with your landlord, if you are renting the space for your exclusive use it would not be covered, though any charges relating to the upkeep and maintenance of the area would. It would be unusual for both charges to be in place as the person/organisation renting it out would be expected to cover upkeep and maintenance costs from the rental income.
As an individual I stood alone.
As a member of a group I did things.
As part of a community I helped to create change! -
Welcome to the community @Jayvim
It looks like you've made a good start on getting to know some of the other members and getting help for your query!
If you need any further help or advice, just give us a shout.
@Caz_Scope
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