Turmoil within the social housing sector continues amid recriminations from tenants claiming that the planned restructuring of the new local housing allowance would price them out of both their home and communities.

Under the new local housing allowance private tenants who claim housing benefit will just receive a flat rate benefit which was to be set locally, but plans are being readied to broaden the areas to be taken into consideration for rent evaluation.

The Department for Work and Pensions, Rental Services Agency which conducts valuations for councils in setting its sights onto grouping different councils together from which an evaluation of rents in that area would be made has made a point that so far this is a review.

However fear amongst tenants in the pilot areas is high, as applying such a broad brush to the averaging the level of allowance would means areas that have high rental values would see the average rent becoming to high for them to pay or even make up from there benefits.

Social policy officer for the Citizens advice, Liz Phelps urged local authority housing services to raise concerns with the Rent Services Agency. Adding that she was concerned that if the plans go ahead and “our worst fear are met, what we will see is tenants facing shortfalls and being unable to afford accommodation in large parts of the country”.

One council to note its concern has been Cambridge, whom has strongly opposed the change. Ian Christmas council head of housing and community services said of the plan “I have a fairly dire view of its impact on our ability to prevent Homelessness and to secure private sector accommodation for people in housing need”.

A spokesman for the DWP said the consultation on the boundary review was still being considered. Highlighting there progress so far he said; `We will ensure that the local housing allowance rates remain robust and is representative of the private rented sector market`.

Consistent with the support of the `Choice` agenda agreed to by all parties it is those less able to afford those choices that will suffer. The worst fears of any nation are being built here, as a secondary thought the product of such a short-sighted policy will result in nothing other than a social engineered underclass driven from city and rural retreats of middle England. Already a reality in Europe it is only hoped the new underclass will have the guts to fight back.