Mr Raynsford spoke this week in a House of Commons debate, warning Ministers of the terrible consequences that will soon be seen if the Government insists on reckless and ill-thought changes to Housing Benefit.

The Tory-led Government intends to cap the maximum amount of Housing Benefit a household can receive at the same time it intends to reduce the amount of Local Housing Allowance from 50% of the maximum rent payable in any given neighbourhood to only 30%.

Mr Raynsford argues that these changes – which have been strongly criticised by numerous organizations with housing expertise including Shelter, Crisis and Citizen’s Advice Bureau - will hit households hard both in the social rented sector and those renting in the private market.

Nick says: ‘It is punitive to cut the Housing Benefit budget at the same time as raising social housing rent. This is far from a compassionate and fair way to address housing issues.

‘The recent recession has seen a stagnation of the housing market with contracted mortgage lending and a serious lack of new and affordable homes, which the current Government is doing little to address and is in fact making worse.

‘We have seen a sharp increase in people seeking private rented accommodation because they simply cannot get a mortgage or shoulder the responsibility of homeownership during an economically uncertain climate. Many of these people have lately lost their jobs or have had to reduce their hours, meaning that they are currently dependent on Housing Benefit to help them meet their rent obligations’.

Mr Raynsford used this week’s debate to quote the findings of the Government’s own advisory body, the Social Security Advisory Committee, who have slammed the Government’s ‘high risk’ plans, warning that ‘the majority of Housing Benefit recipients in the private rental sector will find themselves facing new or increased shortfalls’. The Committee has urges the Government to urgently withdraw the changes

Nick added: ‘To argue that cutting housing support will drive down rents in the private sector is simply ludicrous. We all know that in London there is a severe shortage of rented accommodation, which of course gives landlords license to increase rents not reduce. These proposals have received no proper appraisal of the impact that they will have, and are being railroaded through with little regard for the dire consequences for many people’.