A SINGLE mum from Little Lever fears she may have to move into a hostel after finding herself in a 'Catch 22' situation over her home.
Karen Chapman, 27, of Fearneyside, says she is facing the prospect of Christmas in a hostel because she can't afford the rent on her house.
She moved into the three-bedroom property in March with her son Max, aged two, hopeful that her Housing Benefit would cover the £85 per week rent.
Having moved from a two-bed £85 per week property, Karen was confident that she would receive the full amount.
But a rent inspector visited her home four months after she moved in and confirmed Karen's Housing Benefit at only £65 per week.
During the four month period, Karen received £65 per week, on the understanding that she would pay the £20 per week arrears when the cheque came through.
She is upset and claims that the authorities failed to act even though they knew from the outset that she would need £85 per week.
Now Karen knows she is not going to get the extra £20 per week.
Although she has a contract to live at Fearneyside until next March, her landlord will waive the arrears if she leaves by November 27, which will stop the debt mounting up.
But under council rules a person is classified as making themselves homeless if they quit accommodation while they have a contract to live there. And as a result they are a lower priority for rehousing.
Karen said: "It is a 'Catch 22' situation. It would cost the council money to move me and I don't want to go anyway.
"And the authorities knew right from the start that I was in a property with a rent of £85 per week."
A Department of Finance representative from Bolton Council said that the Government had changed Housing Benefit legislation in January.
Karen's Housing Benefit is now assessed on an average based on the type of housing in an area and on how many rooms a tenant actually needs.
The representative added that Karen was likely to be rehoused quickly if she was prepared to go anywhere.
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