Advice req housing benefit

Basically our daughter returned home from Uni pregnant armed with boyfriend who we agreed that they could live here with us until the baby was born which it was on the 12 dec Neither are employed and we have supported them during this time
Now they have saved up around £1500 from some pt work they have their names on the housing list but were told they would be entitled to a two bed place once the baby was born
Im thinking that if they are offered a two bed place and its suitable they won't need a deposit as their rent etc will be paid by the state and this money they have will be used for the bills etc Or will they be req to make any form of contribution I've said that hey can stay until the end of jan but I want to see some serious signs of motivation in finding somewhere on their part as so far their hasn't been a lot even thou they were told by the council etc to start looking in November as people in the private properties would have to give a month notice etc anyway before the place became vacant
To be honest he situation isn't viable much longer as I work long hours and we don't get a lot of time to ourselves and don't get a lot of sleep and I don't think either of them know what a Hoover is or how to operate a washing machine or any other appliance other than a Xbox
If I have to I will issue a letter stating the fact that they are out. We can't financially support this situation much longer plus its causing a lot of friction with our other children who have moved out and we are constantly being told we've got MUG on our foreheads I would add however that the others moved out prior to her returning and that this wasn't the reason they done one