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Changes to Housing Benefit and Council Tax Benefit from April 2011

 

From April 2011 the Government is making several changes to Housing Benefit and Council Tax Benefit.

 

Changes that could affect all Housing Benefit and Council Tax Benefit claims

Other people living with you:

If you have a non-dependant adult living with you, for example, an adult son or daughter, a charge is usually applied to your Housing Benefit and Council Tax Benefit called a non-dependant deduction which reduces the amount you are awarded.

 

These charges normally increase every April. From April 2011, however, the Government is increasing them by higher amounts thani n previous years. This is because the deductions have not increased as much as they should have done over recent years and the larger increases are bringing them up to what they should have been.

 

For details of what the new deductions see below.

 

Non-dependant's income or circumstances from April 2011

Weekly Housing Benefit deduction

Weekly Council Tax Benefit deduction

 

In receipt of Income Support, or

Jobseekers Allowance (Income Based), or

Main phase Employment and Support Allowance

(Income Related)

Aged under 25:

 

 

£0.00

Aged 25 or over:

 

 

£9.40

Aged 18 and over:

 

 

£0.00

In receipt of Pension Credit

£0.00

£0.00

Aged 18 or over and not working more than 16 hours:

£9.40

£2.85

Aged 18 or over and working at least 16 hours where:

 

 

Gross income (before tax and deductions) is less than £122.00 per week

£9.40

£2.85

Gross income is £122.00 to £179.99 per week

£21.55

£2.85

Gross income is £180.00 to £233.99 per week

£29.60

£5.70

Gross income is £234.00 to £309.99 per week

£48.45

£5.70

Gross income is £310.00 to £386.99 per week

£55.20

£7.20

Gross income is £387.00 and above per week

£60.60

£8.60

 

Changes to Housing Benefit for people who rent from private landlords

 

Local Housing Allowance changes

Local Housing Allowance rates are the maximum amount that can be paid in Housing Benefit to claims that have been made after April 2008. These rates apply to most tenants who rent their home from a private landlord. These rates do not apply to housing association or council tenants.

 

If you rent your home from a private landlord and made your claim after April 2008, it is likely that these changes will apply to you.
 
From April 2011:

  • All Local Housing Allowance rates will be reduced
  • The 5 bedroom rate of Local Housing Allowance will no longer be paid.

The current Local Housing Allowance rates and the likely new rates are set out below:

 

 

Shared Accommodation

1 Bed

2 Bed

3 Bed

4 Bed

5 Bed

Current Rates

£60.00

£103.85

£126.92

£138.46

£196.15

£300.00

Estimated New Rates

£60.00

£98.80

£115.38

£132.69

£173.08

£173.08

 

 

 

 


Protection for Existing Claimants

If you are already claiming benefit the above changes will not apply to you until at least January 2012. You will receive 9 months’ protection after the anniversary date of your claim.

 

For example: if you claimed benefit in August 2010, your anniversary date will normally be August 2011, your protection would last for 9 months from that date: from August 2011 to May 2012.

 

If you have had a change in household since you made your claim these changes may affect you earlier.  

 

If you move address after April this protection will be lost and the changes will apply immediately. You may also lose the protection if there is a change in your household.

 

Removal of £15 Extra Benefit

At present tenants can receive up to £15 extra benefit if their rent is lower than their Local Housing Allowance rate. This will stop for new claimants from April 2011. If you already get the extra money, this will stop from the anniversary of your claim.

 

An additional Room for Carers

From April 2011 an allowance will be made for an extra bedroom where a disabled claimant or their partner has a proven need for overnight care. The care must be provided by someone who does not normally live in the property and an extra room must be available for the carer.

 

Vale of Glamorgan Council, Civic Offices, Holton Road, Barry CF63 4RU, Tel: (01446) 700111