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Changes to Housing Benefit

This overview examines significant changes to Housing Benefit outlined by Chris Baker, Housing Benefit Manager. Following the government's emergency budget and forthcoming legislation, critical updates affecting various demographics are highlighted. Key adjustments include alterations to Local Housing Allowance (LHA) rates, removal of the £15 excess, transitional protections, and the inclusion of Housing Benefit in Universal Credit. Additionally, proposed changes like the extension of shared room rates and the review of Discretionary Housing Payments (DHP) will impact families and older individuals.

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Changes to Housing Benefit

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  1. Changes to Housing Benefit Chris Baker – Housing Benefit Manager

  2. Background • New government • Emergency budget • Legislation in November • Comprehensive spending review

  3. Changes • Up-rating • DLA • Tax Credits • Benefits and children • Benefits and older people

  4. April 2011 • Removal of £15 excess • Non dependent deductions • Extra room for carer • Capped LHA rate • £250 a week for a 1 bedroom property • £290 a week for a 2 bedroom property • £340 a week for a 3 bedroom property • £400 a week for a 4 bedroom property or larger • Removal of 5 bedroom rate

  5. April 2011 • Calculation of LHA rates changes • No longer Median rent • 30th Percentile • Transitional protection

  6. What will this mean? Source: www.voa.gov.uk

  7. Proposed changes – April 2013 • Social sector housing to reflect family size • LHA rates up-rated in line with CPI • 10% reduction in HB for those in receipt of JSA over 12 months

  8. Additional Support • Small increase in DHP funding • Limited DHP budget • SDC DHP Policy to be reviewed April 2011 • Broadening of safeguard discretion

  9. Comprehensive Spending Review • Housing Benefit to be included in Universal Credit • Council Tax Benefit abolished • Shared room rate extended to under 35’s

  10. Comprehensive Spending Review • LA’s to play key part in imposing overall cap • A new Fraud Investigations Service in 2013

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