Housing Benefit Changes : A Looming Man made Catastrophe?

[Atheist-Lite]

I wonder what winter will bring in London this year or elsewhere in the UK?

http://www.bbc.co.uk/news/uk-12937116

Some landlords are no longer willing to let properties to people on housing benefits as the government's new lower rates take effect, the BBC has learned.

The new measures would cut out £2.4bn from the housing bill and save the taxpayer an estimated £1bn by 2013/4.

The government says they do not expect many landlords to leave the housing benefit market.

But landlords say they could suffer if interest rates and mortgage payments go up as income from rent falls.

Colin Bryan, a Sheffield-based landlord, who rents 35 properties to benefit recipients told BBC Radio 4's World at One programme that "the sums no longer add up."

(continued)

[Warren Dew]

So what's Bryan going to do, live in 35 apartments at once himself?

[Atheist-Lite]

So what's Bryan going to do, live in 35 apartments at once himself?

Arson was popular when things went wrong in the US I seem to recall.

[Santa_Claus]

Bryan will either be selling to someone for whom the sums do add up (and Bryan may be shit out of luck on his sale price). Or he is going to be sitting on empty property for a longggggg while.......Bryan may have been clever / lucky and be debt free. Otherwise he won't have the luxury of waiting and will have to settle on what he can get. If he is clever he will sell down anyway to someone else, whilst he can afford to.

Property in the UK is about 100% overvalued (it's the only collection of second hand bits and pieces that folk expect to increase in value).........just a matter of time before the economic gravity catches up (even without interest rate rises). No reason in the interim for the tax payer to be shovelling money into the private sector......but should be part of a strategy that allows Councils (or Housing Trusts) to build (and purchase) rental accomadation and to then keep (and re-invest) all the profits - Councils should be the biggest landowners in the UK.......and me is an evil capitalist!

[Atheist-Lite]

Without so many dumb rules you could fit many people into what are empty houses or even empty office blocks and no one would be homeless. The resulting social chaos would spur the social mobility this country needs to get back on its feet. I can't wait for the second crash and hyper-inflation to destroy the status quo. Like Santa said gravity catches up.

[egbert]

So what's Bryan going to do, live in 35 apartments at once himself?

Arson was popular when things went wrong in the US I seem to recall.

In polite society, it's called "Jewish Lightning."

[Atheist-Lite]

http://www.mirror.co.uk/news/top-storie ... -23029399/

I see a train wreck of Biblical proportions....

[AshtonBlack]

Interest rates have only one way to go. With inflation rising, the BoE won't have much choice soon. It's not going to be fun, that's for sure. (On a side note, the low interest rates are killing my savings... )

[Pappa]

It's ok. The "Big Society" will save us.

[AshtonBlack]

It's ok. The "Big Society" will save us.

It's already not working. http://www.bbc.co.uk/news/uk-12903988

The "Tsar" of this idea has said that he need to spend more time making money having more of a life rather than work on the 'Big Society'. http://www.bbc.co.uk/news/uk-politics-12343830

Genius concept though :"Pay the same amount of taxes, but provide the services yourself."