News that councils face a 15% budget cut comes as no surprise. There are tough choices on the horizon – but the axe must not fall on the poorest. Among the most vulnerable are people who rely on local housing allowance (LHA) to pay the rent. A consultation period into housing benefit has just ended and the DWP has published its findings and recommendations. Reading between the lines, it is clear that the government means to cut the £17bn annual rental bill. Housing benefit is in desperate need of reform, but the changes proposed to the way the level of LHA is calculated would reduce benefit levels for everyone. 86% of housing advisers said that just a £5 cut in LHA would make paying the rent more difficult. Increased poverty, debt and even homelessness could overshadow any savings to be made through these cuts, as the cost to the state of a single person becoming homeless can be as high as £24,500 a year. Read the rest of this opinion piece on the Guardian website.
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