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Landlords worried about Universal Credit changes

Landlords worried about Universal Credit changes

Landlords have expressed their deep concern over the impact of Universal Credit on the private rented sector.

Most (70%) of those who let to tenants currently in receipt of Local Housing Allowance said they are worried about the welfare changes.

According to research from the National Landlords Association, the larger the portfolio, the more concerned the landlord is.

David Salusbury, chairman of the NLA, said: “Landlords are understandably concerned about the impact of Universal Credit, particularly as the London trials have seen deductions from Local Housing Allowance payments because of caps to a household’s overall benefits package. The cap effectively takes away the money intended to ensure rent is paid.

“The knock-on consequence is that landlords, particularly those who specialise in letting to tenants in receipt of housing support, could themselves face difficulties if tenants struggle to manage their monthly incomes.”