Shelter responds to Autumn Statement

5 December 2012

George Osborne

Shelter has responded to George Osborne’s economic plans, announced today in the Autumn Statement.

Measures outlined by the Chancellor include:

  • news that Support for Mortgage Interest will remain unchanged until 2015
  • changes to local housing allowance rates, to rise as planned in 2013 but be capped at 1% in the following two years (with exemptions in areas with the highest rent increases).

Responding to today’s statement, Campbell Robb, Chief Executive of Shelter, said:

‘Today’s announcement sees mixed news for the thousands of families across the country facing a constant struggle to meet their housing costs.

‘On the positive side, we are very pleased the Government has listened to Shelter in keeping Support for Mortgage Interest unchanged for two more years. 

'Maintaining this vital safety net for homeowners facing problems making their mortgage payments will play a significant role in holding back the tide of repossessions in these tough times.

‘However the decision to make further cuts to Local Housing Allowance will make it even more difficult for families on low incomes to pay their rent every month. The seemingly endless series of changes speaks of little direction in this area, and will create yet another layer of bureaucracy in an already complex system. 

Rather than yet more tinkering, we need to see a proper strategy to help families get the support they need to meet rising rents and keep a roof over their heads.’

Get advice on Support for Mortgage Interest (SMI) payments from Shelter.
Get advice on housing benefit and local housing allowance changes.