Monday, 30 November 2015

Spending Review – Further Clarity On Plans To Limit Rents In The Social Rented Sector To LHA Rates

There are three key things which have been confirmed by Government officials and which will help in understanding what is set out in the Spending Review Blue Book.
·         Although the new rules will apply to affected individuals who sign their tenancy from April 2016 onwards, they will be entitled to full Housing Benefit until April 2018.
·         Supported housing is covered by the new rules
·         The Government are committed to exempting supported housing from the new rules by increasing Discretionary Housing Payment (DHP) to local authorities.

As Universal Credit rolls-out Lord Freud has expressed a desire to find a “localised” solution to the funding of supported housing so this announcement needs to be seen in that context. Ministers are still working out the best approach to the funding of rents in supported housing in the context of Housing Benefit being phased-out. Read more on the Homeless Link website.

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