The National Housing Federation has called for benefit claimants to be exempt from Pay to Stay amid widespread concern in the sector about the impact of the policy on low-income households.

Accoridng to Inside Housing:

“The National Housing Federation (NHF), in a response to a government consultation that closed on Friday, said: “It is possible for a household with an income in excess of the current thresholds to be entitled to housing benefit.” The government is proposing that social tenants with household incomes of £30,000 or more (£40,000 in London) pay up to market rent.

The NHF said the policy as it stands would push up the housing benefit bill. It said: “A household entitled to income-related benefits should, by definition, not be regarded as high-income.”
The call follows similar concerns raised by the Chartered Institute of Housing (CIH) in its consultation response. The CIH pointed to figures from Sovereign Housing Association, which said a typical family with an income of £30,000 will be eligible for housing benefit in 53% of the local authority areas in southern England it works in.”