The Scottish government will provide GBP 90 million in funding to local authorities over the next year to support the Discretionary Housing Payment scheme, which helps individuals struggling to pay rent due to welfare benefit cuts or caps implemented by the UK government. The funding is intended to bridge gaps between housing costs and limited housing allowance. It comes as welfare reforms like benefit caps have impacted around 500,000 households in Scotland. Other organizations are working with affected families to apply for these discretionary housing benefits.
Scotland will allocate GBP 90 million to local authorities over the coming financial year to help those struggling with housing costs. The funding will support the Discretionary Housing Payment (DHP) scheme, which aims to assist individuals at risk of hardship who cannot cover their housing expenses.
DHPs are distributed at the discretion of local authorities to address situations where benefits are capped or Local Housing Allowance (LHA) does not fully cover rent.
Housing Minister Paul McLennan said the funding will help bridge the gap between what people need in benefits from the UK government versus what they actually receive. He also added that the Scottish government should not have to divert its own housing and anti-poverty funds to step in due to UK welfare reforms.
The benefit cap was introduced by the UK in 2013, limiting benefits for out-of-work families, followed by the two-child cap in 2017 restricting payments to two children. Around 0.5 million households are impacted by these.
Satwat Rehman, CEO of One Parent Families Scotland (OPFS), commended the Scottish government's mitigating measures, recognizing it continues compensating for UK welfare cuts. He pledged OPFS support to ensure single-parent families apply to local authorities for DHPs to replace lost income.
Additionally, Inside Housing reported four more Scottish landlords - Bield Housing & Care, Dundee City Council, Sanctuary Scotland and Viewpoint Housing Association - have identified reinforced autoclaved aerated concrete (RAAC) in their properties. This brings the total to 13 landlords and 1,994 affected homes.
Reinforced autoclaved aerated concrete (RAAC) is a lightweight alternative to standard concrete that was used mostly in flat roofing but also in floors and walls across buildings from the 1950s to 1990s. But in 2022 construction experts warned it was a "ticking time bomb" as they started to collapse without warning and that RAAC had a lifespan of only around 30 years. Thus, many constructions with RAAC are being demolished and rebuilt.
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