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Universal Credit

Question for Department for Work and Pensions

UIN 180174, tabled on 16 October 2018

To ask the Secretary of State for Work and Pensions, what steps the Government is taking to ensure that alternative payment arrangements are put in place as soon as possible to avoid rent arrears for tenants and a loss of income for landlords and agents.

Answered on

24 October 2018

A Managed Payment to Landlords (MPTL) is an Alternate Payment Arrangement (APA) that minimises the risk of claimants failing to pay their rent by paying an amount equivalent to the housing cost of their Universal Credit directly to their landlord, on the claimant’s behalf.

The decision to move a claimant on to managed payments can occur at the outset of the claim or when a claimant has accrued rent arrears - at two months or in some cases following one month due to ‘persistent underpayment’ of their rent. However, an APA can be requested at any point during the Universal Credit claim, as a claimant’s circumstances may change. A MPTL can be requested by the claimant, their representative or their landlord and will be considered on a case by case basis.

Requests for MPTLs are dealt with as a priority. The processing time of these requests is also regularly monitored. Landlords who are given access to the Landlord Portal are also given Trusted Partner status which allows them to make recommendations on whether an MPTL should be put in place. All APA recommendations from Trusted Partners will be implemented in good faith by DWP.