The Department for Work and Pensions (DWP) is facing calls to strip a £750-a-month housing perk from benefits claimants after London mansions were advertised at drastically reduced rents.
Affordable Luxury for Social Tenants
HomeSwapper, a website enabling social housing tenants to swap their tenancies, features listings including a seven-bedroom terraced house in Brixton for just £744 per month and a two-bedroom maisonette in Notting Hill for £720. These prices are a fraction of what private renters would typically pay in these affluent areas.
According to a report by The Telegraph, the disparity highlights a system that some critics argue disincentivises employment.
Criticism from Policy Experts
Ben Hopkinson, head of housing and infrastructure at the Centre for Policy Studies, stated: “The system effectively incentivises you to not have a job.” He noted that taxpayers are spending £18 billion annually subsidising DWP benefit claimants’ housing in the capital.
Hannah Aldridge, a senior analyst at the Resolution Foundation, offered a nuanced view: “You can say that the system is working really well, because it is essentially giving people who wouldn’t be able to afford a home some level of security of tenure. But after a period of time, it does create these big gaps, which I think can be quite shocking and harder to justify.”
She added that retirees, for instance, might not want to live in central London but cannot sell their social rent property to move elsewhere. “We are stuck paying these large subsidies for people who might not even want to live in central London.”
Government Response
A DWP and Labour Party government spokesman responded: “We’re building more social housing to help hard-working families and lift children out of poverty and homelessness. This is alongside taking steps to reduce disparities between rents paid for social homes in different areas.”
The contrast with private sector rents is stark. In Brixton, a single room in a shared property typically costs around £1,100 per month, while similar accommodation in Notting Hill can reach £1,200.
How HomeSwapper Works
HomeSwapper is the UK’s leading mutual exchange service for social housing, allowing council or housing association tenants to swap homes with other social tenants. A mutual exchange can occur for various reasons, such as needing more or less space, moving for work, or being closer to family.
The website states: “It’s a great option for social housing tenants who can’t access or don’t want to wait for the normal allocation process. It gives you more control and means you’re able to choose a home that suits your needs better in a place you want to live.”
To be eligible, tenants must have a secure or assured tenancy. Those with starter tenancies or demotion orders are typically not allowed to swap. The service is not available for private housing tenants; both homes must be social housing properties.
