Bedroom Tax (also known as Occupancy Charge or Spare Room Subsidy) was introduced by the Government in April 2013. This means that you only receive Housing Benefit based on the number of bedrooms you need.
You are most likely to be affected if you live in a home that has three or more bedrooms or if you have no dependants and live in a home that has two or more bedrooms. You lose 14% of your housing benefit entitlement if you have one spare bedroom and 25% if you have two or more spare bedrooms.
If you live in a one bedroom property or you are a pensioner, you are exempt from the Bedroom Tax.
The rules allow one bedroom for:
One spare bedroom is allowed for:
Rooms used by students, prisoners sentenced to 6 months or less and members of the armed or reserve forces will not be counted as ‘spare’ if they are aware and intend to return home. You may be entitled to additional bedrooms if you have recently suffered bereavement in the household.
There are a number of options you could consider to meet any shortfall in your rent if you are affected by Bedroom Tax:
The easiest way to find out if you are affected is to use the bedroom tax calculator
If your circumstances change(for instance, you have a baby, a child leaves home, your child is too old to continue sharing a bedroom with a sibling of the opposite sex or you and your partner reach pension credit age), please tell the Housing Benefit department at your local council so that your housing benefit can be re-calculated.
Should you have any further queries, please do not hesitate to get in touch with our Income Maximisation Team by calling Customer Services on 0300 500 6262 or emailing email@example.com