Rotherham families face housing costs hike - warning

Shelter has analysed the impact of cuts proposed in last month's budget, which reduced the number of people able to claim Local Housing Allowance.

The charity believes that the move will leave some of the borough’s poorest families needing £10.36 more a week to meet their housing costs.

The average three bedroom household in Rotherham will see a 9.1 per cent drop in the amount they receive, Shelter says, pointing out that those on

the minimum wage of £218 a week will lose a significant proportion of their income.

Shelter chief executive Campbell Robb warned that the Chancellor's cuts could push many households over the edge.

"These cuts will have a huge impact on hundreds of households in Rotherham and across the country, the majority being pensioners, those with disabilities, people caring for a relative or hardworking people on low incomes,” he said.

"Many will now be forced to cut back on essentials like food and electricity, or take on extra debt, just to make ends meet."

Shelter is also concerned about further changes to Local Housing Allowance which will peg rates to a national measure of inflation rather than basing them on local rents.

The charity is warning that when these changes come into effect in 2013 they will deliver an even bigger blow to household finances as Local Housing Allowance will not keep up with rising housing costs.

Mr Robb added: “The only way to bring the housing benefit bill down in the long term is to address our desperate shortage of social homes, which is pushing more and more people into the private rented sector where rents are almost twice as expensive.

“Cutting housing benefit without continuing to invest in building new homes will only serve to compound our housing crisis.

“We urge anyone worried about the proposed changes to housing benefit to seek advice from Shelter's unique services offering people in Rotherham specialist help with debt problems, welfare benefit and Community care issues.”

Shelter can be contacted on 0344 515 1577.

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