6. Tax, other benefits and the benefit cap
Discretionary housing payments (DHPs) are not taxable.
If you get DHPs:
•they are disregarded as income and capital for all means-tested benefits;
1UC Reg 66 UC Regs
ESA Schs 8 para 62 and 9 para 11(1)(c) ESA Regs
PC Reg 15 SPC Regs
HB Schs 5 para 62 and 6 para 9(1)(d) HB Regs; reg 29 and Sch 6 para 21(2)(k) HB(SPC) Regs
•in England and Wales, you may also qualify for a discretionary reduction in your council tax bill (see
here).
2s13A(1)(c) LGFA 1992 Ensure you claim both this and DHPs, if relevant, to avoid missing out.
DHPs are not one of the specified benefits for the benefit cap.