- published: 16 May 2013
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Housing Benefit is a means tested social security benefit in the UK that is intended to help meet Housing costs for rented accommodation. The primary legislation governing Housing Benefit is the Social Security Contributions and Benefits Act 1992. Operationally, the governing Regulations are statutory instruments arising from that Act. It is governed by one of two sets of regulations. For working age claimants it is governed by the "Housing Benefit Regulations 2006", but for those who have reached the qualifying age for Pension Credit (regardless of whether it has been claimed) it is governed by the "Housing Benefit (Persons who have attained the qualifying age for state pension credit) Regulations 2006". It is normally administered, along with council tax benefit, by the local authority in whose area the property being rented lies. In some circumstances, normally council tenants in "out of Borough properties", some claimants may be required to obtain Housing Benefit from the borough that placed them and Council Tax Benefit from their Local Council. For those areas where there is two or more tier local government structure, Housing Benefit is administered by the District or Borough council layer of local government. This is generally the Council responsible for the billing of Council Tax.
Council Tax is the system of local taxation used in England,Scotland and Wales to part fund the services provided by local government in each country. (In Northern Ireland, the form of local taxation is rates.) It was introduced in 1993 by the Local Government Finance Act 1992, as a successor to the unpopular Community Charge. The basis for the tax is residential property, with discounts for single people. As of 2011, the average annual levy on a property in England was £1,196.
Council Tax is collected by the local authority (known as the collecting authority). However, it may consist of components (precepts) levied and redistributed to other agencies or authorities (each known as a precepting authority).
The collecting authorities are the councils of the districts of England, principal areas of Wales and council areas of Scotland, i.e. the lowest tier of local government aside from parishes and communities.
The precepting authorities are councils from other levels of local government such as a county or parish councils and other agencies. In metropolitan counties where there is no county council, the joint boards are precepting authorities. There may be precepting authorities for special purposes which cover an area as small as a few streets or as large as an entire country.