ARLA Propertymark has long campaigned for letting agents and landlords to be directly paid their tenant’s housing costs for Universal Credit. Currently, the Alternative Payment Arrangements System must be applied for by the landlord where it can be proven that the tenant has trouble paying their rent. This is called a Managed Payment to Landlord, and they are dealt with by the DWP on a ‘case by case’ basis.
However, a new online system seems to be on the horizon which will enable private landlords to be paid rent from tenants in receipt of Universal Credit in as little as two hours, instead of the usual three weeks. This initiative is set be launched later this year. The launch will follow an extended pilot of the platform,
The system replaces the current UC47 forms landlords have had to fill in to redirect payments to their bank accounts via the Alternative Payment Arrangement System, rather than those of their tenants.
Caridon Landlord Solutions, which works with private landlords, letting agents and housing associations to help them recover DWP payments due to them, says the UC47 forms have been the main cause of problems with Universal Credit within the Private Rented Sector.
