WIREDGOV

Reform of Housing Benefit in the private sector was absolutely necessary to control a system that saw spending double over a decade to more than £20 billion a year. However, it is also necessary to monitor and follow the reforms to help us build and learn for future reforms.

I want to thank the consortium led by the Centre for Regional Economic and Social Research (CRESR) for their ongoing work and look forward to the final report.

This report provides findings from in-depth interviews undertaken with claimants, landlords and housing advisors in early stages of the implementation of the reforms.

In addition an econometric and spatial analysis of Housing Benefit claims provides insights to the initial impacts of the reforms across the country.

• large numbers of claimants have not moved during the study

• in 120 council areas, reductions to Housing Benefit have been £5 or less

• the extra £130 million of support from DWP to councils to help tenants has assisted claimants well where losses have been greater.

• setting Local Housing Allowance rates from the median to the 30th percentile of local market rents from April 2011

• capping Local Housing Allowance rates by property size from April 2011 to:
  • £250 per week for 1 bed
  • £290 per week for two bed
  • £340 per week for three bed
  • £400 per week for four bed or more

• the increased Government contribution to the Discretionary Housing Payment (DHP) budget;

• increased powers of local authorities to make direct payments to landlords to support tenants in retaining and securing a tenancy

• allowing an additional bedroom within the size criteria used to assess Housing Benefit claims in the Private Rented Sector where a disabled person, or someone with a long-term health condition, has a proven need for overnight care and it is provided by a non-resident carer who requires a bedroom.