Legal News

The chief executive of housing provider the Home Group has said that measures in the Chancellor’s Budget could price benefit claimants out of housing association homes.

Mark Henderson said George Osborne’s welfare benefit cap outlined in Wednesday’s Budget could result in more families struggling to pay rent on their homes.

The welfare cap has been set at £119 billion for the year 2015-2016 – and any future rises are to be limited to a 1% increase or in accordance with the Consumer Price Index (CPI), whichever is lower.

Mr Henderson said that as the government currently sets yearly affordable rents at CPI plus 1%, welfare claimants could soon be priced out of the housing association rental market.

“At current rates, this welfare cap is a cut to the incomes of some of the most vulnerable people in society,” said Mr Henderson.

“Many people who rely on affordable housing could see an increasing gap year on year between their housing benefit and the cost of their homes – the danger is that affordable housing will no longer be affordable to a significant number,” he added.

Welfare cuts are already taking a financial toll on social housing tenants who have had their housing benefit cut as a result of the bedroom tax.

For some claimants who have had to pay the bedroom tax, moving to a smaller property has also been difficult because many Local Authorities have sold off smaller one- and two-bedroom council properties to private buyers, leaving a depletion of smaller properties in council housing stock.

Duncan Lewis Housing Solicitors

Duncan Lewis housing solicitors can advise on a range of housing matters, including:

• Debt
• Disrepair of rental property
• Housing benefit
• Housing possession
• Landlord & Tenant disputes
• Local Authority housing
• Mortgage repossession
• Unlawful eviction.

Duncan Lewis is also one of the UK’s leading providers of Legal Aid services.

For expert legal advice on housing law contact Duncan Lewis housing solicitors on 020 7923 4020.