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Private Rental Assistance (PRA) Non-Disclosure Policy

1. Background

Homes NSW or a Social Housing Management Transfer community housing provider (SHMT CHP) may provide financial assistance to a client, through a range of Private Rental Assistance (PRA) products, to help them sustain a tenancy in the private rental market.

This financial assistance may be a Rent Choice subsidy, Private Rental Subsidy, Bond Extra, Bond Loan, Advance Rent, Get Started or Brokerage. To access these PRA products, households must meet the eligibility criteria for each product. For more information see the Rent Choice policy and the Private Rental Assistance policy.

Clients who receive financial assistance through a PRA product must advise Homes NSW or a SHMT CHP of any changes to their household circumstances within 28 days of the change occurring. They must do this even if they are in the Centrelink Income Confirmation Scheme.

The purpose of this policy is to:

  • ensure clients are receiving the financial assistance they are entitled to
  • minimise fraud
  • outline appropriate action when Homes NSW or a SHMT CHP finds that a client is receiving financial assistance they are not entitled to.

The Private Rental Assistance policy supplement provides further information to support this policy.

2. Scope

This policy applies to all clients seeking financial assistance or who are a recipient of a PRA product. It covers assistance obtained from Homes NSW or a SHMT CHP.

3. Policy statement

To access PRA products, households must meet eligibility criteria, which varies for each product.

If Homes NSW or a SHMT CHP receives information that a client may be receiving financial assistance that they are not entitled to, under the provisions of the Housing Act 2001, Homes NSW will investigate to determine if:

  • no further action is required
  • PRA non-disclosure has occurred
  • PRA fraud has occurred.

PRA non-disclosure occurs when a client has failed to advise Homes NSW or a SHMT CHP of a change to their household circumstances but has not done so deliberately.

PRA fraud occurs when a client:

  • is aware of their obligation to advise Homes NSW or a SHMT CHP of any change to their household circumstances, and
  • deliberately does not advise of the change. This can occur either by deliberate omission, or through a false, incomplete or misleading statement.

Where Homes NSW investigates an allegation of PRA non-disclosure, it will apply the principles of procedural fairness. This means that a client will:

  • have the right to an impartial hearing
  • be advised of the relevant policy and what is required of them
  • be told about the information and any documentary evidence Homes NSW has obtained
  • be given a reasonable opportunity to respond to any allegations made against them
  • be advised of the outcome of the investigation and their right to appeal.

Where Homes NSW finds that a client has received financial assistance that they are not entitled to, it may take a range of actions, depending on the circumstances. These actions may include cancelling or adjusting subsidies, or seeking recovery of unauthorised payments or initiating criminal prosecution. Homes NSW can take these actions under the provisions of the Housing Act 2001.

Dealing with an alleged failure to disclose a change in household circumstances

A client may be receiving financial assistance that they are not entitled to if they have not told Homes NSW or a SHMT CHP about:

  • all household occupants or a change to the household occupants
  • all the income received by the household occupants (including the client)
  • a change to the income of any household occupant (including the client)
  • all the financial interests of the household occupants (including the client) i.e., shares, savings or an inheritance
  • all property ownership interests of the household occupants (including the client).

Where Homes NSW or a SHMT CHP receives information that a client’s household circumstances may have changed, or may not be correct, and the client has not told Homes NSW or a SHMT CHP, Homes NSW will investigate the matter by:

  1. where relevant, asking the person who supplied the information (informant/complainant) if they are willing to provide their information in writing.
  2. conducting an initial assessment of the allegation to determine if possible private rental assistance non-disclosure or fraud has occurred.

Where this initial assessment indicates that possible PRA non-disclosure has occurred, Homes NSW will continue to investigate the matter by:

  1. Where relevant, making enquiries.
  2. Advising the client in writing of the details of the allegation and giving them an opportunity to respond to the allegations during an interview.
  3. Interviewing the client and giving them a reasonable opportunity to respond to any allegations. The client may have a support person present at the interview. If an interpreter is required, Homes NSW will arrange for one to be present.
  4. Assessing the information. Homes NSW will take a range of information into account when deciding whether a client’s alleged failure to disclose information about their household circumstances is an unsubstantiated allegation, non-disclosure or possible fraud.
  5. Deciding on the action to take based on the outcome of the assessment.
  6. Taking into consideration any mitigating or extenuating circumstances, including domestic and family violence, mental health etc.

4. Legislation and compliance

Homes NSW or a SHMT CHP determines the eligibility of a client to receive a financial benefit related to a PRA product in accordance with the provisions of the Housing Act 2001.

The Housing Act 2001 prescribes a maximum penalty of 20 penalty units (that is the equivalent of $2,200 at the date of publication of this policy) and/or three months imprisonment for:

  • wilfully making a false statement or representation to claim a financial benefit to which the client is not entitled, or
  • failing to notify of a change of circumstances with the intention of retaining or continuing to obtain a benefit, which the client knows they are not entitled to.

Privacy and confidentiality

Homes NSW will protect the identity of an informant/complainant at all times and cannot disclose information about the informant/complainant without their permission, unless required by law, for example, as part of a criminal proceeding.

To protect the client’s privacy, Homes NSW will not tell the informant/complainant about the outcome of the investigation.

Criminal proceedings

Where an assessment indicates that possible PRA fraud has occurred, Homes NSW will investigate this with a view to criminal prosecution. The standard procedures for criminal investigations will apply.

5. Further information

Appeals and review of decisions

If a client disagrees with a decision a social housing provider has made, they should first discuss their concerns with the staff member that made the decision. The next step, if they still believe the social housing provider made the wrong decision, is to ask for a formal review of the decision.

For information on how reviews work for decisions made by Homes NSW, go to Appeals and reviewing decisions fact sheet or read the Appeals policy.

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Last updated: 16 Jul 2024