DUNFERMLINE’S Labour MSP Cara Hilton has claimed a party victory over the ‘bedroom tax’ – but Fife Council’s leader says the local authority could be £1.3million short to offset the impact.

In February, the Scottish Government’s Budget was passed with £35million made available to help those hit by the controversial policy.

Finance Secretary John Swinney confirmed an additional £15million had been found so the full £50mil needed to help tenants who have fallen behind on their rent.

More than 6000 social housing tenants in Fife are believed to be affected by the ‘tax’, which is a cut in housing benefit for tenants who are deemed to have one or more spare bedrooms.

This week, MSP Cara Hilton said, “Thousands of families here in Dunfermline and the West Fife villages have been forced to pay this unjust tax which hits the poorest the hardest.

“I am delighted that the Scottish Government has finally yielded to Scottish Labour and popular pressure and made funds available to effectively end the bedroom tax in Scotland.” However, council leader Councillor David Ross told the Press, “It is not yet clear how much of this funding Fife will receive or how or when it will be paid.

“If it is distributed on the historic formula used for Discretionary Housing Payments (DHP) we estimate there will be a funding gap of around £900,000 in Fife between the funding available and the amount needed to meet eligible applications for this money.

“There are also other calls on the DHP for other reasons and this could mean that Fife is as much as a further £400,000 short of what is needed.” Cllr Ross has written to Mr Swinney raising the issues and added, “Until these uncertainties are clarified, Fife Council will continue with the current arrangements for the DHP so tenants won’t generally receive the full amount to cover the bedroom tax as yet.

“Once we know what the new arrangements are going to be, and how the funding is going to be made available, we will aim to get backed dated payments out to claimants as soon as possible.

“The council is pressing both the Scottish Government and the UK Government to have these decisions made as a matter of urgency so we can let tenants know and relieve the worry and uncertainty they continue to face.”