Apply the Housing Benefit accommodation disregard during its first fiscal year #2233

Summary

Approved plan B2 corrects the first fiscal year of the accommodation earnings disregard already added by merged #2123. Preserve the seven monetary parameters' calendar dates, calculate the earnings/childcare limits and award separately for each effective-date segment, then weight the completed awards. Thirteen files, no new inputs; reuse #2229 and its preceding income/disregard corrections. GB accommodation earnings disregard and additional-disregard earnings test (Regulations 1 and 2; substituted Schedule 4 paragraph 18 and amended paragraph 17(3)(a)); GB accommodation earnings disregard commencement (Regulation 1: commencement on 5 October 2026; the amending No. 2 instrument precedes this date); NI accommodation earnings disregard, commencement and earnings test (Regulations 1 and 2; commencement 5 October 2026; Schedule 5 paragraphs 17 and 18); HB award after applying the income threshold and taper (Regulation 71; NI equivalent regulation 69); HB childcare deduction limited by remaining earnings and tax credits (Regulation 27(1)–(3); NI equivalent regulation 25)

Audited model surface

• Audited release: policyengine-uk 2.106.1
• Audit unit: variable:housing_benefit_entitlement
• Last model modification: 2026-09-30
• Explicitly reviewed units:
  • variable:housing_benefit_applicable_income_disregard — last model modification: 2026-03-06
  • variable:housing_benefit_entitlement — last model modification: 2026-09-30
• Audit date: 2026-10-09
• Periods reviewed: 4/5 October 2026, 2026-27 partial fiscal year, 2027-28 full fiscal year
• Jurisdictions: Great Britain and Northern Ireland

Findings and implementation parts

1. The release lacks the later accommodation disregard. Main's merged #2123 provides its amounts and existing accommodation input, but 30-April sampling excludes the entire first fiscal year. Averaging the disregard before earnings limits, income floors and the award taper can also produce the wrong annual award.

Sources: GB accommodation earnings disregard and additional-disregard earnings test (Regulations 1 and 2; substituted Schedule 4 paragraph 18 and amended paragraph 17(3)(a)); GB accommodation earnings disregard commencement (Regulation 1: commencement on 5 October 2026; the amending No. 2 instrument precedes this date); NI accommodation earnings disregard, commencement and earnings test (Regulations 1 and 2; commencement 5 October 2026; Schedule 5 paragraphs 17 and 18); HB award after applying the income threshold and taper (Regulation 71; NI equivalent regulation 69); HB childcare deduction limited by remaining earnings and tax credits (Regulation 27(1)–(3); NI equivalent regulation 25)

• Preserve statutory dates on the seven existing accommodation monetary YAMLs; segment the accommodation amount, actual capped earnings deductions and HB awards with fiscal_year_segments. Change only the accommodation disregard, ordinary disregard and entitlement formulas; update the existing accommodation YAML test rather than adding a separate planned YAML file, add focused Python tests and one changelog (still thirteen files). Base on Limit Housing Benefit childcare to qualifying charges and earnings residuals #2229; do not recreate Add the Housing Benefit earnings disregard for specified or temporary accommodation (Sch 4 para 18, from 5 October 2026) #2123, change eligibility/rent/closure rules or add inputs. Preserve supplied annual intermediate values, structural formula reforms and dated parameter reforms. GB accommodation earnings disregard and additional-disregard earnings test (Regulations 1 and 2; substituted Schedule 4 paragraph 18 and amended paragraph 17(3)(a)); GB accommodation earnings disregard commencement (Regulation 1: commencement on 5 October 2026; the amending No. 2 instrument precedes this date); NI accommodation earnings disregard, commencement and earnings test (Regulations 1 and 2; commencement 5 October 2026; Schedule 5 paragraphs 17 and 18); HB award after applying the income threshold and taper (Regulation 71; NI equivalent regulation 69); HB childcare deduction limited by remaining earnings and tax credits (Regulation 27(1)–(3); NI equivalent regulation 25)
  • Add or update reference at policyengine_uk/variables/gov/dwp/housing_benefit/applicable_income/housing_benefit_applicable_income_disregard.py → reference and period-specific earnings/childcare deduction calculation using GB accommodation earnings disregard and additional-disregard earnings test (Regulations 1 and 2; substituted Schedule 4 paragraph 18 and amended paragraph 17(3)(a)); NI accommodation earnings disregard, commencement and earnings test (Regulations 1 and 2; commencement 5 October 2026; Schedule 5 paragraphs 17 and 18); HB childcare deduction limited by remaining earnings and tax credits (Regulation 27(1)–(3); NI equivalent regulation 25).
  • Add or update reference at policyengine_uk/variables/gov/dwp/housing_benefit/entitlement/housing_benefit_entitlement.py → reference and integration of completed awards after the income floor, threshold, taper and zero-award floor using GB accommodation earnings disregard and additional-disregard earnings test (Regulations 1 and 2; substituted Schedule 4 paragraph 18 and amended paragraph 17(3)(a)); GB accommodation earnings disregard commencement (Regulation 1: commencement on 5 October 2026; the amending No. 2 instrument precedes this date); NI accommodation earnings disregard, commencement and earnings test (Regulations 1 and 2; commencement 5 October 2026; Schedule 5 paragraphs 17 and 18); HB award after applying the income threshold and taper (Regulation 71; NI equivalent regulation 69).

Uncertainties and exclusions

Annual earnings, rent, ages, household composition and status are held constant across date segments; this integrates the dated rule change, not unobserved household changes. Other HB parameters retain the existing annual sampling convention. Saved accommodation eligibility and special rent rules remain with existing #1910/#2119 and related work. Child allowance C1 is deferred under #2232 and receives no implementation here.