Universal Credit

Paying your rent when you are in receipt of Universal Credit

If you are in receipt of Universal Credit and are claiming the Housing Cost element this will be paid as part of your single monthly payment. If you were previously in receipt of housing benefit, this was automatically paid to your rent account. This is not the case with Universal Credit therefore you need to decide how you will pay your rent:

  • you can set up a regular payment for your full rent and any arrears arrangement via any of our payment methods listed here
  • you can request the Housing Cost element be paid directly to your Birmingham City Council rent account

Direct Payments

If you would prefer that your Housing Costs to be paid directly to your rent account, you can request this via the following methods:

Your Housing Costs will be paid to us monthly, in arrears.

The money you receive for Housing Costs may not always cover your full rent. You will need make sure you pay any outstanding amount.

If your Housing Cost element does not cover your full rent, you can apply for Discretionary Housing Payments (DHP), but this is based on individual circumstances and your application may not be successful.

What if I am in arrears?

If your rent account is already in arrears, we can request that your Housing Costs be paid directly to us to cover your rent, without you requesting this.

We can do this under the following circumstances:

  • you owe more than 2 months’ rent, or
  • you owe 1 month’s rent and you have not paid rent on time in the past.

In addition, we can also ask for deductions for rent arrears to clear your debt. This can be up to 20% of the Universal Credit standard amount paid to you.

Changes in Circumstance

If you experience a change in circumstance you should report this to the DWP via your online account or by calling the Universal Credit helpline, as this may affect your entitlement.

If your change in circumstance affects your ability to pay your rent, contact the Rent Service by email rent@birmingham.gov.uk.

Alternatively you can call us on 0121 675 2006 between 9am and 5pm Monday to Friday or by using the Housing Rents Enquiry Form

Page last updated: 15 November 2023

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