Minister's compromise on direct benefit payments

THE RLA has welcomed the Government’s decision today to review the impact of paying housing benefits directly to tenants.

Says chairman Alan Ward,: “Given its commitment to individual responsibility, it seems remarkable that the Government has so far denied tenants the ability to decide how their housing benefit is paid.

"The RLA has led a campaign, along with groups representing tenants, social housing providers and mortgage lenders to champion the rights of tenants to choose. We welcome the Minister’s decision to establish a review of direct payments".

As part of the proposed changes to the benefits system, Ministers have argued that paying the housing element of universal credit directly to tenants should be the default position except where a tenant is “vulnerable”. As part of this, the Government is to announce six demonstration project areas to test payments to tenants.

Speaking to Peers following a debate on an amendment tabled by crossbencher Lord Best providing for all tenants to be given a choice over who receives their housing benefit, Welfare Reform Minister, Lord Freud has announced that the Government is to commission a review, to be led by Professor Paul Hickman from the Centre for Regional Economic and Social Research at Sheffield Hallam University, to evaluate the effects of direct payments to claimants in the six demonstration project areas.

The amendment - originally drafted by the RLA - had the support of all Peers who spoke on it from all sides of the House of Lords.

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