UK government welfare reforms fuelling homelessness: Report

UK government welfare reforms are fueling a rise in homelessness in towns and cities across Britain, according to a new report.

Results of an investigation published in the Observer newspaper on Sunday said that more and more people had become unable to afford homes as a result of government cuts to social housing benefits and a shift to lump sum payments in the universal credit system.

The Observer said it had interviewed homelessness charities across England where they said universal credit was a major factor in fueling destitution and rough sleeping in their burrows and districts.

One charity even said that universal credit, which came into force since 2013 and was meant to replace a six-tier benefit system, was the main reason for a third of its clients losing their homes and apply for social housing.

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Bill Tidnam, chief executive of Thames Reach, which runs homeless hostels across London, said universal credit had made it difficult for many citizens to access social care services due to its complexity.

“To make and manage your claim, it is necessary to have reasonable computer literacy and access to IT and this is a barrier for many of our service users,” said Tidnam.

“We are seeing an increasing number of people experiencing real problems with the way universal credit is working for them.”

The British Parliament said last week that universal credit was responsible for increased debt, rent arrears and food bank use across the UK.

The opposition Labour Party, as well as people in the ruling coalition of the Conservative Party and Northern Ireland’s Democratic Unionist Party, have threatened that they will force the Chancellor of Exchequer Philip Hammond to rethink the policy.

Hammond is due to announce his annual budget on Monday.

The Treasury Ministry has said Hammond will announce an end to a series of painful spending cuts that have been in place in Britain for the past eight years. But there has been no hint whether the new budget would entail changes to government’s policy on social security.

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