Universal Credit: Rishi Sunak makes drastic changes to housing benefit – new allowances

Rishi Sunak has thus far provided mortgage and rental “holiday” measures which aim to ease worries over living arrangements. People may now be able to not pay their mortgage for three months without repercussions. On top of this, renters will also not face eviction over a three month period.


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The Chancellor of the Exchequer took measures further today by making changes to the housing benefit system.

As he announced: “I’m announcing today, nearly £1billion of support for renters, by increasing the generosity of housing benefit and Universal Credit, so that the local housing allowance will cover at least 30 percent of market rents in your area”.

This is the biggest impact that the government has had on the economy in recent history, as Mr Sunak continued:

“The actions I’ve taken today represent an unprecedented economic intervention to support the jobs and incomes of the British people.

“A new comprehensive job retention scheme and a significantly strengthened safety net.

“Unprecedented measures for unprecedented times”

Housing Benefit is gradually being replaced by Universal Credit but there are still people within the country who get it under the old rules.

Housing Benefit can be applied for thorough local councils but only where the claimant is making an entirely new claim.

It is possible to make a claim for Housing Benefit if other benefits are also being received.

However, it should be noted that it is not usually possible to get Universal Credit and Housing Benefit at the same time.

It is only possible to receive both forms of support if the person concerned is living in certain kinds of supported or temporary housing.

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