If you're on Housing Benefit or Universal Credit and struggling with housing costs — including removal costs when moving — a Discretionary Housing Payment may help. Here's everything you need to know about DHPs.
Key Points
A Discretionary Housing Payment (DHP) is an extra payment from your local council to help with housing costs
You must already be receiving Housing Benefit or the housing element of Universal Credit to be eligible
DHPs can cover removal costs when you are required or encouraged to move to a more suitable home
There is no fixed entitlement — councils have limited budgets and each application is assessed individually
A DHP is a one-off or short-term payment — it does not replace your Housing Benefit permanently
If refused, you have the right to ask for a review of the decision
What Is a Discretionary Housing Payment?
A Discretionary Housing Payment (DHP) is financial assistance provided by your local council to help cover housing costs that are not fully met by your Housing Benefit or Universal Credit housing element. The government provides councils with a fixed pot of DHP funding each year, and it is up to each council how they distribute it.
DHPs are designed to be a short-term safety net for people in genuine housing need — not a long-term supplement. Common situations where a DHP might be awarded include the benefit cap shortfall, bedroom tax (spare room subsidy) shortfall, and when someone needs to move to a more affordable or more suitable property.
Can a DHP Cover Removal Costs?
Yes — removal costs can be covered by a DHP in the right circumstances.
Under government DHP guidance, eligible costs include "deposits, rent in advance, and removal costs" where these are connected to a housing need. However, not all councils will award a DHP for removals — it depends on:
Whether you are being required or encouraged to move (e.g. your home is too large under the bedroom tax rules)
Whether moving will result in a lower Housing Benefit/UC housing cost for the council
Whether you cannot reasonably afford the removal costs yourself
Your council's DHP budget and local policy priorities
Who Is Eligible for a DHP?
Requirement
Detail
Receiving qualifying benefit
Must be getting Housing Benefit or Universal Credit (housing element)
Housing cost gap
Your housing benefit doesn't fully cover your rent or housing costs
Genuine housing need
You must demonstrate that you need the extra help (e.g. under-occupancy/bedroom tax, downsizing, unsafe housing)
Cannot meet costs yourself
Must show the costs are beyond your means after considering all income and savings
Common Situations Where DHPs Are Awarded for Removal Costs
Bedroom tax (spare room subsidy): You're in a social housing property that's considered under-occupied and moving to a smaller one will reduce your benefit shortfall
Benefit cap: You're moving to a cheaper property to bring your total benefit within the cap limit
Fleeing domestic abuse: Emergency moves due to domestic violence are a high-priority case for DHP removal cost awards
Unsuitable/unsafe housing: Medical or disability grounds that require a move to more suitable housing
Landlord eviction/no-fault possession: Moving because of a Section 21 notice in the private rented sector
Overcrowding: Moving to a larger property because your current home is overcrowded and you can't afford the difference yourself
How to Apply for a DHP
Step 1 — Contact your local council
DHPs are administered by your local council's Housing Benefit team, even if you receive UC housing costs through the DWP. Search your council's website for the DHP application form.
Step 2 — Complete the DHP application form
You'll need to explain why you need the DHP, what it's for (removal costs), how much you need, and provide evidence of your current income, housing costs, and benefit entitlement. Get a written quote from a removal company to support your application.
Step 3 — Provide supporting evidence
Useful supporting documents include: removal company quote, tenancy agreement for the new property, letter from social landlord or housing association, medical evidence (if applicable), evidence of income and savings.
Step 4 — Wait for a decision
Council timescales vary — some decide within a week, others can take 2–4 weeks. Apply as early as possible before your planned move date.
Step 5 — Request a review if refused
If your application is refused, you have the right to ask for an internal review of the decision. You can also seek help from a Citizens Advice adviser or housing charity to support your review request.
How Much Can You Get?
There is no fixed maximum DHP amount. Councils decide based on:
The actual cost of the removal (hence why a removal company quote is essential)
Your financial circumstances and what you can reasonably contribute
The council's remaining DHP budget for the year
Whether the move will result in a long-term saving on Housing Benefit costs
In practice, DHP awards for removal costs often cover £200–£800, though some councils will go higher for large families or long-distance necessity moves.
Other Sources of Help with Removal Costs
Local council removal assistance schemes: Some councils run their own grant or loan schemes for tenants moving out of unsuitable social housing
Furniture and household goods grants: Charities like the British Heart Foundation, SSAFA, and local welfare charities sometimes help with moving costs
Universal Credit budgeting advance: A no-interest loan from the DWP that can cover urgent one-off costs including removal costs — repaid from future UC payments
Local Welfare Provision: Some councils have separate emergency funds for housing costs beyond DHPs
Housing associations: If you're a housing association tenant, your landlord may have a mobility scheme that includes removal cost assistance
Frequently Asked Questions
Can I get a DHP if I'm on Universal Credit but not Housing Benefit?
Yes — if your Universal Credit includes the housing cost element, you can still apply for a DHP from your local council. DHPs are administered by councils, not the DWP, even for UC claimants.
Is a DHP a loan or a grant?
A DHP is a grant — you do not have to repay it. However, the council may reduce or stop a DHP if your circumstances change. If you receive more than you were entitled to, you may be asked to pay some or all of it back.
How long does a DHP last?
For a one-off cost like removal expenses, a DHP is typically a single payment rather than an ongoing award. For ongoing rent shortfalls, DHPs can be awarded for a set period (e.g. 3–12 months) to give time for circumstances to improve.
What if my council has run out of DHP budget?
Councils receive a fixed DHP allocation from central government each year. If the budget is exhausted, they cannot award further DHPs until the new financial year (April). Apply as early in the financial year as possible (April–September is better than February–March). If refused due to budget, explore the other funding sources listed above.