The BBC is reporting that the government's proposed changes to Local Housing Allowance rates are to be delayed for current claimants until January 2012. The changes cap weekly payments at rates from £250 a week for a one-bedroom property, and limit them to the lowest third of local rents rather than the current average.
Changes were due to be introduced for all tenants in April 2011, but - if the BBC is correct - this will now only happen for new claimants, and anyone already within the system will have an extra 8 months to resolve their situation.
The DWP has so far refused to confirm the story, labelling it "speculation". Simon Hughes, deputy leader of the Liberal Democrats, who has been outspoken against the cuts, said: "Many of us have pressed very hard since the Budget in June for a more gradual and sensitive change in the benefit system."