Am I to become homeless?

Hi, I'm in your position. I have 2 chronic health conditions that means I can't work. I too live in a two bed house and am terrified of losing it if the HB is reduced too much. Although mine is social housing, the new bill means that I am in a house that is too big for me so my HB will be capped. This house is the only good thing in my life. I haven't slept and my health condition has worsened significantly.

I would -strongly- advise speaking to the CAB at your earliest opportunity. Whilst the cap isn't likely to affect anyone who lives on a normal budget and not lavishly. There's a second change, a far more dangerous one coming in as of october 2011:

As of this point LHA is being re-assessed at the 30th percentile, not the 50th, this will have an effective real terms impact of approximately 10-15% reduction in most people's housing benefit.

As ever, the real nasty was hidden within the fine print.

From what I read it's going to be better for disabled claimants as there will be a rule that says you're allowed a second bedroom for a carer.

Excuse my cynicism, but do the pound shops actually have these in stock?

Are you sure it's October 2011 not October 2010? I hope so, because I find that reassuring. Well, for the time being at least.

One of the nasty things about changes like this is that many people are locked into twelve month assured shorthold tenancy agreements rather than being on periodic tenancies. Landlords can choose to let them leave early without paying the rest of the rent, but they don't have to. At least if it's October 2011, it gives people time to end their agreements and look round for somewhere cheaper.

Yep, Osborne's been sneaky with this one. The level set for a single person living in a one bedroom flat is set at 280 pounds a week. Scroll down to the end of the page for Housing Benefit.
www.independent.co.uk/news/uk/politics/e...-beyond-2007823.html

Also.
www.independent.co.uk/money/tax/16311bn-...he-edge-2007792.html

There's a particularly criptic line which reads, 'Under the Chancellor's proposals, the maximum housing benefit allowance perproperty size will be capped; those who are expected to work will see their receipt of payments time-limited and restrictions will be introduced for those of working age in the social rented sector whose property is larger than their household size warrents.'

It's the 'time-limit' for those who are expected to work that's the real sneaky one.

I have found this page so perhaps it may help. I too live alone in 2 bedroom housing association home.

www.disabilityalliance.org/emergency.htm

Housing Benefit

2.50. From October 2011, local housing allowance rates will be set at the
30th percentile of local rents.
2.51. Deductions for non-dependents will be uprated in April 2011 on the
basis of prices. This will reverse the freeze in these rates since 2001-02.
2.52 From 2013-14, local housing allowance rates will be uprated in line
with CPI.
2.53. From April 2013, housing entitlements for working age people in the
social sector will reflect family size.
2.54. housing benefit awards will be reduced to 90 per cent of the initial
award after 12 months for claimants receiving jobseekers allowance. This will
be introduced in April 2013.
2.55. From April 2011, housing benefit claimants with a disability and a non resident
carer will be entitled to funding for an extra bedroom.
2.5.6 From April 2011, local housing allowance rates will be capped at £250
per week for a one bedroom property, £290 per week for a two bedroom
property, £340 per week for a three bedroom property and £400 per week for
four bedrooms or more.
2.57. The Government contribution to discretionary housing payments will be
increased by £10 million in 2011-12 and £40 million in each year from 2012-
13.

So it looks as though the capping for a 2 bedroom house will be £290.00 a week. That is a lot, as my rent would be a lot less than that.

Hope I am right, and that we may rest in peace regarding that for now.