'Unclear' benefit change effects

Ministers have been criticised for their approach to housing benefit reform, where even the smallest reductions can have a severe impact on the finances of the poorest people, MPs have said.

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Labour: Small reductions can have a 'severe impact'

The Public Accounts Committee said the Department for Work and Pensions had a "wait-and-see" approach when it came to the fallout of housing benefit reform.

Even small reductions in housing benefit can have a severe impact on the finances of the poorest people.

At the time of our hearing, far too many of those who stand to be directly affected were worryingly unaware of the reforms and what they will mean for their finances.

Experience from the past suggests that stopping direct payments to social landlords will simply lead to an increase in arrears and evictions.

– Margaret Hodge, Chair of The Public Accounts Committee

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