From 1st April 2017, the automatic entitlement of housing costs within Universal Credit for some 18-21 year old will be removed. However, there will be exemptions to protect the most vulnerable claimants.
You can read more from the Explanatory Memorandum here; http://www.legislation.gov.uk/uksi/2017/252/pdfs/uksiem_20170252_en.pdf
The Government’s reason for the action is so that “young people in the benefit system face the same choices as other young people who go out to work and cannot yet afford to leave the parental home.” They also feel that it makes the system fair by encouraging young people who are able to stay at home, to do so, therefore alleviating the cost to tax payers.
There are a few exemptions including claimants who are orphaned or their parents live abroad, claimants who are at serious risk in their parental home and claimants where there is serious risk of damage to their physical or mental health if they stayed in their parental home.
The regulation will not remove the entitlement to claimants if they are in any of the following circumstances;
You can read more on the following Government Website;
http://www.legislation.gov.uk/uksi/2017/252/contents/made