Welfare reform

The Government has changed the benefits people are entitled to claim, and is also changing how the money is allocated.

A new limit is being put on the total amount a household can receive in benefits, changing how much is paid to you through Housing Benefit or Universal Credit. If you are affected by this, it is vital you continue to pay your rent and we recommend you speak to your Income Collection Advisor about it. See how the ‘benefit cap’ might affect you.

The ‘bedroom tax’ or ‘spare room subsidy’ affects people with bedrooms that are regarded as ‘spare’ by reducing their Housing Benefit or Universal Credit – by 14% for one spare room and 25% for two or more. This has led many people to downsize. Please get in touch if you would like advice on how to move to a smaller property.

Universal Credit is the new way benefits – including Housing Benefit – will be paid. The scheme is being gradually phased in and anyone receiving Housing Benefit will have to go online to claim their money. (Don’t worry – you will be notified directly when you are going to be affected by this.)

Benefits will be paid directly into a bank account and recipients will be responsible for paying their own rent, and any other bills, themselves.

The easiest way to do this is to set up a Direct Debit and we would encourage all our tenants to do this, as it takes away the risk of forgetting to pay your rent – and therefore avoids the build up of arrears and the ultimate fear of losing your home.

Find out more on our ‘How to pay’ page or contact our Income Collection team by email (incomecollectionteam@2rh.org.uk) or by phone.