Housing Benefit Arrears

Rent Arrears

Hi I have a tenant which the council have been paying their housing benefit directly to me at the 2 bedroom rate. in September the council wrote to say they have suspended the payments as there was a problem. The problem turns out she is no longer entitled to 2 bed rate as her daughter has moved out. We issued section 8 as they are 2 months in arrears.

The council have just paid the HB from September to 2nd November and say we can not evict now.
They have also said they will only pay 1 bed rate from now on. Tenant can't / wont pay top up.

Can we still follow through with the section 8 or do we issue a section 21 now
We don't want the tenant anymore she's been very nasty and rude when we said about the top up

Thanks in advance
Neil