Government sources say that there will be no overhaul of housing benefit until after the next General Election.
However, some changes will be made in the more immediate future, to relate council and housing association rents to the size and amenity of properties.
The changes, which were announced by housing minister Lord Falconer in November, will effectively introduce a rent cap based on the size and value of properties.
Falconer said : “Social rents will remain affordable, and generally well below market levels, but they will be gradually linked to the value and size of property and manual earnings in the area.
“This will end the current situation where rents can vary widely depending on who the social landlord is.
“In addition council rents will on average increase at only half the rate they have done over the last 10 years.
Shadow Work & Pensions minister James Clappison said that the Government was “tinkering at the edges” of welfare reform.
He accused ministers of “going for a political quick-fix for five years rather than really getting to grips with much-needed reform.”
EGi News 18/01/02
