A borough of London is to be offered a rent reduction negotiation service for their tenants who claim benefits and are living in private rented accommodation.
It is thought that Islington Council is to be one of the worst affected areas when new benefit restrictions come into effect in April 2013. This is due to high private sector rent increases and a growing number of lone parents.
Caps
The benefit caps will see maximum payments of £350 per week for single people with no children. Additionally, the most lone parents and couples with or without children can get is £500.[1] The council in Islington estimate over one thousand households in the borough will be affected.
Alongside offering negotiation on private rent prices, Islington Council is also proposing housing relocations for tenants. This could see tenants offered property either within or outside of the borough.
[1] http://www.landlordtoday.co.uk/news_features/Council-offers-rent-negotiation-service-for-benefits-tenants
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