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I'm still confused.
1) What is meant by 'abuse'. It can't mean only that the arrangement entitles the tenants to HB. Can it?
2) What statutory declaration must the landlord make?3) para 5 "the property wasn't bought specifically for the tenants. That is always prohibited but it is something that makes them suspicious." That doesn't quite make sense. Are there words missing? "not" perhaps?
1. My daughter lives with her husband and their toddler. The op[tions are:
a) Rent a 2-bed flat commercially (London so say £1,200 pcm) and claim HB.
b) Rent a small specially bought house from us at a below market rent (say £1,200 pcm) and claim HB.
c) As (b) but without claiming HB. But that's unaffordable.
d) Other combinations of rent and property are possible but I'm hoping I can ignore them.
Of these option (b) is best for the extended family and costs the state no more than option (a) - which was the position 18 months ago. But its only viable if they get HB. So will option (b) be seen as abusive? If so, is there a way of changing it so that it isn't so seen?
2. You wrote "You firstly have to declare your relationship with the landlords. They will probably want a statutory declaration from the landlords." I responded "What statutory declaration must the landlord make?"