Universal credit - additional bedroom "tax"

VergingOnTheRidiculous

I have lived with my wife and sons in a 3 bedroom house for 25 years. We have recieved UC since 2021. August 2024, one of my sons moved out and here is the question: What is the logic behind the additional bedroom tax on UC? I still have to pay the housing authority the same amount of rent, our situation has not changed in respect to money coming in and going out yet UC makes a reduction in my benefit of £98 per month. UC state that they calculate the amount needed to live and then decide they to reduce it even though monetarily nothing has changed. 

Peter999_2

They do this as they are saying that you now have more bedrooms then you actually need.   They want to encourage you to move to a house with less bedrooms.

DullGreyGuy

VergingOnTheRidiculous said:

I have lived with my wife and sons in a 3 bedroom house for 25 years. We have recieved UC since 2021. August 2024, one of my sons moved out and here is the question: What is the logic behind the additional bedroom tax on UC? I still have to pay the housing authority the same amount of rent, our situation has not changed in respect to money coming in and going out yet UC makes a reduction in my benefit of £98 per month. UC state that they calculate the amount needed to live and then decide they to reduce it even though monetarily nothing has changed. 

There is a "housing crisis", particularly of larger properties... people move up the property sizes as their family grows but then is resistant to downsize when their family starts getting smaller so you end up with empty nesters having 2-3 spare bedrooms and people in overcrowded homes having had more kids. 

The rent may not have changed since you only need 2 bedrooms but were you in a house that was identical other than for it being smaller by virtue of having one less bedroom then the rent would be lower than it is now. 

Ultimately if you arent reliant on the public purse you can have whatever size house you can afford and want. If you are reliant on public purse they'll pay what you need rather than what you want and if you decide to downsize then you free a larger property to help those in overcrowded situations. 

Northern_Wanderer

It's related to under-occupancy. If you wish you can apply for a transfer to a two bed property and not be penalised for the extra bedroom, this will free up the house for a family that can fully occupy it. However when the other son moves out you will have further under-occupancy. Sometimes councils offer incentives to downsize but I doubt you will wish to....

We can not discuss political matters on this forum, only the rules.

https://england.shelter.org.uk/professional_resources/legal/benefits/universal_credit/size-related_criteria_for_universal_credit_housing_costs_element

Northern_Wanderer

jackieblack said:

The logic is, that you no longer need the extra bedroom now one of your children is no longer living there, you are now entitled to the LA amount for a home with one bedroom fewer.

This is incorrect, Local Housing Allowance only applies to Private Tenants, not social housing tenants.

Under occupancy in social sector is taken off at the rates:

• 14% for under-occupancy by one bedroom,

• 25% for under-occupancy by two or more bedrooms

FlorayG

As others have said, it's because they want the house for people who need three bedrooms and this is incentive for you to downsize
Having said that I used to have a neighbour who got divorced and was living in a three bedroom housing association house; there were no one bedroom paces available form the association and the rent he was paying even with the 'bedroom tax' was less then he would have paid for a one bed private rental.I notice, 10 years on, he's still there

jackieblack

Northern_Wanderer said:

jackieblack said:

The logic is, that you no longer need the extra bedroom now one of your children is no longer living there, you are now entitled to the LA amount for a home with one bedroom fewer.

This is incorrect, Local Housing Allowance only applies to Private Tenants, not social housing tenants.

Under occupancy in social sector is taken off at the rates:

• 14% for under-occupancy by one bedroom,

• 25% for under-occupancy by two or more bedrooms

I missed that it was Housing Association, apologies - I will delete my post