Housing Secretary MIchael Gove is reported to be pressing Prime Minister Rishi Sunak to increase Local Housing Allowance in next week’s Autumn Statement.
The BBC reported over the weekend that Gove - along with Pensions Secretary Mel Stride - had written to Sunak to boost LHA record numbers of people in temporary housing.
LHA rates, which determine housing benefit levels, have been frozen since 2020.
The number of people in England living in temporary accommodation is at record levels as landlords sell up and high rents affect many households.New government figures show 104,510 households were in temporary accommodation in the three months to June, including 131,370 children.
But the BBC believes the Treasury instead prefers higher universal credit for those in work.
Officials have reportedly drafted proposals to cut the "taper rate" - the proportion of earnings people can keep before their benefit payment is cut.
The taper rate is currently 55 per cent meaning that for every pound someone earns above their personal work allowance, their universal credit payment is reduced by 55p.
According to the Institute for Fiscal Studies just five per cent of rental properties advertised on Zoopla are now affordable for those in receipt of housing benefit as a result of the freeze.
And the National Residential Landlords Association is calling on the government to unfreeze housing benefit rates as a matter of urgency, to prevent ever growing numbers of benefit claimants from struggling to access the housing they need.
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They should do it, I bet they won’t 🫣🫣
of course they won't , they hate us why would they want to see us earning more?
What's the point? How high would they raise it? To market levels???? Who will take someone on Universal Credit at market rate over and above a decent hard working responsible person?
Don't worry Nick it will not be raised at all, we all know that so the rule of NO DSS remains firmly in place
Exactly ;) I had one single mother (the Nigerians I've mentioned on here with the mould). 4 kids by (as several people tradesmen who visited have said to me by how many fathers?). I was probably the only long term male fixture to give **** to. The typical benefit funded person who's Nr 1 hobby or activity is complaining about the landlord!
LHA tenants are invariably closely supported by their local authority/council. Therefore the RISK is way higher. They will be told to ignore Sec21 and resist eviction with free legal representation at court, rent payments will be erratic at best and communication with LHA payments section a condescending ordeal.
I am now pricing my rents according to RISK, reversing the perceived norm around LHA. Tenants who are fully self funding, good refs and guarantor will get the best rental deal from me .
Exactly. My payments were erratic even though the tenant was on on UC. Dealing the DWP was a real pain in the ****. They don't tell you anything. It's all about the the tenant's privacy. The tenant changes their claim, and they have to wait a number of weeks without payment. The direct payment to the landlord is therefore stopped. No notification from the tenant or DWP. Then you have to set it up again. DWP don't action anything so you have to Google area manager's details who do action things. The process is terrible. But Council's and HA's have a portal where they can easily set things up for direct payments which is not open to private landlords. But we are supposed to be getting our very own portal soon.... But not a portal we want!
Those tenants should think they are lucky getting free money, I don't get any free money.
Free money, don't even get what you're entitled to. Yes, another fed up landlord who is planning their exit.
We had an enquiry today for a 2 bedroom house. Enquiry by a chap on behalf of his daughter in law and 2 young children (means his son has left her?). The girl doesn't work so would be totally reliant on benefits, I went through the motions and advised him that she would need a guarantor to which he responded, I will be the guarantor. I questioned him on income to which he replied, I'm semi retired but I have 7 rental properties in the area so income isn't an issue. Another question from me, if that's the case sir, why do you not let one of your properties to your D-I-L? Oh that's simple he said, the benefits wouldn't cover the rent I charge!!
No wonder this country is in a mess when money is thicker than blood!
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