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Young people benefit cut to hit hardest in North

The cut to housing benefit for young people will have its largest impact in deprived areas of the North of England, Inside Housing research shows.

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As of this month Universal Credit claimants aged 18 to 21 will no longer be able to claim benefits to support their housing costs, unless they can prove they fit into one of 11 exemptions.

Inside Housing last week revealed the policy is expected to affect 1,000 young people this year and 11,000 by 2020/21, according to an equality impact assessment released under the Freedom of Information Act.

Further figures obtained from English local authorities reveal more than 29,000 housing benefit claimants in the 18 to 21 age bracket, with the overwhelming majority in urban areas of the North of England.

READ MORE: OUR INVESTIGATION INTO THE UNDER 21 CUT

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Where the axe will fall

 

Birmingham in the Midlands currently tops the list of 206 council respondents, with 1,420 current claimants. Leeds is second, with 935, and Manchester is third, with 910.

Of the 20 areas where the policy is likely to bite hardest, only two are south of Birmingham: Barking and Dagenham in east London and Southend-on-Sea in Essex.

By contrast, at the foot of the table South Buckinghamshire has only four claimants; and 17 councils, mostly in affluent areas of the South, have less than 30.

The policy initially only affects areas where Universal Credit is fully rolled out, meaning many of these areas will not be affected immediately.

Many claimants will also benefit from the wide-ranging exemptions, which rule out those who have worked recently or can prove it is “inappropriate” for them to live with their parents.

However, the figures provide the best available estimate of the long-term impact of the policy geographically.

Paul Noblet, head of public affairs at homelessness charity Centrepoint, said: “Our chief frustration has been that the government seems to have absolutely no idea who it’s going to effect.”

A Department for Work and Pensions spokesperson said: “We want to make sure that 18 to 21-year-olds do not slip straight into a life on benefits. We know that personal circumstances will differ so we have worked closely with charities and the housing sector to develop a fair and robust set of exemptions to protect the most vulnerable young people.”

“Our chief frustration has been that the government seems to have absolutely no idea who [the cut] is going to effect.”

Paul Noblet, head of public affairs, Centrepoint

“The question is: what happens to those people who fall through the net?”

Alice Ashworth, senior policy officer, Crisis

“We have worked closely with charities to develop a fair and robust set of exemptions to protect the most vulnerable young people.”

Department for Work and Pensions spokesperson

 

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