DWP Issues 'Bedroom Tax' Reassurance

The DWP has said pensioners claiming housing benefit now will not be affected by the Government's "bedroom tax".  A spokesman said: ‘We want to reassure pensioners claiming housing benefit that they will not be affected by this policy now, or when Universal Credit begins, even if one partner is below pension age.’  He confirmed however that this would not apply to new claimants after that time.  A poll for the Sunday People newspaper found that voters believed - by a majority of 46% to 35% - that the principle of the change was "only fair" at a time of economic austerity.  But clear overall majorities said that its implementation should be delayed for a rethink on how to implement it (52%), that it should only apply if people refused smaller homes (60) and that it should not apply at all to Army families with children away on active service (77%).  Read more on the ITV website.

Bedroom Tax – How Cameron Has Lied To Pensioners

Pensioners, more correctly the mixed-age couple, i.e. where one has reached state pension qualifying age and the other has not, will be hit by the bedroom tax. Last week I put out a blog stating that mixed-age pensioners will be hit by the bedroom tax, not initially in April but from October when Universal Credit kicks in. I was wrong.  They can be hit by the bedroom tax from April, yes in just 9 weeks time!  Cameron has said he has guaranteed pensioners will not lose ANY universal benefits during this parliament.  Yet this will happen as we can see below;

    *Pensioners can be hit by the bedroom tax in April

    *Pensioners can be hit with 65% tax rates or 100% tax rates if they work

    *Pensioners can and will be hit by the overall benefit cap

    *Pensioners that work will lose universal benefits such as cold weather payments

    *Mixed-age pensioner couples will receive less in benefits that a single pensioner £1714 per year less to be exact!

    *Mixed-age pensioners may well see a higher divorce rate

    *The coalition changes will see pensioners being poorer

    *Universal Credit says that a mixed-age pensioner couple have lower needs than a single pensioner!! (No you couldn’t make it up could you!)

    “All in-work help will disappear for them at a time when pension age is rising and more people have to continue working into old age”

Read more on the Speye blog.