Originally Posted by RichardCoulter

I too have some sympathy for limiting the amount that claimants can claim from the system.

During the consultation about benefit reforms, we recommended limiting the amount that could be claimed for extra children.

The Government ignored the recommendation made by us and others and instead opted for an overall benefit cap.

The problem with this is that the cap is mostly exceeded by claimants because the cost of their rent and therefore their Housing Benefit has rocketed.

On 15/1/89 the Thatcher Government deregulated rents by abolishing 'Fair Rents' in favour of the market setting an appropriate level. She even accepted that this would result in an increased cost for the Housing Benefit scheme.

Due to the housing shortage, rents have spiralled out of all proportion.

Rent controls have not been put in place, but limits have been imposed on the Housing Benefit payable.

The Government is paying more, tenants are having to subsidise their rent out of money meant for essential day to day living expenses, whilst landlords get richer and richer.

In all these programmes on TV that say X person gets £250 a week to live on, leading people to think that they live the life of Riley at the taxpayers expense, it is usually the case that the vast amount of money quoted is actually Housing Benefit that the tenant never sees.

This new benefit cap is predicted to lead to massive evictions, whilst local authorities have had their DHP budget cut by 1/3. Much of this is already earmarked to try and keep disabled people in their (often adapted at public expense) homes due to the Bedroom Tax.