The Housing Benefit [or housing element of Universal Credit] that you receive in the future is changing
From 7 November 2016 there are changes being made to your Housing Benefit entitlement due to the Welfare Reform and Work Act 2016. These include:-
Families regardless of size that are not in work will only ever be able to receive up to £20,000 in benefits per year regardless of expenditure. This is called the benefit cap.
The first benefit that will be reduced will be your Housing Benefit (or housing element of Universal Credit) to ensure that you do not receive more than the benefit cap.
The total amount a couple or a single parent will be able to claim in benefits is:
- £442.31 a week in London
- £384.62 a week outside London
The total amount a single person will be able to claim in benefits is:
- £296.35 a week in London
- £257.69 a week outside London
There are some exceptions to this, for exampleifyou or your family receive Disability Living Allowance/ Personal Independence Payment. Further guidance can be found on the Shelter website
If you are working 16 hours a week (or 24 hours a week for a couple) and are able to claim Working Tax Credit you will be exempt from the benefit cap.
If you are currently unemployed or working less than 16 hours a week (or 24 hours a week for a couple) it is extremely important that you seek additional employment to enable you to support yourself financially and take steps to prevent any threat of homelessness.
If you need assistance to do this you must contact the Job Centre or the Citizens Advice Bureau.
If you are affected by the benefit cap it is also important to know that you can apply for Discretionary Housing Payment to assist you in paying your rent for a short period of time while you are looking for employment.
These changes will affect you whether you are living in temporary or settled accommodation.If you do not take action to address this, your rent account will enter into arrears which may result in you losing your accommodation.
However if you are living in supported temporary accommodation you will not be affected by the benefit cap until you are housed in settled accommodation. If you are unsure whether or not you are living in supported temporary accommodation please contact your local council.
If you are or will be subject to the Benefit Cap and you have not taken steps to address this by seeking employment you may be rejected by registeredproviders (also known as housing associations) for any offers of accommodation until you have done so.
If you have any further queries about the benefit cap or are unsure whether you will be affected please contact your local council.