Universal Credit Alert Briefing

By: Charlie Berry
Published: April 2021

Universal Credit Alert Briefing

The Department for Work and Pensions (DWP) released their new Universal Credit statistics. We have analysed these numbers to show how the Covid-19 pandemic has disproportionately impacted those renting privately. The new numbers show us that private renters have been hit hardest with a huge spike in those needing housing support – an increase of 46% since February 2020.

There has also been a rise in the proportion of private renters claiming housing support which will cause difficulties now and in the future. Local Housing Allowance (LHA), the housing benefit for those renting privately, only covers the cheapest 3 in 10 privately rented homes in each local rental market. However, as shown in this briefing, now 45% of privately renting households are claiming LHA. There are just not enough affordable homes to go round.

An urgent review of housing benefit levels are required.