The government is cutting the funding it gives to
councils in England and Wales to help struggling tenants by more than a fifth,
with critics warning the move will drive up homelessness following the recent
end of the Covid evictions ban and the end of the furlough scheme in September.
Discretionary housing payments (DHPs) provide financial support to people
claiming housing benefit or universal credit who face rent shortfalls or need
assistance with payments such as rent deposits in order to move home. The
government boosted DHP funding from £139.5m to £180m in 2020/21 amid the
pandemic, but is now cutting that back to £140m in 2021/22 – a reduction of 22%.
Read more on the Observer website.
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