More Benefits Caps – Implications to LHA Landlords?

Remember that LHA rates are also being frozen, so will not track market rent!

Reply to the comment left by "Puzzler " at "09/07/2015 - 12:21":

You can pretty much guarantee that the entire amount will hit housing benefit. The 3 main benefits that claimants receive are Income Support/ESA/Job Seekers, Child Benefit and Housing Benefit. The first 2 will not be reduced which leaves only 1 other option. When the £26k cap came in a number of our tenants housing benefit went from close to £200 per week down to 50p per week. We evicted virtually all of them. We are now gearing up for the next round of evictions. A very costly exercise which will see a number of good people forced into bedsits and temporary accommodation. Not something we want to do but we will have no choice. In my area virtually all of the families that have more than 2 children will be hit hard. I'm concerned from a business perspective but I also have genuine concern for a lot of good people who have fallen on hard times, some of which have been our tenants for 10 years plus. Ultimately the tax payer will be picking up the bill for the bedsits and TA at a cost of between £35 and £100 per night, so who is the winner here?

Reply to the comment left by "Ross McColl" at "10/07/2015 - 08:50":

I agree Ross, I remember the days of Bed and Breakfasts making a fortune by supplying "emergency" accommodation and families sharing a room at inflated prices,ruining seaside towns in teeside, its a total false economy, We as a society wont allow kids to sleep on the street so the people who will be affected will be working poor.
BTW which area do you operate i'm in Teeside and i don't think it ill affect me as much,

Also do you know if under 21's with kids will be affected by the change?

they could try something novel like working.

Reply to the comment left by "Alan Loughlin" at "10/07/2015 - 10:19":

obviously your a PHD sociologist Alan, your about as informed as the last post ranting about Landlords, life if you get out and experience it, is a little more nuanced than that.
Most of my tenants claim HB and most work, they will be the ones hit hardest
You should stop watching Benefit Street.

the chancellor summed it up very well, in that the emphasis needs to be shifted from those who claim benefits to those that fund it, a very clever chancellor we have, we will go far as a country with him at the helm.
I was very unsure, but now very very glad I voted tory, this will rebalance the fairness in our society.

I tend to agree with Alan. I have heard families say they are worse off working than not working, or if the second parent goes out to work again losing their tax credits makes them worse off. Work should always pay best.

Reply to the comment left by "paul johnson" at "10/07/2015 - 09:50":

With regards to under 21's entitlement to HB if they have kids this is the comment made by Gideon in his Budget speech to the house.

'We are also abolishing the automatic entitlement to housing benefit for 18-21 year olds.

There will be exceptions made for vulnerable people and other hard cases.'

I would guess that under 21's with dependants will be classed as vulnerable.

Thanks for that. I didn't think that the government would Penalise under 21s with children but mood their in at the moment you never know

I have to say regarding working tax credit's been cut for the poorest I do deal mainly with working people at the bottom end of society the vast majority do work and are claiming working tax credit. The benefit Street types that are t talked about are very small minority, usually very difficult to deal with but they are not representative of the majority of people who claim WTC.making The poorest poorer does not do anybody any good and just saying get a job is ridiculous to anybody who deals or works in the situation