A group of squatters who claim they were forced to give up their homes through loss of benefits and unemployment were evicted today.

Around 35 people ignored a court letter demanding them to leave the disused industrial building they have been living in in Priestley Way, Walthamstow, since late December.

The self-proclaimed victims of government cuts told the Guardian they had become a self-sufficient community, before bailiffs evicted them at around midday and police arrested a man on suspicion of criminal damage.

Squatters spokeswoman Petra Levan, 33, said: “We are really vulnerable people who are homeless and this building hasn’t been used for about five years.

“We’re together as a community that supports itself and we have a roof over our heads. This is a way of living where people provide for themselves, we’re not a strain on public services.”

She said the squatters had even set up a library and started art projects, scavenging from skips and restaurants’ rubbish to feed themselves.

A supporter of the group, who only identified herself as Justa, 21, said: “It’s safer for them being in there than being out on the street. Why can’t police just let them stay?

“They’re people lost in the world. They are peaceful and kind. They gave a place to live to some young people, 18, 19-year-olds thrown out by their families.”

Miss Levan said the squatting was not illegal, because the building is not residential.

A law was passed in September 2012 to make squatting in residential properties illegal.

Government guidance states: “Simply being on another person’s non-residential property without their permission is not usually a crime. But if squatters commit other crimes when entering or staying in a property, the police can take action against them.”

It is not yet clear which company owns the building.

A Met spokesman said: "The presence of the officers was to ensure the safety of the public, maintain order and prevent a breach of the peace as bailiffs carried out a lawful eviction at a commercial premises.

"One man was arrested for criminal damage and is currently in custody at an east London police station."