Thursday 12 December 2013

Bedroom tax could be a 'perverse disincentive to work,' MPs warned

Speaking to a select committee of MPs, a housing association chief executive warned that people in part-time work are punished disproportionately by the policy and many could be better off unemployed. 

 
Under the policy, people considered to be underoccupying social homes face reductions to their benefits of up to 25% of their total rent.

Those only receiving partial housing benefit because they are in part-time work are penalised the same amount as those who receive housing benefit that covers their full rent amount. 

The bedroom tax could therefore be a "perverse disincentive to work," said Carol Matthews.

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