What is the bedroom tax?

The bedroom tax means the housing element of your Universal Credit will usually be reduced by either 14% or 25% if you: 

• are 16 or over and under State Pension ageOpens in a new window
• get the housing element of Universal Credit 
• rent from a local authority, housing association or registered social landlord, and
• have more bedrooms than you need, usually based on these rules:
  • you’re allowed one bedroom for each person or a couple aged 16 or over 
  • two children are expected to share a bedroom until they turn 10, or until they turn 16 if they’re both boys or girls.

The bedroom tax can also be known as the ‘under-occupation penalty’, ‘removal of the spare room subsidy’ and the ‘social sector size criteria’. If you rent from a private landlord, there is a different scheme based on a local housing allowance instead.

The bedroom tax is based on the number of bedrooms your household is considered to need under the Housing Benefit and Universal Credit housing cost rules.

In most cases, you’re allowed one bedroom for:

• each adult or couple aged 16 or over 
• two children under 10, regardless of sex
• two children under 16 if they’re the same sex
• any other child who can’t reasonably share a bedroom. 

Whether a room counts as a bedroom isn’t always straightforward. Your landlord or housing association may describe a room as a bedroom, but if you disagree with how your home has been assessed, you may be able to challenge the decision depending on your circumstances.

Some households may be allowed an additional bedroom because of their circumstances. You’ll usually need to provide evidence to support your claim, such as medical information, benefit award letters or supporting letters from healthcare professionals or other relevant organisations.

The bedroom tax won’t apply if you’re: 

• Over State Pension ageOpens in a new window (your partner also needs to be over State Pension age if you claim Universal Credit as a couple).
• An approved foster carer with one extra bedroom – if you became a foster carer or fostered a child in the last 12 months. 
• Disabled (or your partner is) and receiving regular overnight care with one extra bedroom.
• A parent of a child unable to share a room due to their disability – if they claim the middle or higher rate of Disability Living Allowance (Care).
• A parent of an adult who lives with you but is sometimes away, either:
  • in the Armed Forces, or
  • as a full-time student.
• Living in temporary accommodation because you were homeless or a victim of domestic abuse.
• A homeowner using shared ownership, so you own part of your home and rent the rest. 
• Someone with a non-dependent living with you. In some cases, however, that person may be expected to pay towards the rent.  

A lodger is not entitled to a bedroom but any money they pay you for rent is ignored.

If your spare bedroom is a result of a death in your household, the bedroom tax won’t apply for three months for Universal Credit. 

Receiving either Personal Independence Payment (PIP), Adult Disability Payment (ADP) or Employment Support Allowance (ESA) doesn’t automatically exempt you from the bedroom tax.  

However, a successful claim for the daily living component of PIP or ADP may provide supporting evidence that someone in your household has disability-related needs which mean an additional bedroom should be allowed. The decision will depend on your individual circumstances, and whether you need to sleep in a separate bedroom due to your medical need, rather than simply receiving the benefit.

Some people with mental health conditions may need an additional bedroom because of their disability or care needs.

Each case is considered individually. Helpful evidence could include:

• letters from a GP, psychiatrist or mental health professional
• details of overnight care or supervision
• information explaining why sharing a bedroom isn’t appropriate.

If you’re affected, your housing element of Universal Credit will reduce by:

• 14% if you have one extra bedroom
• 25% if you have two or more extra bedrooms.

For example, if you get £500 a month to help with your housing costs, your Universal Credit housing element will reduce by: 

• £70 a month for one extra bedroom
• £125 a month for two extra bedrooms.

If you don’t agree with your bedroom tax decision, you can submit an appeal. For example, if it’s not been considered that someone in your home needs a carer overnight.

If you get Universal Credit, you’ll need to ask for a mandatory reconsideration first. You can then make an appeal within one month of the date of that decision. See our guide How to appeal a benefits decision for more information. 

If you’ve been told your benefits will be reduced due to the bedroom tax, use our Benefits calculator to make sure you’re claiming everything you’re entitled to.  

There are also other things you can do to help, such as applying for discounts on your bills and creating or updating a budget.  

For more information, see our guide Help managing your money if you receive benefits. 

What you can get depends on where you live:

• In England and Wales, you can ask your local council for a Discretionary Housing PaymentOpens in a new window This is decided on a case-by-case basis and you might not get all the money that you’ve lost from the bedroom tax.
• In Scotland, you can apply for a Discretionary Housing PaymentOpens in a new window Everyone affected by the bedroom tax should get it.
• In Northern Ireland, you’ll receive a top-up payment automatically. This is called a Welfare Supplementary PaymentOpens in a new window

For more step-by-step help, including ways to cut costs and how to apply for grants, see our section Help if you can’t afford your rent.

If you’re considering getting a lodger, you’ll still pay the bedroom tax if you get Universal Credit. Any rental income does not affect your Universal Credit payment. 

In addition, you can earn up to £7,500 per year tax-free from renting a room in your home. But make sure that your own tenancy allows you to have lodgers. 

For more help and information, see Rent a Room scheme – how it works and tax rules.

To talk to someone about your own situation, use Advicelocal to find free and impartial advice onlineOpens in a new window or near to where you live.

If you’re worried you’ll miss a payment, or already have, use our Debt advice locator to find free and confidential debt advice online, over the phone or near to where you live.