Regulation 23 Calculation of income

(1)

Paragraphs (2) to (5) apply only if the individual is a householder.

(2)

In calculating the disposable income of the individual, the net expenses payable by him in respect of his main or only dwelling, or such part of it as is reasonable in the circumstances, shall be deducted.

(3)

Where the individual lives in more than one dwelling, the Tribunal shall decide which is the main dwelling.

(4)

For the purpose of this regulation, “net expenses” includes—

(a)

any annual rent payable;

(b)

any annual instalment (whether of interest or capital) in respect of a mortgage debt up to a maximum of an amount bearing the same proportion to the amount of the annual instalment as £100,000 bears to the debt secured; and

(c)

a sum in respect of yearly outgoings borne by the householder including, in particular—

(i)

in England and Wales, any water and sewerage charges, and any sums payable by the householder in respect of the council tax to which he is liable by virtue of section 6 of the Local Government Finance Act 1992^f1;

(ii)

in Northern Ireland, the rates payable on the property; and

(iii)

a reasonable allowance towards any necessary expenditure on repairs and insurance.

(5)

In calculating the amount of net expenses payable, there shall be deducted—

(a)

in England and Wales, any council tax benefit and any housing benefit paid under the Social Security Contributions and Benefits Act 1992;

(b)

in Northern Ireland, any housing benefit paid under the Social Security Contributions and Benefits (Northern Ireland) Act 1992;

(c)

any proceeds of sub-letting any part of the premises; and

(d)

an amount reasonably attributable to any person other than the individual, his partner or any dependant, who is accommodated in the premises otherwise than as a sub-tenant.

(6)

If the individual is not a householder, a reasonable amount in respect of the cost of his living accommodation shall be deducted.

Annotations

Footnotes

f1: 1992 c. 14, amended by S.I. 1997/74, article 2 and the Schedule, and by section 74 of the Local Government Act 2003 (c. 26).