The law on entitlement to universal credit, housing benefit and council tax rebate

This page is for housing advisers. If you are a new arrival please click here for information more relevant to you.

This page gives detailed guidance on aspects of the law relating to universal credit (UC) and housing benefit (HB) that are relevant to new arrivals. A linked page gives guidance on claims for council tax rebate (CTR - also known as council tax reductions).

The law on UC and HB

The law on UC/HB regarding the eligibility of migrants is a mixture of statute (mainly section 115 of the Immigration and Asylum Act 1999) and regulations (mainly the Universal Credit Regulations 2013 and the Housing Benefit Regulations 2006) both of which refer to rights that are described in the Immigration (European Economic Area) Regulations 2016 (‘the EEA Regulations’). The universal credit and housing benefit regulations apply across England, Scotland and Wales. In the case of HB we refer throughout to the ‘HB Regulations’ although there are in fact two sets of regulations, one each for pension-age and working-age claims with relevant law referenced as ‘HB66+’ or ‘HB’ respectively in both cases, followed by the relevant regulation and paragraph.

Since December 2018, anyone aged under 66 who wants help with housing costs must claim universal credit. Claims made for HB before then can continue for the time-being but starting sometime in 2021 or 2022 these will be transferred (‘migrated’) to UC, and HB will only continue for pension-age claimants.

DWP guidance on UC and HB

The DWP guidance (where helpful) referred to on this page is to: Advice for Decision Making: Staff Guide, Chapter C1 (pdf) for UC; and the Housing Benefit Manual (Part C4 (pdf) and Part D1 (pdf)) for HB, followed by the paragraph number in each case).

The requirement for a national insurance number

Sub-sections 1(1A) and 1(1B)(a) of the Social Security Administration Act 1992 require the claimant (regardless of their immigration status) to have been allocated a national insurance number (NINO) or to have applied for one to be allocated, in order to be entitled to UC/HB (and most other social security benefits). An application for a NINO is enough if it is accompanied by all the evidence and information required to process it (s1(1)(b)). The requirement applies to the claimant and any person included in the application except a dependent child (s1(1A); UC Claims and Payments Regulations, Regulation 5; HB 4(a); HB66+ 4(a)). But in the case of a couple where only one member is eligible there are some differences in the way the law works depending on the status of the ineligible person and whether the claim is for UC or HB:

• for UC, it does not apply where the eligible partner claims UC as a single person (but in any other case it applies to both as joint claimants)
• for HB (and CTR) it applies to the ineligible partner except where:
  • s/he requires leave to enter or remain in the UK but does not have it (i.e. a person with temporary admission, illegal entrant or overstayer); and
  • s/he is not habitually resident; and
  • s/he has not been allocated a NINO already.

In these circumstances the DWP advises local authorities that they should assign a dummy number: HB Guidance Manual part D1 (paras D1.284-287). However, it is not necessarily safe to claim (see next section: claims by couples).

The requirement to have a NINO or to have applied for one is absolute. No UC/HB/CTR can be awarded until the evidence and information required to establish this have been supplied. It even applies where it is unlikely that the authorities will grant one: CH/4085/2007. Any matter relating to the provision of a NINO can be appealed to a tribunal, including the evidence that is required for one to be ascertained or the consequences for an award of UC/HB if a request to allocate one is refused: CH/1231/2004 and [2009] UKUT 74 (AAC).

How the law works in claims made by couples

For UC, couples make a joint claim, so both the claimant and their partner need to be eligible to get UC. However, if only one member is excluded (for example, where a British Citizen has a non-EEA spouse) the eligible member can claim UC as a single person, and it is awarded at the single person rate (plus any child dependant additions). In these circumstances UC paid to the eligible partner does not count as public funds and so the ineligible partner does not break the terms of their leave. (UC 3(1),(3)(b),(e); Immigration Rules, rules 6A-6C).

For HB/CTR only one person is the claimant (HB 82(1); HB66+ 63(1)) so if only one member is eligible that person should make the claim. The award includes the allowance for a couple and the income and capital of both members is counted. However, where the claimant’s partner is subject to immigration control it is not necessarily safe to claim because the higher couple’s allowance counts as ‘recourse to public funds’ (Immigration Rules, paragraph 6A) unless one of the prescribed exceptions applies (Immigration Rules, paragraph 6B). The local authority may decide to pass the information on to the Home Office – although they are not obliged to do so (HB Guidance Manual paragraph C4.218). In these circumstances the ineligible partner should always get good immigration advice about the possible consequences on any current or future application for leave.

What does the law say about dependent children?

In UC/HB/CTR law any dependent child (or young person aged 16-17 for whom child benefit could be paid) who normally ‘resides with’ the claimant is included as part of the claimant's household, regardless of the child’s immigration status (UC 4; HB 20, 21; HB66+ 20, 21). Only the status of the claimant matters. Unlike rules for homelessness assistance there is no equivalent concept of a 'restricted person' even if without them the claimant would not qualify for an award (e.g. their income would be too high to qualify if they were assessed as a single person).

However, that does not mean it is necessarily safe to claim. If that child/young person has leave with a ‘no public funds’ the increase in your award counts as public funds (Immigration Rules, Rule 6.2 “public funds”) and could result in them losing their right to live in the UK. Any child/young person who is an illegal entrant or an overstayer would also be at risk. Professional immigration advice should be sought from an OISC registered adviser before making a claim.

The law on entitlement to UC, HB and CTR

There are two different ways by which migrants and recent arrivals can be excluded from UC/HB/CTR. These are:

• as a person subject to immigration control
• as a person who is not present in Great Britain (or treated as not being present in Great Britain) (in HB law as ‘a person from abroad’).

Whether a person is subject to immigration control for UC/HB/CTR purposes is governed by section 115 of the Immigration and Asylum Act 1999 and the regulations made under it. Broadly a person will be subject to immigration control if they are a national of any state outside the EEA. (CTS 19; CTS60+ 19)

Whether a person is treated as not being in Great Britain (or for HB, a person from abroad) is governed by Regulation 9 of the Universal Credit Regulations 2013 and Regulation 10 of the Housing Benefit Regulations 2006 (as amended). Broadly this exclusion will apply to anyone who has recently entered the UK for the first time (including British citizens) and mainly (but not exclusively) affects EEA nationals.

Persons subject to immigration control

Section 115 of the Immigration and Asylum Act 1999 disqualifies a person who is 'subject to immigration control' from certain social security benefits (including UC and HB). The section sets its own internal definition of 'subject to immigration control' which is not the same as in immigration law. From 1 January 2021, it includes nationals from an EEA member state (SI 2020 No 1309, Reg 12(7)).

Apart from that section 115(9) defines a person as being 'subject to immigration control' if he/she is a person who:

• requires leave to enter the UK but does not have it (i.e. an illegal entrant or overstayer or person with temporary admission such as an asylum seeker)
• has leave to enter the UK but is subject to a 'no public funds' condition
• has leave to enter the UK given because of a maintenance undertaking
• has leave to enter the UK only because they are waiting for the outcome of an appeal against a decision to vary, or refuse to vary, limited leave.

Only persons who fall within this definition are excluded from UC/HB/CTR. A person with limited leave is only excluded because it is nearly always granted with a ‘no public funds’ condition (but there are some exceptions) In practical terms this means that a person is not excluded by this provision if he/she:

• is a British citizen
• is an Irish citizen (Immigration Act 1971, s3ZA)
• is a person who is a citizen of a commonwealth country with a 'right of abode'
• is an EEA national or EEA family member who has a valid application to the EU Settlement Scheme which has not yet been finally determined (see below)
• falls within one of the prescribed exceptions set out in regulations
• has indefinite leave to remain (also known as 'settled status') – including anyone with EU settled status
• has limited leave without a ‘no public funds’ condition – including anyone with EU pre-settled status
• has been granted leave because of their refugee status
• has been granted humanitarian protection
• has discretionary leave (assuming, as is almost always the case, that their leave is not subject to a 'no public funds' condition);
• has limited leave that allows access to public funds including, for example:
  • a person granted leave based on their right to family life (Immigration Rules, Appendix FM),
  • a person granted temporary permission to stay as a survivor of human trafficking or slavery,
  • a stateless person who has been granted five years limited leave for that reason (Immigration Rules, part 14),
  • a British National (Overseas) from Hong Kong who has successfully applied to have their 'no public funds' condition lifted (immigration rules, Appendix Hong Kong (BNO) para HK 65.1),
  • a person from Ukraine who has been granted leave under the Appendix Ukraine Scheme (which includes the Ukraine Family Scheme and the Ukraine Sponsorship Scheme),
  • an Afghan citizen who has been granted leave under the Afghan Citizens Resettlement Scheme (ACRS) or the Afghan Relocations and Assistance Policy (ARAP) (Immigration Rules, part 7, rule 276BB1-BB6,
  • a person who was living in Sudan before 15 April 2023 who left due to the escalating violence (unless they are sponsored, or their leave has a ‘no public funds’ condition),
  • a person who was living in Israel, Palestine or Lebanon before 7 October 2023 who left due to the escalating violence (unless they are sponsored, or their leave has a ‘no public funds’ condition), or
• has been granted temporary leave under the destitution domestic violence concession.

Note that a person who is not excluded by section 115 is not automatically entitled to UC/HB/CTR – they also have to show they have a ‘right to reside’ and that they are habitually resident. But anyone with leave, including limited leave, has a right to reside and anyone who is granted leave as a result of their claim for asylum is exempt from both of these conditions.

EEA nationals and family members with outstanding EUSS applications

An EEA national is not ‘subject to immigration control’ for UC/HB purposes if:

• s/he was eligible for the EU settlement scheme (EUSS)
• s/he made an application on or before 30 June 2021; and
• her/his application has not yet been ‘finally determined’ (s115(9) and SI 2020 No 1209, Regs 4, 12(1)(i)).

The same applies to an EEA family member (including a family member who is not an EEA state national) provided s/he has an EEA right to reside (ignoring the fact of the UK’s exit from the EU) (s115(9) and SI 2020 No 1209, Regs 4, 12(1)(g),(2)).

The above rules also apply to EEA nationals and EEA family members who make a late application to the EUSS which is accepted but has not yet been finally determined: ADM memo 30/20 paras 12-13 and HB circular A10/2021.

Exceptions to the immigration control exclusion

Under section 115(4) certain categories of people who fall within the definition of 'subject to immigration control' but who are covered by a category prescribed by regulations are not excluded from UC/HB (and a similar rule replicates this in the CTR regulations). These are described in the Social Security Immigration and Asylum Regulations 2000, No 636 but the only exceptions are:

• a person who is the subject of a sponsorship maintenance undertaking who has been resident in the UK for five years (beginning on the date that person entered the UK or the date the undertaking was signed, whichever is later);
• a person who is the subject of a maintenance undertaking where all his/her sponsors have died; or
• a person who is a national of a ECSMA or ESC member state who has any kind of leave – including leave with a ‘no public funds’ condition - but only if:
  • s/he is claiming council tax rebate,
  • s/he claimed universal credit before 1 January 2021, or
  • s/he claimed housing benefit and/or state pension credit before 3 May 2022.

Awards made under this provision can continue until entitlement ends (SI 2020/1505, Reg 1(2), SI 2022/449 Reg 1(3) ).

But even if one of these exceptions applies that doesn’t mean that the person is entitled to UC/HB: the claimant must still show that they have a right to reside and that they are habitually resident (UC Regulations, Reg 9(1),(2), HB (Pension age) Regulations, Reg 10(1)-(3).

Persons from abroad/not being in Great Britain

Regulations 9(1),(2) and 10(1)-(3) of the UC and HB Regulations respectively apply to all claimants whether or not they are subject to immigration control - including British Citizens. It excludes from UC/HB/CTR anyone who is treated as not being in Great Britain (for HB 'a person from abroad') (for convenience here we refer to ‘a person not being in Great Britain’ to encompass both terms).

The regulations treat a person as ‘not being in Great Britain’ if s/he:

• is not habitually resident in the British Isles or the Republic of Ireland; or
• does not have a ‘right to reside’ in the British Isles or the Republic of Ireland (because the law says s/he cannot be treated as being habitually resident).

If the claimant fails either limb, they are excluded on the grounds that they are (treated as) ‘not present in Great Britain’ / ‘not habitually resident’. However, the law provides for certain exemptions.

Claimants who are not 'a person from abroad'

The following claimants are entitled to UC/HB/CTR because they are exempt from the requirement to have a right to reside and/or be habitually resident:

• A person who has been granted:
  • refugee status, humanitarian protection or discretionary leave as a result of their asylum application, or
  • leave under the Home Office destitution domestic violence concession.
• A person who is the partner of a British citizen or a person with settled status who has been given leave outside the rules as the survivor/victim of domestic abuse under the migrant victims of domestic abuse concession or the survivor of transnational marriage abandonment (in this case because their UK residence is unbroken: see HB circular A2/2024.
• A person who was residing in Sudan before 15 April 2023 who left due to the escalating violence and who:
  • has been granted leave without a sponsor and with access to public funds, or
  • is a British citizen, Irish citizen or Commonwealth citizen with the right of abode.
• A person who was residing in Israel, Palestine or Lebanon before 7 October 2023, who left due to the escalating violence and who:
  • has been granted leave without a sponsor and with access to public funds, or
  • is a British citizen, Irish citizen, or a Commonwealth citizen with the right of abode.
• A person who was residing in Ukraine before 1 January 2022, who left due to the Russian invasion and who:
  • has been granted leave to remain in the UK, or
  • is a British citizen, Irish citizen, or a Commonwealth citizen with the right of abode.
• A person who left Afghanistan:
  • who was previously employed by the British armed forces and who has been granted leave under the immigration rules by virtue of the Afghan Relocations and Assistance Policy (ARAP) or the Afghan Locally Employed Staff ex-gratia scheme (ALES),
  • who has been granted leave outside the immigration rules under the Afghan Citizens Resettlement Scheme (ACRS), or
  • who is of any nationality (Afghan, British, third country) who does not fall under any of the above schemes and who left Afghanistan in connection with the collapse of the Afghan government that took place on 15th August 2021.
• A British citizen or other person with settled status who has entered the UK because of their deportation, expulsion or removal from another country.
• For HB/CTR, a person in receipt of one of the out-of-work legacy benefits or state pension credit (but for EEA nationals who get income-based jobseeker’s allowance, see below).
• An EEA national who has EU pre-settled status and who is a worker/self-employed person (including a retained, retired or frontier worker)(SI 2020/1309 sch 4 paras 1-4).
• An EEA national who made an application to the EU Settlement Scheme on or before 30 June 2021 (or whose late application has been accepted) but which has not yet been finally determined and who is a worker/self-employed person (SI 2020/1209 Regs. 4 and 11).
• The family member of an EEA worker/self-employed person etc., who has EU settled status or whose application to the EU Settlement Scheme has not yet been finally determined.
• A person who is a family member of a ‘relevant person of Northern Ireland’ provided that person from Northern Ireland they accompany is a worker, retained worker or self-employed person (or would be but for the fact that they are not an EEA national).

See the UC/HB regulations: UC 9(4)(za)-(zd),(a)-(c),(ca)-(cc),(d)-(g); HB 10(3B)(zza)-(zzd),(za)-(zf),(g),(h)(hh),(i); HB66+ 10(4A)(zza)-(zzd),(za)-(zf),(g),(h),(hh),(i).

Other EEA nationals who are not a person from abroad

An EEA national who is not a worker/self-employed (or a member of their family) who:

• has EU pre-settled status; or
• who made an application to the EU settlement scheme by the deadline, but which has not yet been finally determined,

must show s/he has some other EEA right to reside to be entitled to UC/HB/CTR.

The EEA rights to reside are those that applied immediately before 1 January 2021 which remain in force in these cases with some minor modifications (for people with pre-settled status, SI 2020/1309, sch 4 paras 1-4; for EUSS applicants SI 2020/1209, Regs. 4 and 11).

The modified rules are described on pages for EEA workers, Other EEA nationals and EEA family members.

Any claimant relying on one of their preserved EEA rights/ EEA family member rights (other than as a worker etc) must also be habitually resident to be entitled to UC/HB/CTR (see the UC/HB regulations: UC 9(1),(2),(3); HB 10(1)-(3),(3A),(3AA); HB66+ 10(1)-(4),(4ZA)).

A person is not entitled to UC/HB/CTR if his/her only right to reside is:

• the initial right of residence (for the first three months)
• as a jobseeker
• as the family member of a jobseeker; or
• as a ‘Zambrano carer’ (the parent of a British child).

In any other case EEA nationals/EEA family members are treated in the same way as any other non-EEA national (i.e. have leave and be habitually resident) to be entitled to UC/HB/CTR.

What is a ‘right to reside’?

What counts as a ‘right to reside’ is not defined in the regulations but is taken as having its general meaning in immigration law. It is not confined to former EU freedom of movement rights (including in situations where those rights are preserved). It has a broader meaning that includes the rights conferred on British citizens, Commonwealth citizens with the right of abode and those with indefinite leave, including those situations where the law allows a person with limited leave to make a claim see: Abdirahman v SSWP [2007] EWCA Civ 657 (at para 19). But ‘temporary admission’ is not sufficient to amount to a right to reside: Yesiloz v LB Camden.

An EEA national with EU settled status therefore has a right to reside because settled status is a form of indefinite leave: see Immigration Rules Appendix EU. However, it does not include EU pre-settled status because UC/HB regulations expressly exclude it as being a qualifying right to reside (UC 9(3)(c); HB 10(3),(3AA); HB66+ 10(3),(4ZA)) – but in Scotland this rule does not apply to CTR.