RESIDENTS are being warned they may see their housing benefit reduced to as little as 50p-a-week following the introduction of new welfare reforms.

Middlesbrough Council is warning that the changes mean many people will have to pay the full amount of their rent, minus 50p.

Tenants are being urged to take the time to understand the effects the changes relating to the forthcoming Benefit Cap may have on their own circumstances.

The cap, to be implemented from Monday, November 7, over a 12-week period, restricts the total amount of state benefits able to be received.

Based on the current restrictions Middlesbrough has 75 families affected by the Benefit Cap but this number will rise significantly once the new restrictions are imposed by Central Government.

Early estimates suggest that when the new cap is applied 502 families will be affected, while 93 families may have their Housing Benefit reduced to 50p-a-week.

Residents can call the helpline on 01642-802303 and speak to a council adviser.