Debt respite scheme-Breathing space arrears guidance

Once a tenant has entered in the breathing space the NHO must not take any enforcement action against the tenant about the breathing space debt.  A Notice of Seeking Possession cannot be served nor can a request for court action including evictions.  If court action has already started for the breathing space debt, the court will have to be notified as this would need to be placed on hold.

For joint tenancies, currently the breathing space scheme does not allow joint applications, therefore the other liable person may need to make their own breathing space application if they have debts they need help with.

If there is a joint tenancy and both do not appear on the breathing space register, please contact the debt advisor.

Tenants who are in the breathing space are expected to continue making on going rent payments/heating charges.  The debt advisor would advise the tenant of this and the NHO.

Please note standard breathing space will last for 60 days as long as the tenant remains eligible. Once the breathing space ends, NHOs will be able to collect the rent arrears in the usual way.

A mental health crisis breathing space will last for the duration of the mental health crisis treatment plus 30 days, For more information please click on the link here 

Third-party deductions

• NHOs cannot seek to collect a breathing space debt by applying to DWP for a new third party deduction to be taken from an tenants benefit payments.
• If the tenant receives Universal Credit, these deductions will continue even if the debt is eligible for breathing space.
• If the tenant receives Income-based Jobseeker's Allowance, Income-related Employment and Support Allowance, Income Support, Housing Benefit, Child Tax Credit or Working Tax Credit, then these deductions should stop if the debt is eligible for breathing space. New deductions will not be possible.

Tenants in the breathing space will have to notify their debt advisor of any change in circumstance such as change in income or new job.

Part of the breathing space agreement, the tenant will need to keep in contact with the debt advisor in order for the debt advisor to help provide solutions with their debts.

For more information about the breathing space scheme click here.