THERE has been a significant surge in the number of Borderers seeking help with housing costs as a result of the bedroom tax.

Scottish Borders Council’s executive heard on Tuesday that in 2013/14 – the first full year since the removal of the spare room subsidy for housing benefit claimants, 1,312 people had applied for discretionary housing payments (DHPs) which are in the gift of the council and are underwritten by the Department of Work and Pensions (DWP).

Of these applicants, around 80% were successful and a total of £492,855 was disbursed to top up rents, help with costs where people are forced to move into smaller accommodation, assist with new rent deposits and support claimants who may be responsible for renting two properties simultaneously for a short period. Aware that many Borderers hit by the welfare reform and entitled to these DHPs had not applied over that first year, the council, supported by the four main social housing providers, launched an awareness raising campaign in February last year when a dedicated take-up officer was appointed.

The results have been dramatic with 2,238 people applying for the special payments in 2014/15 – up 70% on the previous year - and over £705,000 paid out in the 12 months by March 31 this year. The success rate of applicants has also risen to 89%.

Acting of behalf of the DWP, the council currently pays out over £28m a year in housing benefit to over 6,300 tenants of registered social landlords as well as £5.6m in local housing allowance (LHA) to 1,900 tenants of private landlords.

This week’s report to councillors indicated that at least 25% of these claimants have been hit by the bedroom tax which has seen tenants deemed to be under-occupying one room in their homes suffer a 14% cut in housing benefit. Those with two spare rooms have taken a 25% cut.

Given the number of affected Borderers, the bedroom tax, introduced in April, 2013 by Conservative work and pensions minister Iain Duncan-Smith, could thus become a major General Election issue locally with the SNP and Labour committed to abolition and the Lib Dems promising reform to make disabled tenants exempt and to ensure no tenant is forced to move unless a “suitable alternative property” is available.

While the DHP uptake campaign in the Borders has been successful and the £705,000 paid out last year has been fully covered by the DWP and mitigating top-up funding from the Scottish Government, the report noted that only £671,000 will be available for discretionary payments in this new financial year and that the council could be asked to consider meeting any funding shortfall.

Although he believed the high level of DHP uptake meant the “vast majority” of eligible tenants had applied, SBC’s customer services manager Les Grant warned: “For 2015/16 there is a risk there will be insufficient budget…to meet demand.

“To mitigate this risk, the number and monetary value of DHP applications will be closely monitored and the policy revised if required.” Councillors agreed to note the report and instructed officers to monitor the situation on a quarterly basis.