Half of families affected by under-occupation charge pushed into arrears

More than half of families affected by the under-occupation charge have been pushed into arrears in the first three months of the policy’s implementation, research has suggested.

A survey of 51 housing associations in England, conducted by the National Housing Federation, found that 51% (32,432) of those residents affected by the charge – dubbed by critics as the “bedroom tax” – had gone into arrears or further into arrears between April and June.

A smaller sample of 38 housing associations found that 25% of residents (11,064) affected were in rent arrears for the first time.

In March this year the National Housing Federation warned that many families who were looking to downsize would be stuck where they were due to a shortage of smaller homes.

The Federation claimed that although 180,000 households were under-occupying two bedroom social homes, only 85,000 one-bed social homes became available in 2011-12.

National Housing Federation chief executive David Orr said: “This is the most damning evidence yet to show that the bedroom tax is pushing thousands of families into a spiralling cycle of debt. 

“If these figures are replicated nationwide, over 330,000 households could already be struggling to pay their rent and facing a frightening and uncertain future.”

Orr warned that housing associations “can’t magic one-bedroom houses out of thin air”.

He added: “What more proof do politicians need that the bedroom tax is an unfair, ill-planned disaster that is hurting our poorest families? There is no other option but to repeal.”