Report shows the impact of the bedroom tax
- 24 Jul
An official report reveals that almost 60% of tenants hit by the Government's bedroom tax are struggling to pay the additional rent.
A study into the impact of the removal of the spare room subsidy has found that 300,000 people affected were in rent arrears just five months after the charges came into force, reports the Local Gov.
Over the same period almost 41% of tenants had reported to have paid the additional rent and 39% had only paid a portion of it.
57% of people affected had reported that they were cutting back on ‘household essentials' in order to pay for their rent shortfall, whilst over a quarter had said they'd borrowed money.
Only 4.5% of affected tenants were reported by landlords to have downsized over the first six months of the scheme. A spokesperson from the Department for Work and Pensions (DWP) said such figures were ‘a promising start'.
Barriers preventing downsizing included attachment to an area, employment and support networks alongside suitable alternative accommodation.
The report found evidence that tenants living in areas with a high proportion of people affected by the ‘bedroom tax' were finding it harder to downsize than those in areas where lower numbers are affected.
The report said: ‘At the time of the research, four out of five claimants affected by the RSRS were reported by landlords to be paying some or all of their shortfall, although half of these had failed to pay in full. There was widespread concern about the impact of potential future evictions on local services, and on landlord finances as well as on the lives of vulnerable people. Few tenants have found work or taken in lodgers. However, demand for downsizing has been greater than anticipated, although, in many areas, this demand has thus far been difficult to meet.'
TUC General Secretary Frances O'Grady said the report ‘lays bare the damage wreaked' by the policy. "Fewer than one in ten landlords say that government help for struggling tenants is working well and local authorities report that it is making it more difficult for them to house homeless single people. The "bedroom tax" is one of the most pointlessly cruel welfare policies instigated by a government that remains determined to take away the safety net that so many rely upon."
Commenting on the findings, David Orr, chief executive of the National Housing Federation, said: "Time and time again it has been shown that the "bedroom tax" is pushing people into rent arrears and people have been unable to downsize because of a lack of smaller properties. Now the figures from the DWP prove it is not working, surely now it is time for the government to admit they got it wrong and repeal this ill-thought policy."
What do you think of this? Tweet us your comments @suppsolutions
Image source: http://www.freeimages.com/photo/1193076
Related articles
- 02 Nov
THE ONS PLANS TO CHANGE THEIR DECISION TO MAKE HOUSING ASSOCIATIONS PUBLIC BODIES
According to reports by 24 Housing, the ONS said the following:Gavin Smart, Chartered Institute of Housing's deputy chief executive also said:"Although we have been expecting this decision for some...
- 30 Aug
RECENT ANALYSIS FINDS THAT THE HELP TO BUY SCHEME HAS ADDED TO THE INFLATION OF HOUSE PRICES
The analysis of the Help to Buy Scheme revealed the following:The chief executive of Paradigm Housing Group, Matthew Bailes, said:" ... clearly, it worked well for developers, and for providers, it...
- 22 Aug
A NORTH WALES COUNCIL REVEALED THEIR WAITING LIST FOR NEW HOMES HAS REACHED BREAKING POINT
The north Wales Council revealed their waiting list for new homes has reached "breaking point".According to Clare Budden, Flintshire Council's community enterprise chief officer said:"There are...
- 17 Aug
HOMELESSNESS POLICY IS UNDER REVIEW IN A NORTHAMPTONSHIRE COUNCIL
Kettering Borough Council has amended its letters to homeless residents to let them know of their right to request a temporary accommodation review.According to an ombudsman, Michael King:"People in...
- 15 Aug
FINANCIAL CONSTRAINTS HAVE CAUSED THE CLOSURE OF MANY CHILDREN AND YOUTH CENTRES
Local Government Association (LGA) made the following findings:Chair of the LGA's children and young people board, Richard Watts, said: "The reality is that services for the care and protection of...
- 11 Aug
RESIDENTS OF BUILDINGS IN LEDBURY ESTATE, SOUTHWARK, SOUTH LONDON WILL BE MOVED OUT TEMPORARILY
The buildings in Ledbury Estate in Southwark have been constructed in a similar way to Ronan Point, a tower block in Newham which collapsed in 1968 as a result of a gas explosion, killing three. An...
- 10 Aug
THERE IS A DECLINE IN THE HOUSING MARKET IN LONDON AND OTHER PARTS OF THE SOUTH EAST OF ENGLAND
The Royal Institution of Chartered Surveyors (Rics) made the following findings:Chief Economist at Rics, Simon Rubinsohn:"Sales activity in the housing market has been slipping in the recent month...
- 07 Aug
REPORT FINDS THAT PEOPLE ARE INTENSELY SUFFERING FROM LACK OF AFFORDABLE HOMES IN SCOTLAND
According to the report by "Shelter":Shelter's deputy director, Alison Watson, said:"This report shows the disproportionate impact of Scotland's housing crisis on young people and private renters who...
- 02 Aug
NEW REPORT BY THE PUBLIC ACCOUNT COMMITTEE IN WALES COMMENDS HOUSING ASSOCIATIONS
The report which was put together after nine months of inquiries stated the following:Nick Ramsey, Chair of the Public Accounts Committee, said:"Generally, we found governance and regulation within...
- 31 Jul
LONDON COUNCIL URGES THE GOVERNMENT TO MAKE MEASURES TO END LETTING FEES FOR PRIVATE RENTERS
The London council say urgent action is needed because the government has not provided "a clear timescale to introduce its own measure", Letting Agent Today, reports.Last year, the government had...
Support Solutions 5th National Housing Support & Social Care Conference 2014 The Social and Financial return seminar was very helpful, helped me think about our approach to bidding, negotiating for funding and keeping hold of what we have! The New Technology seminar was really an eye opener- really got me thinking about potential applications for older people. P.M - Four Housing
