Helping families with their living costs

Extra funding to help offset UK Government benefit cap

The Scottish Government is providing £8.6 million in direct support for people affected by the UK benefit cap as part of its work to tackle child poverty.

An estimated 4,000 families with around 14,000 children are now able to apply for extra financial support through their local council’s Discretionary Housing Payments scheme.

Social Justice Secretary Shona Robison said: “We are increasing funding to help bridge the gap between what people need in benefits from the UK Government and what they actually receive. Eligible households could be £2,500 better off on average per year as a result.

“We will spend up to £84 million in 2023-24 on Discretionary Housing Payments to mitigate not only the UK Government’s bedroom tax and the on-going freeze to Local Housing Allowance rates, but now also the benefit cap which is pushing families into hardship.

“Our child poverty targets are ambitious and that is why we are choosing to invest significantly more in social security than the funding we receive from Westminster and helping to mitigate the damaging impact of UK Government welfare cuts.”

John Dickie, Chair of the Child Poverty Action Group, said: “Mitigating the UK benefit cap is absolutely the right thing to do. Support for struggling families shouldn’t have an arbitrary limit that pushes children into deeper poverty.

“It’s now vital that everyone affected by the benefit cap applies to their local authority for a Discretionary Housing Payment to replace as far as possible the cash support removed by the cap. The Scottish Government has done the right thing, now the UK Government must act to scrap the cap altogether.”

Laura Millar, Strategic Manager at charity Fife Gingerbread, which helps lone parents and families in need, said: “Last year Fife Gingerbread supported the ‘Scrap the Cap’ campaign calling on Westminster to end the benefit cap and the financial hardship this causes.

“Therefore, the Scottish Government’s commitment to empower local authorities to mitigate the impacts of the benefit cap using Discretionary Housing Payments is a positive step.

“Although the number of households affected across Scotland may be relatively small this is an important measure. The greatest risk is that households may be unaware of their entitlement, and every year millions of pounds of benefits go unclaimed. Therefore, we must all raise awareness of this announcement to ensure those most in need of support receive it.”



Funding for benefit cap mitigation by Scottish local authorities through Discretionary Housing Payments is as follows:

2022-23£2.6 million
2023-24£6 million
Total£8.6 million

The benefit cap is a UK Government policy which limits the total amount of benefit that most working age people can receive, even if their full entitlement would be higher.

Discretionary Housing Payments are administered by Local Authorities to support with housing and living costs.

Further information about support available for people during the cost of living crisis can be found at gov.scot/costoflivingsupport.

Lazarowicz backs ‘bedroom tax’ amendment

bigbenMark Lazarowicz MP has joined Labour colleagues in giving a partial welcome to a Private Members’ Bill being debated today in the UK Parliament designed to exempt some people from the so-called ‘bedroom tax’.

The Housing Reform Act 2012 included the removal of the spare room subsidy, which means that social tenants can see their housing benefit cut severely where they are deemed to be occupying a property larger than they need.

The Bill is being introduced by Andrew George, LibDem MP for St Ives, and although committed to abolition of the bedroom tax the Labour Opposition is aiming to strengthen it as a step towards that.

The North and Leith MP said: “The Bill is welcome in so far as it goes in seeking to exempt some people hit by the bedroom tax and in encouraging the building of new affordable housing but the real answer is simple: scrap the bedroom tax as Labour is committed to do.

“This unfair and vicious policy has left vulnerable tenants like disabled people and their carers under threat of having to move and the Government has been forced to apply sticking plaster to the wound it has caused by increasing discretionary housing payments in dribs and drabs.

“It is all very well for some LibDem MPs to be calling for the bedroom tax to be modified to exempt them a few months before the UK General Election – if they had opposed it from the start, the government would not have been able to bring it in at all!

“The real answer to the desperate shortage of affordable housing is not to victimise existing social tenants but to tackle it at root by building more of it.”

Housing payment cap powers to be transferred

More help for 72,000 Scottish households 

despair2

Thousands of Scots families can be given more ‘Bedroom Tax’ assistance following discussions between the Westminster and Scottish governments. The UK government has offered to transfer power over the housing payment cap to Holyrood, it was announced yesterday.

Housing help for people on benefits – known as Discretionary Housing Payments (DHPs) – is currently reserved to Westminster and administered by local authorities in Scotland. This power will now transfer to Scotland, however, and the Scottish Government is now urging Westminster to transfer these powers as soon as possible.

The Scottish Government has already spent up to the previous legal limit in order to mitigate the effects of the ‘Bedroom Tax’. Once the powers are transferred, a total of £50 million can be invested to help the 72,000 households in Scotland who are suffering from the effects.

Welcoming the news, Deputy First Minister Nicola Sturgeon said:

“We had already set aside the money to be able to help every household in Scotland affected by the ‘Bedroom Tax’ – once we have the powers, we will be able to use it and provide vital assistance to thousands of hard-pressed Scots.

“I am delighted that in future anyone who has been affected by this unfair policy will receive the help they need and would encourage them to contact their Local Authority to apply for assistance through the DHP scheme.

“We will never turn our back on people in need, and I am pleased to finally be able to get on and help people. But the fact is that this decision has taken far too long. We have been pressing since January for Iain Duncan Smith to remove this cap – and at last Westminster has seen sense and have given us what we requested. We will now work to ensure the law is changed as quickly as possible.

“The DHP scheme is the only legal way – under the powers that Scotland currently has – to provide regular financial payments to people on housing benefit. But the only way to get rid of the ‘Bedroom Tax’ for good is through the powers of an independent Scottish Parliament.

“We know that Scots want welfare decisions to be made and taken by the Scottish Parliament. The ‘Bedroom Tax’ has been rejected by people right across Scotland, yet is still being imposed on us by the UK Government.

“With independence we will have the opportunity to create a welfare system that really works for us.”

However the UK Government says that their willingness to transfer the power to set the cap on Discretionary Housing Payments (DHP) in Scotland demonstrates a ‘commitment to taking a pragmatic approach to devolution and to engaging intensely with local authorities in Scotland.’

In a letter to Nicola Sturgeon, Scotland Office Minister David Mundell has offered to transfer the power to the Scottish Government through a Section 63 Order which will require the agreement of the UK and Scottish Governments before being approved by both the UK and Scottish Parliaments.

If the Scottish Government chooses to accept this offer, it will have the flexibility to pass on more funding from its existing block grant to local authorities – it will be up to to the Scottish Government and local authorities how they choose to allocate their money.

As things currently stand, DHPs can be used by local authorities across Great Britain to provide additional funding for people in receipt of housing benefit who need extra support. At present each local authority must operate within a formula-based spending cap set by the Department for Work and Pensions. The proposal from the UK Government would mean that the Scottish Government would have the power to set the DHP cap for Scottish local authorities in future.

Mr Mundell said: “I have completed a programme of visits to all Scottish local authorities and believe that transferring this power to the Scottish Government is the correct thing to do.

“The UK Government believes in taking a pragmatic approach to devolution and we believe in a United Kingdom that gives Scotland the best of both worlds. I hope that officials from both governments will now be able to take this forward.”

cooncilhooses

 

Happy birthday, Bedroom Tax?

North & Leith MP joins anti-bedroom tax protest

Mark Lazarowicz - Labour pledges to scrap the poll tax - 9 April 2014

On the first anniversary of the introduction of the so-called  ‘Bedroom Tax’, Mark Lazarowicz MP has reiterated the pledge that a future Labour government will scrap the legislation altogether. The Welfare Reform Act, to give it it’s proper name, has hit over 4,600 people in Edinburgh and over 71,000 people across Scotland.

Mr Lazarowicz spoke at a protest organised by Unite trade union outside Westminster to mark the anniversary earlier today.

The Scottish Labour and the SNP Scottish Government reached agreement in February over funding to protect tenants in the social rented sector in Scotland from eviction as a result of the Bedroom Tax alone but that is only an interim solution as the extra funding has to come from elsewhere in the overall budget.

Mark Lazarowicz MP said: “Getting on for 5,000 people in Edinburgh have been hit by this cruel and costly tax with arrears totalling £5 million according to the Scottish Housing Regulator.

“Those affected are often amongst the most vulnerable people in society: Citizens Advice Scotland found that two-thirds of people coming to them for help because of the Bedroom Tax were disabled and another one in ten cared for a disabled person.

“Scottish Labour took the lead in campaigning for the Scottish Government to provide additional funding, and I am glad that the SNP government eventually agreed to do so. It should have done so earlier, but I nevertheless welcome the fact that it did so. The long-term answer, however, is to axe the Bedroom Tax, and Labour is fully committed to do that.

“The Government said the Bedroom Tax would save money but the housing benefit bill continues to rise. It won’t listen to reason, Labour is clear: we will scrap the Bedroom Tax.”

Double blow for campaigners as Court of Appeal upholds benefit cuts

cooncilhooses

Five disabled tenants have lost their Court of Appeal bid to overturn  benefit cuts brought about by the ‘Bedroom Tax’. The court also ruled against two lone parents who claimed the cap on benefits violated both human rights and common law because of its impact on vulnerable families.

Lawyers for the group had argued the regulations failed to reflect the accommodation needs of disabled people, but Court of Appeal judges ruled that the court could not intervene in the government’s housing benefit changes, however ‘controversial’.

A Department for Work and Pensions spokesperson said: “We are pleased that the courts have once again found in our favour and agreed this policy is lawful. Reform of housing benefit in the social sector is essential to ensure the long term sustainability of the benefit. But we have ensured extra discretionary housing support is available for vulnerable people.”

On the benefits cap ruling, the spokesperson added: “We are pleased that the courts have ruled again that the benefit cap complies with the European Convention on Human Rights. The benefit cap sets a fair limit to what people can expect to get from the welfare system – so that claimants cannot receive more than £500 a week, the average household earnings.”

Since the introduction of the spare room subsidy or ‘bedroom tax’ last April, people deemed to have one spare bedroom have had their housing benefit reduced by 14% while those with two or more spare bedrooms have seen reductions of 25%.

Lawyers representing the appellants said they are ‘baffled’ by the decision and plan to fight on.

 

Local group’s fury over ‘Bedroom Tax’ vote

North Edinburgh Women’s International Group has written to Labour leader Ed Miliband following a vote in the House of Commons last week:

Dear Mr Miliband

I am writing to you on behalf of North Edinburgh Women’s International Group  regarding reports in the  news that  46 Labour MPs failed to  turn up to the House of Commons  to vote for a motion  which  could have led to the scrapping of the bedroom tax.

We are unable to understand  how this situation could have come about.  We can only assume that the 10 Scottish MP’s who failed to vote were unaware of the 150% increase in people using foodbanks in Scotland during the last year as a result of the current programme of welfare reforms.    They  must also be unaware of  the warning from Shelter  that “for many, the safety and security of a home is under threat like never before.”

We understand that  Labour’s motion on  the scrapping of the bedroom tax was defeated by only 26 votes.  We would have thought that the  recommendation by the UN  Special Rapporteur  on Housing  calling for the bedroom tax to be suspended immediately would have had an impact on  members of the Labour Party.   This does not appear to have been the case.

We were under the impression that an important part of an MP’s job involves turning up to their workplace (ie the House of Commons) and  voting on issues  which affect the people  they represent.  We  believe that 46 of your Party’s MPs   have not been doing their job and we find this completely unacceptable.

The inaction of these MP’s demonstrates  that the Labour Party does not represent the interests of ordinary people.  It also suggests that the Labour Party does not care about the suffering and hardship experienced by many families as a result of the bedroom tax.

We are interested in finding out what the Trade Union Movement’s response is to the inaction of  the 46 MP’s who represent the Party which they fund.

We are disgusted, angry and disheartened at what has become of the Labour Party. It  is no longer the Party of  ordinary people.   Your Party has taken working class people’s votes for granted.  You  have insulted our intelligence by assuming that people would  forgive and forget  this terrible betrayal.  This is a serious error which will cost the Labour Party at election time. The excuse of Labour MPs having been paired will not be accepted.

We look forward to your reply

Your sincerely

Anna Hutchison

On behalf of North Edinburgh Women’s International Group 

One week on, the group is still awaiting a response.

Cammy Day Ward 4 Forth Ward

Forth Labour Councillor Cammy Day comments:

Responding to letter by the Edinburgh North International Women’s group

I agree with the Edinburgh North International Women’s Group in their letter dated 19th Nov in their deploring of the evil bedroom tax. As the deputy convenor of the Council’s Health, Social Care and Housing Committee I have seen first hand the damage it’s done,  but I think your letter unfairly puts the blame of the existence of the bedroom tax on the Labour Party. It was the Labour Party who voted against the introduction of the bedroom tax from the beginning. It was the Labour Party who has campaigned to bring an end to it and promised that a Labour government would scrap it right away. This policy was brought in by the Coalition Government, the Liberal Democrats and the Conservatives. They are the ones who made this unfair and pernicious tax, a law.
At Council level the Labour Party has prevented evictions in cases caused by the bedroom tax, something I was proud to be a part of in Edinburgh. At Holyrood they have voted against it and sought to bring in legislation to prevent it. I feel your letter leads people astray in their thinking, last week’s opposition debate by the Labour Party sought to highlight and reverse the government’s position. You are correct when you say that some Labour MPs did not vote for the motion. This was a result of pairing – where MPs from both opposition and government are paired when they cannot attend (either because they are ill, or because they have constituency or foreign business). This is part of our parliamentary system.
I hope you will reconsider your verdict on the Labour Party’s position on the bedroom tax. Only a Labour government in 2015 has committed to scrapping the bedroom tax and only a Labour government will continue the fight for the ordinary working class people you speak for. That’s why I am a member of the Labour Party and the trade union movement. We must stay together in this battle for a fairer society and show the coalition government of Liberal Democrats and Conservatives for what they damage the have done by legislating for the bedroom tax to exist in the first place and their wider attack of welfare reforms.
Cammy Day
Councillor – Forth Ward
Readers – it’s over to you! 

Rise in rent arrears as ‘bedroom tax’ bites

The UK Government’s “disastrous” welfare reform programme has led to a rise in rent arrears and a rise in emergency housing payments across local authorities, Deputy First Minister Nicola Sturgeon said yesterday. Data collected by the Scottish Government and COSLA shows that UK Government changes to housing benefit have added significant financial pressures on Scottish councils.

The research showed that all, but one, of Scotland’s local authorities with housing stock, had seen an increase in rent arrears. Three quarters of councils said that the bedroom tax is directly responsible for the increase in arrears.

Of that rent now due to be collected from tenants affected, 60 per cent of councils reported receiving 40 per cent or less and 80 per cent of councils reported receiving 50 per cent or less (based on responses from 20 of the 26 councils with their own housing stock).

Ms Sturgeon said that it was ‘absolutely imperative’ that the DWP review and evaluate the impact of their welfare reforms as a matter of urgency.

Last month, research showed that local authorities had received 22,000 requests for emergency Discretionary Housing payments by the end of May.  Nineteen local authorities saw a 400 per cent rise compared to the same period last year. And by the end of May, 22 per cent of the £10 million funds made available in Scotland for DHPs by the Department for Work and Pensions had been allocated.

Ms Sturgeon said: “This new data shows a drastic increase in the number of people applying for emergency funding to help them deal with the impact of the UK disastrous welfare reform programme. Local authorities across Scotland are having to deal with the appalling aftermath of the bedroom tax, which is hitting our most vulnerable citizens, including a high proportion of disabled people, extremely hard in these challenging economic times.

“The Scottish Government and COSLA have had little indication from the UK Government about how they intend to review the impact of the bedroom tax to date – even though it is clear from this research that it is driving up rent arrears and requests for emergency funds. That is why we have made a commitment to the people of Scotland that we will scrap the bedroom tax following a successful referendum vote next year. This will be done within a year of independence and we will have the practical arrangements in place to ensure that this happens.

“Working with our partners in local government we have provided £40 million to protect households from the 10 per cent cut in successor arrangements to Council Tax Benefit. We have also allocated funding to support people affected by the bedroom tax with an additional £7.9 million for advice and support services, of which £2.5 million is ring fenced for social landlords.

“We cannot mitigate the full impacts of the UK Government’s cuts to the welfare system without full powers over welfare or access to all our resources – but we will continue to oppose the bedroom tax. It is unfair and divisive policy that hit some of our most vulnerable groups hardest, and it undermines and jeopardises the work this Government is taking forward to create a fairer, more successful, and prosperous Scotland.”

cooncilhooses

Bin the Bedroom Tax: public meeting in Muirhouse tonight

Bin the Bedroom Tax!

All welcome to an open meeting to start a local fight-back group in Muirhouse to resist the bedroom tax and the cuts.

7pm Thursday 25 April

Millennium Centre, 7 Muirhouse Medway

We want to create a strong independent local group to:

· stop any evictions for rent arrears due to the cuts : if needbe by defending homes against the sheriff officers

· battle for the complete abolition of the bedroom tax

· fight for all the rent arrears from the bedroom tax to be written off – and for all who have paid the rent increase to be paid back

· support all local people affected in making an appeal against the cut to their Housing Benefit and/or in applying for a Discretionary Housing Payment

· be a way for local people to organise grass-roots resistance: we do not support any political party

· link-up with other groups in North Edinburgh, round the city, Scotland and Britain to co-ordinate our fight-back

· oppose all the cuts – why should we pay for the greed of the rich and for the crisis of their unfair system?

Don’t give up your tenancy – join us to fight back!

CAN’T PAY – WON’T MOVE!

More info 0776 3204906 (Virgin) muirhouseresidents@hotmail.com

www.muirhouseresidents.co.uk/bedroom-tax

www.northedinburghfightsback.org.uk www.edinburghagainstcuts.org.uk

BedroonTax