Benefits shake-up prompts homeless concern
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With a lack of one-bedroom accommodation available in the county, fears are growing that people may be forced onto the streets with nowhere to go.
The UK Government is set to introduce a new welfare reform bill next year which will see tougher regulations on under-occupancy for social rented sector claimants, namely those in Highland Council or Housing Association properties
If housing benefit claimants are judged to be living in a house which has more bedrooms than they use, their benefit will be reduced.
The move could result in them not being able to afford to stay in their houses.
The Highland Council’s benefit advice information officer, Gail Ward, said that the new reforms are causing anxiety throughout the country, but the impact may be felt the most in the Far North.
“The welfare reform could have a massive impact on the people in Caithness where there is an extreme shortage of one-bedroom properties,” she said.
Under the proposed new rules, anyone who is considered to have one room more than they need will have their benefits reduced by an average of £11 a week. Anyone who is considered to have two more bedrooms than is required will face a reduction of around £20 a week.
Older couples whose children may have left home are set to be hit the hardest, but the criteria for under-occupancy will also be based on the number of children parents have, as well as age and gender.
Pentland Housing Association senior property officer Carol Treasurer said that there are no one-bedroom homes available in its schemes.
“There are other one-bedroom properties belonging to other housing association schemes in the Highlands and it could result in more movement of tenants between different organisations,” she said.
“But they may not be available in the local area and if they wanted to stay in their current properties they would have to find the extra money from somewhere else.
“It will also be difficult because some tenants have children who are based at local primary schools and if parents are forced to look for smaller properties in other areas it will cause disruption to their lives.”
The UK Government will also be introducing the Universal Credit scheme in April 2013 which will see all benefits being paid in one lump sum rather than individually. This is also causing concern, said Ms Ward.
“We’ve got no predicted figures at the moment, but with all benefits set to be paid in one lump sum, there also may be issues regarding mismanagement of money,” she stated.
“People may choose to spend their money in other areas which could leave them short when it is time to pay the rent and they could be forced to leave their homes.”
Members of the public attended meetings held in Thurso on Tuesday to hear how the changes may affect them.
The Highland Council’s tenant participation officer, Lorna Simpson, said new measures which would see claimants paying rent directly to the landlord is causing worry.
“We held a meeting at the Ormlie Community Centre which was aimed at young mothers and they expressed great concern that they would be responsible for paying the landlord directly rather than having it done for them,” she said.
“Being responsible for receiving the money up front and making sure that they do not mismanage their payments is causing a lot of worry and it was indicated that they would prefer for their housing benefit to be paid straight to the homeowner.”
People who have concerns about managing their money can seek help from the UK Government’s Money Advice Service, which was launched last year.
The service is operated in Caithness at Citizens Advice Bureau offices in Thurso and Wick and appointments can be made on 01847 894243 or 01955 605989.
What the new rules would mean:
To get full benefits you would have to live in an appropriately-sized house:
One-bedroom homes: Couples and single people.
Two-bedroom homes: Couples or single parents with children of the same gender under 15 years old and of different genders up to nine years old.
Three-bedroom homes: Couples or single parents with two or more children who are not all under 15 or children who are different genders and are over nine years old.
The penalty for under-occupancy is to average between £11 per week for one extra bedroom and £20 for two extra bedrooms.
Payment of benefits will change with the introduction of the Universal Credit scheme where claimants will receive their entitlement in one sum rather than separate payments.
