The Housing Assistance Payment (HAP) scheme has been structured in a way that protects Exchequer funding, by ensuring that payments are made only on valid and complete applications. For this reason rent is generally paid in arrears, which ensures that money is only paid in respect of time that the property has actually been occupied by the tenant. This practice helps avoid a situation where the local authority has to attempt to recover money from the landlord and simplifies the administration of the scheme. While certain landlords may have a preference to obtain rent in advance, it should be noted that one of the advantages of the HAP scheme for a landlord is that it offers the security of regular monthly payments.
Limerick City and County Council provides a highly effective transactional shared service on behalf of all HAP local authorities. This HAP Shared Service Centre (SSC) manages all HAP related rental transactions for the tenant, local authority and landlord.
Once a HAP application has been received and confirmed as valid by the relevant local authority, it is then processed by the HAP SSC. On average, HAP applications are processed by the HAP Shared Service Centre within 1 working day of receipt. Any rental payment arising for a given month will then be made to a landlord on the last Wednesday of that month.
At the end of Quarter 3 2018, there were more than 40,800 active tenancies in receipt of HAP support and over 25,000 landlords and agents involved in providing accommodation to those households. My Department continues to keep the operation of the HAP scheme under review.
