A minister has said the government’s decision to cap the local housing allowance is aimed at preventing private tenants on benefit living in expensive areas. Bob Neill, an under secretary of state at the CLG, defended the plans to restrict local housing allowance, which is only paid to claimants in the private rented sector, to between £280 and £400 a week depending on property size. He said, ‘We have got to the stage where the increase in housing benefit expenditure has been very rapid, the average housing benefit award for local housing allowance in places is over £9 a week more than for customers listed under the previous scheme in the private rented sector. ‘It is a difficult situation where we are having very significant sums paid out in a limited number of places, in some very expensive boroughs where a person who was in work on a low wage would have no hope of being able to live.’Read the full story on Inside Housing.
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