CARLISLE’S rented housing market could be thrown into chaos by Government changes to the way housing benefit is paid.

   So says city solicitor John Stevenson, who, as Conservative prospective parliamentary candidate, hopes to be Carlisle’s next MP.

   John says the changes introduced by the Government – which see housing benefit being paid to the tenant rather than direct to the landlord – could result in  a greater number of vulnerable people becoming homeless.

   Homeless charity, Crisis, has already warned that the new system could result in rent arrears and eventually homelessness.

   “The system was working very well before,” John says. “Why on earth did the Government have to change it?”

   John says the old system, in which housing benefit was paid straight to the landlord, meant that landlords had the security of knowing they would be getting their money.

   But under the new Local Housing Allowance scheme the money is being paid to the tenants instead, and it is up to them to pass it on to their landlords.

   That means that some, who struggle to manage their finances properly, will spend their rent money on something else – and so risk being evicted for falling into debt to their landlords.

   “The old system helped people manage their money properly,” John says. “The new one just invites them to get into trouble.”                                              

   So many landlords who were previously happy to take on tenants on housing benefit have suffered from non-payment of rent since the rules changed that, according to the National Landlords Assocation, half of them are now reluctant to lend to tenants on Local Housing Allowance – in effect slashing the availability of decent places to live.

   John says that if landlords are not sure that they will be paid their rent it is no wonder that they may be unwilling to accept tenants who on benefit.

   “Landlords will become terribly nervous of taking on tenants who they think might spend the money that has been given them to pay the rent,” he says.

   “You only have to look at the houses to rent advertisements in the Cumberland News to see that many landlords are already specifying ‘No DSS’ or ‘No housing benefit’.”

   The Conservatives have pledged to change Labour’s failed policy. Tenants will be able to choose whether to have their housing allowance paid direct to their landlord.

– ENDS –