CHANGES IN BENEFITS ARE COMING.
ARE YOU PREPARED FOR
WELFARE REFORM? If you receive Housing Benefit, this is what you need to know...
You will be aware that there are lots of changes taking place within the welfare system in the UK. If you receive any type of benefit, this may affect you but do you know what the changes are? Do you understand the possible impacts on your household budget? One change has already happened Non Dependent Deductions. This is a deduction from your Housing Benefit for any adult person who is not your partner living in your household, but who is not financially dependent on you. If you have a non dependent, you will already have had a reduction to your benefit and are having to find extra money to make up the shortfall. In April next year Under Occupancy deductions, or the ‘Bedroom Tax’, as it has been called, will hit. Under occupancy is where you have a bedroom in your home that is not being permanently used in accordance with new rules set by the Government.
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If you are aged under 61 and have a spare bedroom, your benefit will be reduced by 14%. If however you have two or more bedrooms not being permanently used, your benefit will be reduced by 25%.
The new rules allow for: • One bedroom per adult (16+) or a couple • One bedroom for two children under the age of 10, regardless of gender • One bedroom for two children aged between 10 and 16 of the same gender • A bedroom each for children aged between 10 and 16 of a different gender Bedrooms that are not used permanently by members of the household will be considered as a spare room and subject to the deduction. So if you have a son or daughter who visits a couple of nights a week, or a child away in further education who only returns in the holidays, you will be affected. Nationally, it is estimated that 32% of Social Housing tenants will be affected by this change – the average loss of benefit being £14 per week.