Badenoch Rejects Claims That Housing Benefit Cuts Will Increase Homelessness

Badenoch argued that the government should reduce housing benefits to fund defence spending, noting that pensioners and current tenants would be exempt from the proposal.

During an interview on the Today programme, she stated: “We are ensuring protection while limiting benefit amounts because national security must come first.

“Without security, there will be no benefits; we all face greater risk, more people could become homeless, and defending the nation remains the government’s primary duty.”

However, Karen Buck, chair of Generation Rent and former Labour MP, warned that Badenoch’s plan would cause “homelessness, soaring temporary‑accommodation costs that would strain local councils, and renters facing severe financial hardship.”

The homelessness charity Shelter described the idea as “unrealistic,” pointing out that local housing allowance rates are set by area, making it difficult for families to find cheaper homes.

“Families would still struggle to afford a home regardless of where they live,” added Mairi Macrae, the charity’s campaigns director.

The Conservative proposal forms part of a broader package aimed at raising defence spending to 3% of GDP by 2030, which includes reinstating the two‑child benefit cap.

That cap, abolished by Labour in April, limited parents to claiming universal credit or tax credits for only their first two children.

Housing benefit assists unemployed or low‑income individuals with rent costs.

The amount payable is tied to the Local Housing Allowance rate, which differs across council areas.

Since 2020, the number of people eligible for housing benefit has risen by over one million, driven by soaring private rents.

The Department for Work and Pensions forecasts that total housing benefit expenditure will reach £39 billion this year, reflecting the growing claimant base.

The Conservatives have outlined a plan to cut £4 billion from the housing benefit bill, which they say includes at least £2.2 billion in savings from freezing social‑sector rents by removing annual inflation‑linked increases.

Another £1.8 billion would be saved by lowering Local Housing Allowance rates for new tenancies, which are based on local private‑rental costs.

For existing tenancies, rates would remain frozen until they gradually align with the lower levels.

In a BBC Breakfast interview, Badenoch was asked who would be affected by her housing‑benefit cuts.

She replied: “People living in high‑cost areas who rely on local housing allowance would need to move somewhere more affordable.

“I believe you should aspire to live wherever you choose, but you shouldn’t expect taxpayers to fund that choice.

“We are not removing anyone from their home – pensioners and existing tenants are exempt – but fairness is essential.”

Responding to Badenoch at Prime Minister’s Questions, Burnham argued that the policy would worsen homelessness and ultimately cost the government more.

He said: “I don’t think withdrawing £4 billion from housing benefit will achieve the right consensus; it would create levels of homelessness we have never seen, with hundreds of thousands of children in temporary accommodation.”

Source link