Unlocking Support: How Tenants and Landlords Can Work Together to Get Discretionary Housing Payments (DHP) Approved

Did you know there’s a financial safety net that could help cover rent arrears and prevent tenancies from being put at risk? It’s called the Discretionary Housing Payment (DHP) and Rachel Reeves latest Budget has added 1 Billion extra pounds to the available pot. However, not enough landlords or tenants know how to tap into these funds.

DHPs are designed for people in genuine financial difficulty who need help staying on top of rent. But here’s the reality: many applicants are turned down, often because they don’t know what the council needs to see.

If you’re a landlord or letting agent, helping your tenant understand DHPs could be a game-changer. Here’s how you can make a strong case for support and potentially safeguard your tenancy.

What Exactly is a DHP?

For those who might be new to this, DHPs are special funds that councils allocate to help people who are struggling to meet their rent due to unforeseen circumstances. They aren’t meant as a long-term solution but can make a huge difference for those facing temporary challenges. This is especially important if a tenant’s arrears are beginning to accumulate; securing a DHP could mean the difference between preserving a tenancy or seeing it end prematurely.

Here’s how landlords and tenants can work together to improve the chances of a DHP application getting approved:

Tip #1: Show a Path to Financial Stability

Councils need to be confident that their support will have a lasting impact, not just a temporary fix. This means tenants should demonstrate how they’ll stay on track after receiving DHP support. For example, if they’re close to paying off a credit card, they might include a note explaining how that will free up more income for rent in future months. Encourage tenants to outline a realistic and clear plan to stay current on rent.

Why this matters: Councils prefer to fund applications where they see a sustainable solution in sight rather than just putting a quick patch on a bigger problem.

Tip #2: Emphasise the Genuine Cause of Arrears

For DHPs to be granted, the council must see that arrears are due to unavoidable financial issues, not poor choices. If a tenant lost their job unexpectedly, faced a health crisis, or had an emergency expense, they should be upfront about it in their application. The council responds best to clear and honest reasons for financial hardship.

Why this matters: A compelling backstory provides insight into the tenant’s situation and demonstrates that their need for help is both genuine and circumstantial, not ongoing.

Tip #3: Act Early to Tackle Arrears

The size of arrears is a significant factor for councils. If rent arrears have built up significantly, the council may consider the situation beyond what a DHP can resolve. The sooner landlords and tenants address arrears, the better the chance of receiving support. If arrears are beginning to build, it’s important to act quickly and make the case that this assistance will genuinely help.

Why this matters: By applying early, tenants and landlords show the council that the tenancy is still viable and that their help can make a meaningful impact.

Viewing DHPs from the Council’s Perspective

When councils assess DHP applications, they’re typically asking two big questions:

1. Can this support save the tenancy?
2. Is the tenant likely to manage rent independently after receiving support?

The more convincingly these questions are answered, the better the chances of securing a DHP. As a landlord, guiding tenants to prepare a strong application can be beneficial on both sides—it stabilises the tenancy and protects against the risks of rising arrears.

A Call to Action

If you’re a landlord or letting agent navigating a challenging situation with rent arrears, remember—eviction doesn’t have to be the only answer. There may be solutions available that can protect your income and help keep tenants in their homes.

I’m Denzel, CEO of Social Housing Options. Our mission is to bridge the gap between landlords and tenants, uncovering solutions that benefit everyone involved. We’re here to provide support at no cost to you or your tenants.

Don’t face these challenges alone.

If you’re dealing with arrears or worried about a tenant’s ability to stay on track, reach out today. Complete the form below to arrange a no-obligation conversation. Together, we can explore ways to keep your tenancy secure and avoid unnecessary disruption.

Every problem has the potential for a positive outcome. Let’s discover the possibilities together.

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