Recovering overpaid Housing benefit by deduction from your ongoing Housing benefit entitlement
A recoverable overpayment can be deducted from the claimants or partners ongoing Housing Benefit.
The deduction rates from 1 April 2026 are:
- £24.00 per week if the claimant has been found guilty of fraud, admitted fraud after caution, or agreed to pay an administrative penalty
- £14.40 per week for all other cases (the standard non-fraud rate)
Housing Benefit rules also allow additional recovery at the rate of 50% of any earned income disregard used in the Housing Benefit assessment.
The current weekly earned income disregards are:
- lone parent £25
- disabled person £20
- couple £10
- single claimant £5
Standard overpayment deduction when an earned income disregard applies
| Claimant Type | Standard deduction rate | 50% earnings disregard | Total weekly deduction rate |
|---|---|---|---|
| Lone parent | £14.40 | £12.50 | £26.90 |
| Disabled persons | £14.40 | £10.00 | £24.40 |
| Couple | £14.40 | £5.00 | £19.40 |
| Single claimant | £14.40 | £2.50 | £16.90 |
Fraudulent overpayment deduction when an earned income disregard applies
| Claimant Type | Standard deduction rate | 50% earnings disregard | Total weekly deduction rate |
|---|---|---|---|
| Lone parent | £24.00 | £12.50 | £36.50 |
| Disabled persons | £24.00 | £10.00 | £34.00 |
| Couple | £24.00 | £5.00 | £29.00 |
| Single claimant | £24.00 | £2.50 | £26.50 |
Reviewing a deduction rate
There is no formal right of appeal against the application of the 50% earnings disregard in the recovery rate. You can request a review of the deduction rate if you are experiencing financial hardship.
If you request a review, you must give us as much detail as possible about your expenditure and personal circumstances so we can make a decision.
When we have made a decision, we will write to you and let you know. There is no formal right of appeal against this decision. You can request a review within one month of the date of the notification letter. A decision can also be looked at again if you give us new information or if your circumstances change.
Reductions in the recovery rate are not permanent. They are reviewed at set intervals.
Request a review of the rate of deduction
Page last updated: 1 April 2026
