The new ?400-a-week benefit limit was due to start in April 2011 the Government has now decided to wave this until January 2012. The parliamentary social security advisory committee has warned that "some changes will have far reaching adverse consequences".
The committee's annual report was revealed on the day Department for Work & Pensions' Secretary Iain Duncan Smith confirmed proposed amendments to housing benefit system including new weekly limits. The plans included changes to how Local Housing Allowances (LHAs) are calculated. Local rents could be cut by as much as 30%.
National Landlord Association is calling for direct payments to landlord to sustain long term tenancy agreements as it believes most of benefit claimants are vulnerable tenants. Definition of a vulnerable tenant is someone who is unable to manage their finances. This could include someone with poor track record of paying their bills on time including missed or late payments on credit cards or loans. Most people on Job Seekers Allowance are previously convicted criminals. A new generation of benefits cheated encouraged by their parents to continue claiming. These careless people will claim benefits and do manual "cash in hand" jobs to keep up with their life styles.
Given all this background, would you want a benefit tenant in your property that is most unlikely to pay you rent on time? People who consider paying a rent a chore will have your money spent in local bookmakers before you know it.
"What do Eton College & Oxford University graduates know about council tenants?", said one angry landlord. It is hardly surprising that Government did not bother asking for Landlords' advice either."
There are strong arguments for both sides however, the facts are that benefit cheats are costing Britain ?60 billion pounds every year and this figure is set to rise with time. People need to be punished for claiming benefits and not rewarded with rent free properties.
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