6.—(1) This paragraph applies in a case, falling on or after 2nd January 1996, where:
(a)an authority makes a payment on account pursuant to regulation 91 of the Housing Benefit Regulations(1); and
(b)on the subsequent determination by that authority the amount of rent allowance payable is less than the amount of the payment on account,
to the amount by which the payment on account exceeded the amount payable on the determination.
(2) In a case where this paragraph applies, the appropriate amount shall be 95 per cent. of so much of any amount which:
(a)is not in excess of the appropriate indicative rent level in relation to the dwelling, in respect of which the claim for rent allowance, pursuant to which the payment on account was paid, was made, and;
(b)has not been recovered pursuant to either regulation 91(3) or 99 (recoverable overpayments) of the Housing Benefit Regulations.
(3) In any case to which this paragraph applies and any such payments on account were in excess of the appropriate indicative rent level, paragraph 7 shall apply to such excess.
Regulation 91 was amended by S.I. 1995/2868.