Tenants hit by welfare reforms see a rise in debt

  • In the last eighteen months household debt amongst 70 households affected by welfare reforms has risen by 55%.

    In the sixth report in a major study of northern households affected by welfare reforms, Real Life Reform, the average debt per household has increased by 55% from £2,288 to £3,554. Average weekly debt repayments have more than doubled in the same period, reports Inside Housing. /images/risinghouse.jpg

    The study is being produced by seven social landlords along with the Northern Housing Consortium and the University of York.

    The study showed a drop in the percentage of households surveyed in debt, from 74.3% in October to 64.2%. However, the report said debt relief orders - which allow debts to be written off - had accounted for a third of the reduction in debts, while discretionary housing payments had allowed 12% of debts to be reduced.

    Andy Williams, chair of the Real Life Reform steering group and director of neighbourhood services at Liverpool Housing Trust (LHT), said: "It is clear that the challenge of keeping their heads above water remains extremely difficult for many."

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The Welfare Reform Act: Universal Credit, Sheltered and Supported Housing The content was concise and to the point. The content was relevant to our service, and gave us a better us a better indication of were stand with upcoming changes. Rosie Kaur - Panahghar

 

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