Council Wants Own £2m Bedroom Tax Support Pot

Birmingham Council will write to Eric Pickles to ask for permission to create a £2 million discretionary housing payment fund in its own housing revenue account. The council has already awarded 887 DHP payments to tenants hit by the bedroom tax. This has used up £300,000 of the £716,000 the DWP has suggested the council set aside from its £3.8 million DHP allocation to help tenants affected by the under-occupation penalty.  Although the council is allowed to increase its total DHP funding pot to £9.4 million through its general fund, it says this is difficult due to budget pressures.  Instead, it wants to set up a £2 million DHP pot in the separate HRA, but this requires a direction from the secretary of state for communities and local government. Read more on Inside Housing.