Overall the UK Government’s housing benefit reforms will remove £150m every year from the Scottish economy. 95,000 households in the social rented sector will be effected, with tenants set to lose up to £65 per month.
The new law will introduce a ‘bedroom tax’, shrinking the amount of housing benefit for tenants in social rented homes by introducing new size criteria for working-age Housing Benefit claimants, who have extra bedrooms.
People who are judged to be “under occupying” their home by one bedroom will have their housing benefit slashed by 14per cent. Where they are under occupying by two or more bedrooms the deduction is 25per cent. This includes disabled people and people for whom work is not a realistic possibility.
The Scottish Government and COSLA have established a Housing Benefit Stakeholder Advisory Group to improve understanding of the impact of the changes and inform representations to the UK Government.
-- Advertisement --
Speaking ahead of a Housing Benefit debate in the Scottish Parliament, Mr Brown said: "While we have repeatedly made a compelling argument against the housing benefit changes in the Welfare Reform Bill, the UK Government have singularly failed to listen, and it is now law. It is therefore imperative that, as housing benefit reforms are implemented, those at the sharp end are assisted to understand how the changes will affect their lives.
"It is the responsibility of the UK Government’s Department for Work and Pensions to ensure that the welfare reforms are successfully rolled out and – even though we disagree with the changes - the public sector in Scotland must work with them to ensure no one suffers undue hardship.
"We are doing what we can to mitigate the potentially devastating impacts of these reforms. For example we are supporting organisations such as councils and housing associations with analysis to understand the impact on tenants in their area.
"We are also funding the Chartered Institute of Housing to deliver training for local authorities and housing associations the length and breadth of the country on how to assist their residents. And we have provided resource to COSLA to bolster their work in supporting Councils to prepare for the reforms.
"However, we cannot escape the fact that poor and vulnerable in Scotland will suffer as a result of these changes. I fear that will always be the case while the housing benefit system remains the responsibility of the UK Government. That is why many benefits issues could be addressed, and this kind of regressive change avoided if responsibility for the system was held in Scotland."
(GK)
