Sunday 9 December 2012

Housing Benefit - effective reductions

I've received my latest assessment for Housing Benefit. I gave the Council notice in July when I received notice from my landlord of the annual increase - which this year was well above inflation. The increase started in Oct. The Council sent me the assessment on 3 Dec. Are they overworked?

The upshot is that for the third year in a row my rent has increased at more than inflation and my benefit award has stayed the same. This amounts to an effective 10% reduction in Housing Benefit. And that extra comes out of ESA (Income Support as was).

If Housing Benefit does keep pace with rents then the poor will be getting poorer. I'm not too badly off being single, frugal and living in shared accommodation, but for some people this effective reduction in the amount of money they get will be hurting.