News 5 M


ANY of you are probably still wondering what


impact – if any – the UK Government’s changes to benefi ts will have on you and your family.


The reality is that if you receive benefi ts of any kind, then the Government’s welfare reform, being phased in over the next few years, could affect you. One of the biggest changes is just around the corner. From April next year, the help you get with your rent will be reduced if you are of working age and you under-occupy your home. That means if your home is considered to have more rooms than you need, the amount of Housing Benefi t you get will be reduced. It will be assumed you need one bedroom for each single adult or each couple.


Children under the age of 16 and of the same gender are expected to share a bedroom. Children under 10 and of different genders, are also expected to share a bedroom.


How much will my Housing Benefi t reduce by?


If, based on the rules above, you are deemed to have one spare bedroom, you will lose


CASE STUDY 2


Mr and Mrs Smith live in a two-bedroom house in the East End. Their son has left home and they live alone.


They are both under 62 and have a small income. Their rent is £295.68 every four weeks.


They are not eligible for full Housing Benefi t but receive £258.08 partial Housing Benefi t. Under the current


UK Government proposals,


they will be deemed to be under-occupying their home by one bedroom.


The couple are likely to face a deduction of 14%


from their Housing Benefi t. This will mean a decrease of £36.13 per month. As a result, their housing benefi t will drop to £221.95.


14% of your Housing Benefi t. If you have more than one spare bedroom, it will reduce by 25%. If your Housing Benefi t does reduce, you will be expected to make up the difference to your rent.


What’s working age? At the moment it’s 16 to 62 years old. This will change year on year. If no one in your home is of working age, the new rules about under-occupation will NOT affect you for now.


the right number of rooms for your needs. You could, for example, look at a mutual exchange where a tenant effectively ‘swaps’ homes by fi nding another tenant who wants to exchange houses. You can try to arrange a mutual exchange through a variety of ways, including Homeswapper, which is free for GHA tenants. Go to www.homeswapper.co.uk for more details. You can also talk to your Housing Offi cer about the possibility of a transfer.


What can I do? You can decide to stay in your home and make up the difference to your rent. If you do this, our Money Advisors can help you better manage your money and our Welfare Benefi ts Advisors can help with your benefi ts to make sure you are getting everything you’re entitled to. Although there are currently a lack of smaller homes in the city, you could consider a move to a home which has


How can GHA help? We want to do everything we can to help tenants cope with the Government’s changes. We will be talking to tenants affected by under-occupation in the run-up to the changes. If you are concerned, call us on 0800 479 79 79 or speak to your Housing Offi cer. We can arrange an appointment with one of our Welfare Benefi ts Advisors for help with benefi ts or a Money Advisor for help with managing money and debts.


i


Look out in the Key for more


information about Universal Credit and other benefi t changes.


10 things you need


to know ■■The UK Government is behind the changes which will be phased in over the next few years. ■■At the moment, the changes will affect most people of working age –16 to 62 years – who receive benefi ts. ■ ■The next big change to come is that, from April 2013, your Housing Benefi t will be reduced if you are considered to have more rooms in your home than you need. ■■Universal credit – where people on benefi ts are paid all their benefi ts in one amount into a bank account – starts in October 2013 for some people and will be phased in over a couple of years. ■■If you don’t have a bank account, think about opening one now. Scotcash can help. Phone 0141 276 0525. ■■GHA is doing


everything it can to help people affected. ■ ■If you think you may be affected, you can talk to us now. ■ ■Our Welfare Benefi ts Advisors can check whether you are getting the benefi ts you are entitled to and give advice about any changes that might affect you. ■ ■If you are struggling to make ends meet, our Money Advisors can help you to budget. ■■Phone 0800 479 79 79 or talk to your Housing Offi cer to arrange an appointment with a Money Advisor or Welfare Benefi ts Advisor.


theKEY www.gha.org.uk


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