Review Of Benefits' Backdating Slammed

Some of the most vulnerable people in Northern Ireland could end up facing cuts that may push them into poverty - thanks to new proposals to change the backdating of benefits.

According to Citizens Advice, if the government presses ahead with its 'short-sighted plans' to cut housing benefit and pension credit entitlement in October, the time limit for backdating housing benefit claims will be slashed from one year to only three months. Pension credit will be also cut from one year to three months.

The lobby and advice group said that the proposed cuts also appear completely "at odds with government efforts to prevent homelessness".

They said that similar proposals were ditched in 2000 following widespread protests and a highly critical report from Parliament's own Social Security Advisory Committee.

Citizens Advice warns that being able to backdate housing benefit up to 12 months is vital to prevent eviction and homelessness by enabling tenants to pay off rent arrears which are often caused in the first place by problems with a housing benefit claim.

Because claimants must show 'good cause' for not having made their claim earlier, backdating is targeted only on the most vulnerable claimants who most need personal support to help them cope, for example those with serious mental health problems.

Being able to backdate benefit for up to a year is also a valuable tool in increasing housing benefit take up, which official estimates put at only 50% of people in work who are eligible.

It ensures that people get money they were always entitled to but whose vulnerability prevented them getting a claim in earlier.

The Government wishes to reduce backdating at a time when benefit take up is a challenge. Additionally with the highly unpopular abolition of the 10p tax rate this is more bad news for those on low incomes.

Citizens Advice Chief Executive Derek Alcorn said: "We think that these cuts are a false economy, the housing benefit backdating provisions are a key tool in delivering the government's agenda to prevent homelessness and as such they are highly cost effective. Any saving to the housing benefit budget is likely to be far outweighed by the much greater costs of homelessness.

"The government accepted that these cuts were wrong after first proposing them back in 2000. They withdrew them then and it is not too late to withdraw them again. We would urge them to recognise that backdating is an absolutely vital way of preventing homelessness."

(BMcC)