Government Attempts To Tackle Growing Rent Arrears Under Universal Credit

In response to a parliamentary written question last Friday, Damian Hinds, DWP minster, said in order to “address the issue of rent arrears in Universal Credit” DWP will roll out two initiatives that have recently been piloted – the Trusted Partner scheme and the landlord portal. More landlords will be included in the schemes from October, starting with the largest landlord groups “in order to ensure the highest possible number of tenants are able to benefit from the schemes, as early as possible”, Mr Hinds said. Read more on Inside Housing.

Minister Reveals 'Trusted Partner' Landlords

The government has revealed the social landlords piloting a scheme to stop vulnerable Universal Credit claimants falling into debt. The DWP have released a list of councils and housing associations taking part in the ‘Trusted Partner’ pilot, to allow ‘trusted’ social landlords to receive vulnerable tenants’ benefit direct before they fall into arrears. Universal Credit directs housing benefit towards the claimant. This has concerned housing associations, which say that some vulnerable tenants will be unable to manage their finances and fail to pay their rent. Under current Universal Credit rules, landlords can apply to have the housing benefit directed straight to them instead of the claimant, but by then the tenant has commonly fallen into arrears of eight weeks or more. Read more on Inside Housing.

Government Confirms Trial To Limit UC Impact

A government trial that protects social landlords’ rent accounts against the impact of Universal Credit is to be piloted by 20 councils and housing associations. In its first public statement on the scheme, the DWP said it would run the ‘trusted partner pilot’ to help “vulnerable tenants who may struggle” with the government’s flagship welfare reform. Landlords including First Choice Homes Oldham have been testing the scheme in the north west of England. The new announcement expands the government’s trial to beyond the north west and into other parts of England, Scotland and Wales. For an opportunity to take part in the pilot, read more on the NHF website.