Homes affected by goverment cuts

Households in Cannock Chase are likely to be an average of £56 a month worse off as a result of Government cuts.

The findings come from new, independent research which was commissioned by housing charity Shelter, which reveals that 134,000 households across England will either be evicted or forced to move when the Local Housing Allowance cuts come in.

The report believes this is because they will be unable to negotiate cheaper rents from their landlords.

The organisation estimates that, nationally, as many as 35,000 households will approach their local authority for housing assistance, which could cost the Government up to £120 million a year.

Campbell Robb, chief executive of Shelter says: "Shelter's research clearly shows that these cuts will mean households in Cannock Chase are going to face a real struggle keeping a roof over their head.

"Unfortunately, an increase in homelessness is inevitable. That's why Cannock Chase Council needs to start planning now to ensure their homelessness services can cope with the demand they are going to face.

"We urge Cannock Chase Council to set aside resources to ensure the most vulnerable, including children, pensioners and the disabled are protected from these cuts."

Figures on the average loss per month are based on the average three bedroom household.

The evaluation of the pilot of Local Housing Allowance in 2004 found that 50 per cent of landlords whose tenant faced a shortfall in their rent as a result of the new rate did not take any action, suggesting that the remaining 50 per cent were not sympathetic to tenants.

A YouGov survey commissioned as part of the research showed that 26 per cent of private tenants would seek assistance from their local council if they lost their home.

On this basis, the research estimates that 35,000 households could approach their local authorities for assistance, of which only 19,000 will be in priority need and eligible for housing support.