The much maligned bedroom tax came into force in April of this year. Tenants in receipt of Housing Benefit who were deemed to have spare rooms had their payments reduced. It was thought that most would downsize into smaller homes to save money, but figures released by one large Housing Association have revealed that the majority of tenants have actually stayed in their existing properties.
Why Are Tenants Not Moving?
The biggest problem faced by tenants looking to downsize into smaller homes is the lack of available and suitable properties. Many Housing Associations simply don’t have any smaller houses in their stock, which means tenants are being forced to stay put even though they are struggling to pay their rent.
Rise in Rent Arrears
Figures from the same Housing Association indicate that rent arrears rose by 9% during the first 12 weeks of the Bedroom Tax. Tenants have seen their payments reduced, but because there are no smaller properties available, they begin to fall into payment arrears.
Protest Against Bedroom Tax
Social landlords are doing their best to support tenants by giving them advice on how to better manage their money or find work, but clearly despite their best efforts, many tenants are struggling to pay the bills. In a graphic illustration of the frustration felt by many tenants, one disgruntled individual decided to cut his own throat last week whilst visiting his local benefits office. He claimed it was in protest at the Bedroom Tax. Fortunately the man survived.
