“Bedroom tax” leads to demolition of three bedroom flats

The “bedroom tax” – i.e. the extra payment that recipients of housing benefit in social housing have to pay when their flat or house is deemed too big for them – is having rather interesting consequences, as The Observer reports today. Housing associations and councils are thinking about demolishing three bedroom flats for which they cannot find tenants anymore. It is apparently cheaper to tear them down than to keep them empty. As people are pushed into the private rental sector for one and two bedroom housing – there are not enough smaller properties within the social sector to address demand – rents there are likely to go up and homelessness may rise. See the article here: http://www.theguardian.com/society/2013/nov/10/bedrooom-tax-affordable-homes-face-demolition

However, in the meantime it seems that Glasgow’s private rents have not risen as quickly as in Edinburgh or Aberdeen (3.4% to £818 and 7.3% to £967 no average). Glasgow’s average rent has risen by 1.5% to £616.  Two-bed properties increased by 2.4 per cent to £629 and three-bed properties in Glasgow increased by 2.7 per cent. Given the waiting lists for social rent housing and the overcrowding in Glasgow’s poorest parts – e.g. Govanhill – it seems that even these “moderate” rents are increasingly unaffordable. 

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