Spending Cuts Blamed For Rising Benefit Bill

Housing bodies have blamed swingeing government spending cuts for adding nearly £2 billion to the cost of housing benefit over the next five years. Despite plans outlined in the Welfare Reform Bill to reduce benefit expenditure, the forecast from the Office for Budget Responsibility showed the government will have to shell out an extra £1.9 billion to meet the expected increase in housing benefit claimants. In June 2010 the coalition promised to wipe £1.8 billion off the annual benefits bill, which stood at £22 billion for 2010/11, by the end of the current parliament. The increase in people claiming benefit is also likely to put pressure on social housing and council waiting lists. Read more on Inside Housing.