Laura Sharman 27 February 2020

Housing benefit reform a ‘false economy’

Councils have been left carrying the financial burden of reforms to housing benefit, new research has revealed today.

A new paper from economists at the University of Warwick has found that since 2011, for every pound the Government has saved in housing benefit, councils have been forced to spend 53p more on temporary housing.

The researchers also found the cuts have had ‘substantial’ human costs such as an increase in evictions, individual bankruptcies and homelessness.

They found that forced evictions in the private rented sector rose by 22% after the cuts were implemented, with the number of households living in council-provided temporary accommodation increasing by nearly 18%.

Dr Thiemo Fetzer of CAGE said: ‘Our study shows that this has been a very costly social policy choice both in the short term and in the long term.

‘In the short term councils have had to increase spending to meet their statutory obligations in addressing and preventing homelessness. As councils have limited means of raising revenues, let alone issue debt, they are left with cutting services elsewhere to pay for these extra costs.’

SIGN UP
For your free daily news bulletin
Highways jobs

Cleaner

Durham County Council
£24,796 (pro rata)
Cleaner Grade 1- £24,796  (pro rata) Permanent- Part time, 12.5 hours per week Currently 3.30pm to 6pm Monday to Friday (subject to change depending o Durham
Recuriter: Durham County Council

Project Manager

Durham County Council
Grade 12 - £44,075 - £48,226
Can you make a real difference to the residents of County Durham by helping shape services across Durham? We are looking for a project manager with e Spennymoor
Recuriter: Durham County Council

Project Facilitator

Durham County Council
Grade 5 - £26,403 - £25,598
Are you a highly organised and proactive facilitator and administrator, keen to play a key role in supporting a new PMO team, ensuring the smooth coor Spennymoor
Recuriter: Durham County Council

School Crossing Patrol

Durham County Council
Grade 1 £4,106 (approx.) £12.85 per hour
Join our School Crossing Patrol Service! Are you punctual and reliable? Do you have good communication skills and a strong sense of community spirit? Durham
Recuriter: Durham County Council

Home Support Worker

Durham County Council
Grade 5 - £26,403 - £28,598 pro rata to hours worked (hourly rate - £13.68 rising to £14.82 per hour)
Home Support Worker - Grade 5 3x 27 Hour Permanent Posts We are excited to be expanding our team of Home Support Workers within Hawthorn House, a dua Durham
Recuriter: Durham County Council
Linkedin Banner