Saturday, 01 October 2016

Benefit cuts to hit 130,000 jobless families

Proposed cuts to housing benefit for the unemployed will hit more than 130,000 households, a study has found.

The University of York study for the National Housing Federation has found the plans will hit 133,000 households in England, costing them an average of £475 a year.

The controversial proposals would see housing benefit payments reduced by 10 per cent for people who have been out of work for more than a year. They are due to be confirmed in the forthcoming Welfare Reform Bill, although Inside Housing has heard ministers are discussing making last minute amendments to the cut, or dropping it altogether.

The NHF study calculated the average housing benefit claim from someone who is also on jobseeker’s allowance is £91.35 a week, meaning they would lose £9.14. Households claiming the maximum amount of housing benefit would lose £2,080 a year.

The number of households affected by the cut is likely to rise as the government shifts people from incapacity benefit onto jobseeker’s allowance as part of wider welfare reforms.

NHF chief executive David Orr said: ‘To reduce the housing allowance for those out of work means punishing people for failing to find a job in a very difficult job market.

‘The proposal is unfair, unjust and will heap further misery onto households already under huge financial pressure.’

Readers' comments (24)

Comments are only open to subscribers of Inside Housing

Already a subscriber?

If you’re already a subscriber to Inside Housing, your subscription may not be linked to your online account. You can link your subscription from within the My Account section of the website and clicking on Link My Account.

Not yet a subscriber?

If you don't yet subscribe to Inside Housing, please visit our subscription page to view our various subscription packages.

Have your say

You must sign in to make a comment

sign in register

Newsletter Sign-up

Related

Articles

  • Drop in claimants hit by benefit cap

    5 May 2016

    The number of people hit by the benefit cap fell by nearly 13% between 2015 and 2016, new government figures reveal today.

  • Thousands of homes hit by flooding

    7 December 2015

    Thousands of homes have been affected by severe flooding across the north west of England, Wales and parts of Scotland.

  • Accord 'hit by previous large fraud'

    25 November 2015

    The housing association at the centre of a £325,000 fraud this week was hit by a similar crime five years ago, Inside Housing can reveal.

  • Sector braces for housing benefit cuts

    25 November 2015

    The social housing sector is bracing itself for further cuts to housing benefit as George Osborne prepares to deliver his Spending Review today.

  • CIH: Pay to Stay will hit benefit claimants

    19 November 2015

    The proposed ‘Pay to Stay’ threshold is too low and will hit some households claiming benefit, the Chartered institute of Housing has warned.

IH Subscription