Thursday, 5 February 2015

DWP Cuts Discretionary Housing Payments by £40m

The DWP has announced that it will be making £125m of funding available to councils for discretionary housing payments in 2015/16, compared to £165m this year. The DWP suggests an amount of each councils’ allocation that should be used for to help people affected by the benefit cap, local housing allowance changes and the bedroom tax, however funds are not ring-fenced for these purposes. The amount earmarked for the bedroom tax will remain at £60m but £20m has been cut for the allocation for the benefit cap, £5m for ‘core funding’ and £15m for LHA changes. However, the DWP has increased funding to help private renters with their rent. It increased the targeted availability funding for local housing allowance in 2015/16 by £50m to £95m. Download a copy of the allocations from the DWP website.

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