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UK Housing Benefits Strategy Needs Overhaul

UK Housing Benefits Strategy Needs Overhaul

The government’s latest housing benefits strategy looked good in the development phase, but has lost its luster due to future costs which were overlooked. The Commons committee has reported the strategy took into account consumer price inflation, but failed to account for rises in housing costs. This could result in the poor being priced out of 25% of the country.

Ministers have proposed significant changes take place by the year 2013, to avoid enormous quantities of people unable to afford their dwelling.

The chairperson of the Commons committee, Anne Begg, commented on the housing strategy, saying: "This really is quite a change across the country and we question whether housing benefit should not rise with housing costs. Because within 15 years we see a possibility that accommodation will not be available to households regardless of their income."

Begg, also the labor MP of Aberdeen South, mentioned there are significant concerns about homelessness. Boris Johnson shared those concerns with Begg, claiming the new reforms could possibly lead to a 50% increase in homelessness. It might possibly also force 5,000 households in London into a temporary dwelling.

Begg also said the committee was troubled regarding the lack of emphasis being placed on the disabled and the elderly.

They commented on how the government thought people would respond in general to the housing strategy, saying: "The government says landlords will change their behavior by reducing rents and people will change behavior by moving to cheaper accommodation. That's something we cannot test."

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