Bedroom Tax Ruling Blow to Separated Families

A grandfather who lives with his grandson part-time has lost an upper-tier tribunal against the bedroom tax, in a blow to separated families. In a decision made at the end of June which has only recently come to light, an upper-tier tribunal judge said that a previous lower tribunal decision ruling in favour of the family had made an “error of law”. The tenant had his housing benefit reduced by 25% because he was judged to have two spare bedrooms. A lower-tier tribunal last year reduced this to 14% because the grandson often lived with his grandparent and he needed a room to sleep in. After an appeal by the DWP, an upper-tier tribunal overthrew this decision and upheld the ruling to cut the tenant’s housing benefit by 25%. Read more on Inside Housing.

“Last Time Buyer” Market Worth £820 Billion

A successful downsizing policy for 'last-time buyers' could play a key role in solving the UK's housing crisis, according to a new report. Research from Legal & General and Cebr shows that there are approximately 5.3 million under-occupied homes in the UK with 3.3 million last-time buyers (LTB) looking to downsize. The LTB market owns 7.7m spare bedrooms and a total of £820 billion of housing wealth, set to reach £1.2 trillion by 2020. Key research findings include:

·         A typical LTB lives in a four-bed house, but wants a two-bed property

·         Almost a third of older homeowners considered downsizing in the last five years; only 7% actually did

·         A majority (58%) put it off until after 70; a quarter until 80 or older.

Read more on the CEBR website.

Thousands Were Waiting To Downsize Before Bedroom Tax

Almost 40,000 households across the North of England were on the waiting list for one-bedroom social homes just as the Bedroom Tax came into force. Opponents warned at the time that people had ‘spare’ bedrooms only because of a lack of available smaller properties following years of councils selling off their social housing stock.  Labour MPs across the North have reacted with fury at the figures, which they say highlight their concerns that thousands have been unfairly hit with the “pernicious” and “ideological” bedroom tax thanks to government failure to build enough homes. Read more on the Newcastle Chronicle website.

Plea to Aid Downsizing Amid Empty Rooms Glut

Seven in 10 households in England and Wales have at least one spare bedroom, with eight million homes having two or more, according to analysis from the Office for National Statistics. The figures, drawn from the 2011 census, show significant levels of under-occupancy in the country. Of the 23.4 million households in England and Wales, more than 16 million, or 68 per cent, have at least one spare bedroom. More than 82 per cent of privately owned homes have spare bedrooms, the ONS analysis reveals. Under-occupation is highest in rural parts of the East Midlands – including Rutland, South Northamptonshire and Rushcliffe in Nottinghamshire – and Monmouthshire, Wales.  Read more on the Daily Telegraph website.

Tenants May Beat ‘Bedroom Tax’ With New Bathrooms

Hundreds of people who could fall victim to the “bedroom tax” are to benefit from new plans to convert spare bedrooms into bathrooms. The move, by the social landlord Magenta Living, the largest registered provider of social housing in the Wirral, is expected to affect around 200 homes initially.  The former Welfare minister Frank Field, the Labour MP for Birkenhead who has called on people to “brick up” their doors and “knock down the walls” to avoid paying the tax, welcomed the move: “The bedroom tax is iniquitous and Magenta is clearly undertaking this review with tenants in mind and I think they need to be applauded.”  Read more on the Independent website.

Bedroom Tax Residents Given £900 to Downsize

Residents affected by the bedroom tax are set to receive up to £900 in return for downsizing.  Whitefriars, a housing association which took over the former council housing in Coventry, and the city council will gift tenants £300 per spare bedroom in a bid to free up much-needed larger properties.  The cash will then be spent on removal costs or on decoration and flooring for their new homes.  Whitefriars has pinpointed 150 homes which could be freed up under the scheme. It comes after the government cut benefits to any housing association tenants with spare bedrooms.  Around 3,000 residents have been affected in Coventry alone.  Read more on the Coventry Observer website.

Housing Benefit: Social Rented Housing – Parliamentary Written Answer

Stephen Timms: To ask the Secretary of State for Work and Pensions whether the rent of those parents of disabled children exempted from the under-occupancy penalty will be paid from the general housing benefit budget rather than through discretionary housing payments; and if he will make a statement.

Steve Webb: If local authorities are satisfied that an extra bedroom is required for a disabled child or children then payments will be made from the general housing benefit budget.  Where an extra bedroom is not deemed essential, discretionary housing payments may be considered, based on the circumstances and facts of each individual case.

No ‘Spare’ Bedroom for a Non-Resident Overnight Disabled Carer

In the post immediately below this one, Steve Webb was at pains to state that a spare room is allowed for a non-resident carer, “…to be clear for the record” he says and goes on to repeat “…a spare bedroom is allowed for a non-resident carer.”

Steve Webb, to be clear and for the record, you have misled parliament and that is not the case at all!  The absolute fact of the matter is that a non-resident carer is ONLY allowed a spare bedroom when that non-resident carer is delivering the care for the tenant or the partner of a tenant.  The non-resident carer does not see a spare bedroom exempted in a household where the care is provided to anyone else.  If the person being cared for is not the tenant or the partner of the tenant the bedroom charge does NOT allow the non-resident carer a spare bedroom exemption.  Read more on the Speye blog.

Under-occupancy Penalty (Nottingham) – Parliamentary Debate (2)

Steve Webb: To be clear, the rules allow for a non-resident carer who has to stay overnight to have a room...a spare bedroom is allowed for a non-resident carer.

Steve Webb: …to be clear for the record, a spare bedroom is allowed for a non-resident overnight carer and it is important that he does not alarm people about the issue. 

Council Housing – Parliamentary Written Answer

Mr MacShane: To ask the Secretary of State for Work and Pensions when he expects local councils to begin reducing benefits to council home tenants who have spare bedrooms.

Steve Webb: The measure introducing a reduction from housing benefit for working age social sector tenants who under occupy their home comes into force from 1 April 2013, both for those already receiving benefit and those making a new claim.