Ministers say residents hit by welfare reforms should get discretionary payments to protect them from benefit shortfalls

Former residents of Grenfell Tower will not be exempt from the bedroom tax and the benefit cap, the government has confirmed – although ministers have ordered that any tenants affected are prioritised for special payments to offset any losses.

Guidance from the Department for Work and Pensions (DWP) says councils should ensure Grenfell tenants hit by welfare reforms should be given so-called discretionary housing payments (DHPs) to protect them from potential housing benefit shortfalls of hundreds of pounds a month.

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