· 14% cut in Housing Benefit for those who under-occupy by one bedroom
· 25% cut in Housing Benefit for those who by two or more bedrooms
Local Housing Allowance rates: LHA rates will be increased in line with the Consumer Price Index instead of the market rents in each area. The connection with actual rents will be lost.
Universal Credit: The current complex system of working-age benefits and Tax Credits is to be replaced by a new benefit called Universal Credit. National introduction will start in October 2013. In April 2013, the Department for Work and Pensions, working with HM Revenue and Customs and selected local councils, will launch its Pathfinder project to introduce Universal Credit to claimants within certain areas of the North-West of England. This “pathfinder” stage aims to ensure that Universal Credit is ready to go live across the rest of Great Britain later in 2013 and Northern Ireland in 2014.