News from 12 May 2026
DWP projections reported in May put spending on housing benefit and Universal Credit housing costs at £38.8 billion in 2026–27. The report linked the increase to rents and pressure on housing supply in Great Britain.
What the latest figures show
The reported DWP projections point to housing support spending reaching its highest real-terms level since comparable records began in 1970. Around 5.95 million people across England, Wales and Scotland are expected to receive housing support this year, according to the same report, up by about 1.2 million compared with 2019-20.
The increase is being linked to higher rents and a shortage of housing supply. Private rents have risen sharply since the start of the pandemic, while the supply of both social housing and new homes remains under pressure. The DWP bill is also forecast to rise further, with spending expected to reach around £40bn by 2030-31.
More than a third of the reported housing support spend goes to landlords in the private rented sector. That reflects the private rented sector’s role in housing households who might otherwise depend on a larger social housing stock.
