Glossary · UK
What is Bedroom Tax (Under-Occupation Charge)?
A reduction to the housing element of benefit for social tenants deemed to have more bedrooms than they need.
Full Definition
The under-occupation charge, widely known as the "bedroom tax", reduces the housing element of Universal Credit or Housing Benefit for working-age social housing tenants assessed as having more bedrooms than the size criteria say their household needs — a percentage reduction applies for one spare bedroom and a larger percentage for two or more. It does not apply to pensioners or, in Scotland, is fully mitigated through Discretionary Housing Payments, and various exemptions exist for disabled tenants needing an extra room, foster carers, and some other groups.
See Also
Disclaimer: Definitions are for guidance only. For decisions about your tax, savings, property or pension situation, always consult a qualified professional or refer to gov.uk.