Delyn MP David Hanson has welcomed new rules around Housing and Council Tax Benefits, making working families an average of £20 a week better off. More than 200,000 working families will gain about £1000 a year.
New Government policy means that income from Child Benefit will no longer be taken into account when calculating entitlement to Housing Benefit and Council Tax Benefit. This will mean more money for families already getting these benefits and other low income families becoming eligible for the first time.
David Hanson said:
“This change will help families here in Delyn. Already tax credits are making sure families are better off, but this new policy is a practical way to strengthen the benefits of working and help cut child poverty.”
Both Housing Benefit and Council Tax Benefit can be claimed by people who are working and this change will be an extra incentive to getting back to work. Currently, the average Housing Benefit award is £80 a week and the average Council Tax Benefit award is £15 per week.
The Child Benefit disregard for Housing Benefit and Council Tax Benefit is one of a series of measures taken since the Budget 2007 that will see around a further 500,000 children lifted out of poverty – part of the Government’s commitment to eradicate child poverty by 2020.
Notes to Editors:
- Families in receipt of Housing Benefit or Council Tax Benefit do not have to do anything to access this new help. The disregard will be calculated and added to the benefit automatically.
- Families on a low income who aren’t in receipt of Housing Benefit or Council Tax Benefit who think they might be newly entitled to these benefits should contact their local council for more details.
- Child Benefit disregard for Housing Benefit and Council Tax benefit was announced in the Budget 2008.