Advertising helps fund Big Issue’s mission to end poverty
Housing

Government scraps cap on housing benefit in social sector

Housing groups welcome Theresa May's decision to not to implement limits on Local Housing Allowance

Theresa May has decided to ditch her government’s plan to cap housing benefit for people in social housing.

The government had intended to impose new limits on housing benefit in the social housing – in line with a cap already faced by tenants in the private sector – from April 2019.

But May said that ministers “will not apply the Local Housing Allowance cap to supported housing…Indeed we will not be implementing it in the wider social rented sector.”

The U-turn was welcomed by Labour, the Lib Dems and leading housing groups.

Advertising helps fund Big Issue’s mission to end poverty
Advertising helps fund Big Issue’s mission to end poverty

It was also cheered by organisations working with homeless people, who had argued the caps should not be applied to those living in supported accommodation.

Some had warned the changes would have meant housing associations not having the funding to build specialist accommodation.

But following May’s decision, the housing and care provider Home Group announced that it is bringing forward a £50 million investment in three new supported housing and health schemes. 

Rachael Byrne, an executive director at Home Group said the government reversal “really puts the whole of the supported and socialhousing sector on a long-term sustainable footing.” 

This will be welcome news for people who are homeless

“This will be welcome news for people who are homeless and other vulnerable groups,” said Dominic Williamson, an executive director of at the charity St Mungo’s.

“This is a step in the right direction but we await next week’s full proposals for supported housing funding with interest.

The government has also announced that it will be publishing a White Paper on the future of funding for supported housing on Tuesday next week.

Watch the Pride special collection.

Our LGBTQ+ film playlist offers a new and interesting angle on LGBTQ+ love and struggle – giving an international overview by taking us inside some of the most and least sexually liberated countries in the world.  

Sign Up Now
Advertising helps fund Big Issue’s mission to end poverty

GIVE A GIFT THAT CHANGES A VENDOR'S LIFE THIS WINTER 🎁

For £36.99, help a vendor stay warm, earn an extra £520, and build a better future.
Grant, vendor

Recommended for you

View all
Rents in UK are at record highs. Will they keep going up?
rents uk
Renting

Rents in UK are at record highs. Will they keep going up?

Labour has announced its Warm Homes Plan. Here's what it means for energy bills and the climate crisis
Keir Starmer and Ed Miliband visit an energy provider training centre
Housing

Labour has announced its Warm Homes Plan. Here's what it means for energy bills and the climate crisis

10 global solutions to homelessness and the housing crisis to give you hope for the future
A family supported by Platform for Social Housing in the Czech Republic looking out their balcony
Housing

10 global solutions to homelessness and the housing crisis to give you hope for the future

Inside the unique project tackling homelessness as a community: 'We should have one in every town'
Harbour Project resident Darren Rowe
Homelessness

Inside the unique project tackling homelessness as a community: 'We should have one in every town'