Hi,
Since having to give up work a few years ago like many ESA is one of the benefits I claim. Along with this I get the interest paid on my mortgage. This benefit is going to be removed and replaced by a loan where interest will be added. It does not make sense to me and could result in more people losing their homes and having to be rehoused often with rents far higher than mortgage interest rates.
Why did I not see anything about this change during the general election?
Christine
I read about this coming change in support of mortgage interest for new ESA applicants. Current claimants are not affected from what I understand. The loan will be paid when the home owner passes away and the property is sold I guess.
If I come off ESA for some reason then reapply for ESA in the future then I probably will be affected by this change.
Currently, I get support for mortgage interest, it’s a small amount at £25 a week. My housing costs are a bargain for the DWP compared to what the DWP would pay for home rental costs.
I have to use my other benefits to pay the mortgage repayments. I had to stretch my mortgage out to as long as possible in years to pay off, to reduce the monthly repayments.
I thought it was for new claimants only but what I read today it said existing claimants would also be affected from 2018.
Yes I see what you mean. From 7th July 2017 new applicants will get it as a loan. Existing claimants it will change from benefit to a loan with interest from April 2018.
However, the following document says those already on Income related ESA there is no time limit for SMI as a benefit. So this is conflicting wording. I think I will be OK.
It’s a very difficult and unpleasant issue. It’s such a mess that nobody in this country couldn’t provide you with your place to live with minimal payment. We need to take loans, overpay, and face other difficulties. As for me, the better decision is to address the professionals and ask them regarding this issue. I haven’t faced this situation, but I took a mortgage for my house. And I looked for a better offer, so I used the services of (removed by moderator). If you worry about your interest in paying the mortgage, try to address an agency. I’m sure it will be faster and more profitable.