COMMUNITIES Minister Deirdre Hargey has enacted legislation to close loopholes in Bedroom Tax mitigation schemes.
Mitigation payments will now be available to more people who currently have their benefits reduced because of the ‘bedroom tax’ and benefit cap.
The Department for Communities currently administers a number of welfare mitigation schemes which were originally introduced to alleviate the impact of changes to the social security system. The schemes were introduced in 2016 for a four year period ending on 31 March 2020.
An extension for most of the schemes to 31 March 2025 was approved by the Assembly on 31 January 2022. Legislation relating to the ‘bedroom tax’ mitigation payments is currently with the Assembly.
Legislation brought forward by the Communities Minister Deirdre Hargey will now extend the mitigation indefinitely.
“By closing loopholes, I have ensured that around 260 families will receive average payments of £480 a year regardless of whether or not they have moved home and continue to under-occupy," the Sinn Féin MLA said.
“Changes to the benefit cap will also extend protection for families with children by simplifying the qualifying conditions.
“Many families who are currently not fully protected will see their payments increase with an estimated 640 households – that are currently losing an average of £49 per week – becoming eligible for mitigation payments."
She continued: “Too many people have been unfairly penalised under the old rules. It is not acceptable to stop payments when someone decides to move home or to deny financial support to an increasing number of families. I am determined to protect those most in need in our society and the expansion of the welfare mitigation package is an important step.”
Eligible households will not need to claim the mitigation payments. The Department will identify all people eligible under the new rules and will issue payments automatically. This process is expected to take around six weeks to complete.