Minimum Room Size Plans ‘Fundamentally Flawed’

The Government’s impact assessment into plans to introduce minimum room sizes are ‘fundamentally flawed’, with the RLA warning that unless the shortcomings are addressed the regulations are open to challenge by judicial review. As of October this year, a national minimum bedroom size will be introduced for all licensed HMOs, in a bit to tackle overcrowding, with councils required to stipulate how many people can sleep in each room. However, the RLA believes decisions have been made based on inaccurate information – and that little consideration has been given to the negative impact the changes will have on tenants, landlords and the sector as a whole. Read more on the RLA website.

https://news.rla.org.uk/rla-writes-to-mhclg-over-licensing-of-hmos/

Universal Credit – Parliamentary Written Answer

John Healey: To ask the Secretary of State for Work and Pensions, if he will place a copy of any unpublished impact assessment on the Universal Credit (Housing Costs Element for claimants aged 18 to 21) (Amendment) Regulations 2017 in the Library.

Caroline Nokes: There is no requirement to complete an Impact Assessment in respect of these regulations because they have no direct impact on business, charities or voluntary organisations.An Equality Impact Assessment was completed to enable me to ensure compliance with my Public Sector Equality Duty. There is no requirement for this assessment to be published and I have no plans to do so.

CLG Issue Impact Assessment On Housing And Planning Bill

The CLG has issued their assessment of the impact of policies and proposals set out in the Housing and Planning Bill 2015. Stock retained councils will be particularly interested in the government's assessment of the impact of the proposals in the Bill to force the sale of high value council housing and introduce a mandatory 'pay to stay' scheme for higher earning tenants. The estimates are that:

·         There are currently 350,000 council and housing association tenants with household earnings above £30,000 who would be required to pay a market or near market rent

·         The number of tenants affected is expected to rise further by April 2017 (the date of the planned introduction) because of rises in the National Minimum Wage/National Living Wage and wage rises generally.

The caseload (number of tenants affected) by 2017/18 is estimated to be:

·         200,000 council tenants; and

·         240,000 housing association tenants

Read more on the ARCH website.

No Blanket Exemption For Supported Housing

The government has decided against exempting all supported housing from the 1% rent cut, an official document has confirmed. An impact assessment of the policy said “a complete exception for supported accommodation has been considered but is regarded as disproportionate”. Providers of ‘specialised supported’ accommodation are unlikely to have to reduce rents by 1% over four years, as laid out by the Welfare Reform and Work Bill. However, sector figures have said very few properties are classed as ‘specialised supported housing’. Such housing usually has to offer ‘a high level of support’ for residents, receive no or negligible public subsidy, and have been commissioned in line with local health, social services or Supporting People strategies. Download the Impact Assessment from the Parliament website.

Warning Of Higher Rents As A Result Of Budget Measure

The measures announced in the budget create damaging uncertainty for the private rented sector and will leave tenants facing increased rents, claim the landlords’ representatives. HMRC’s impact assessment refers to the proportion of individual landlords that will receive less relief as a result of this measure. This misses the point that it is not the landlords but the number of properties affected that matters most. According to HMRC 20 per cent of landlords will be affected but many of these, if not most, will have more than one property with an interest charge against each. The RLA are warning that the measure: “could see buy-to-let investors feeling the squeeze and putting up rents”, which, it notes, “would have a major impact” on tenants. Read more on the RLA website.

Right to Buy Scheme – Parliamentary Written Answer

Tim Farron: To ask the Secretary of State for Communities and Local Government what assessment his Department has made of the effect of reducing the qualifying period of right to buy from five to three years on the feasibility of local authorities ensuring a replacement of homes sold.  

Kris Hopkins: The Government intends to reduce the qualifying period for the right to buy from five years to three years through the Deregulation Bill. We have produced an impact assessment on this change, including its impact on replacement policy. The impact assessment shows that the change to the qualifying period will enable increased home ownership among social tenants, while ensuring sufficient sales receipts to deliver a new home for each additional home sold under the reinvigorated right to buy nationally. The impact assessment was cleared by the Regulatory Policy Committee on 4 March and will be published on the Deregulation Bill website shortly.

IDS Hints at Cut in the Benefit Cap

One of the welfare cuts that George Osborne is most likely to make if the Tories win the next election is a reduction in the household benefit cap of £26,000. The most recent YouGov poll found that 76% of the public support a cap of £26,000 and that 49% favour one of £15,000. Asked by Tory MP Andrew Bridgen at Work and Pensions questions whether the benefit cap would be reduced, Iain Duncan Smith replied: "we will keep the policy under review", a clear hint that the government is considering a cut.  While the cap might appear generous, it's important to remember that those households who receive £26,000 do so due to high rents and/or an above average number of children; the government's Impact Assessment found that 52% of those families affected have four or more children. Read more on the New Statesman website.

At Last, A Report That Skewers IDS’s Welfare Policies

The petition calling for a cumulative impact assessment of the way welfare reform affects sick and disabled people, known as the WOW petition, has passed 100,000 signatures, triggering its consideration for debate by the backbench business committee. To add to Duncan Smith's woes, the well-respected Centre for Welfare Reform has released details of its report, How Norms Become Targets, which exposes the myth that Atos, the private company responsible for assessing the needs of people unable to work, does not do so on the basis of targets. There is also the publication of the stunning People's Review of the Work Capability Assessment. It has been compiled by the anonymous organisation, We Are Spartacus, whose activism in this area has been hugely empowering. The report is a collection of statistics surrounding welfare reform and reactions of MPs, charities and professional groups to the way in which it has been administered. An almanac of condemnation, if you will. Most importantly, the report compiles statements from sick and disabled people actually going through the system. Download a copy of the reports from the Centre for Welfare Reform and We Are Spartacus websites.

   

  

Under-occupancy Penalty (Nottingham) – Parliamentary Debate (2)

Steve Webb: To be clear, the rules allow for a non-resident carer who has to stay overnight to have a room...a spare bedroom is allowed for a non-resident carer.

Steve Webb: …to be clear for the record, a spare bedroom is allowed for a non-resident overnight carer and it is important that he does not alarm people about the issue. 

Landlord Finds Just 6% of Tenants Will Downsize

A survey of residents by a Birmingham-based housing association has found that only 6 per cent intend to move to a smaller house as a result of the ‘bedroom tax’.  The figure is more than four times fewer than the number the Department of Work and Pensions predicted would move when it carried out an impact assessment into the under-occupation penalty in 2011. Castle Vale Community Housing Association visited the 500 of its 2,500 tenants that will be affected and found that the vast majority - 88 per cent - would try to make up for the shortfall in housing benefit that will be applied by them having spare bedrooms.  Read more on Inside Housing.

Squatting Law 'Sending Homeless to Prison’

Squatter’s Action for Secure Homes (SQUASH) has collected and analysed information to produce a six-month impact analysis of the criminalisation of squatting in residential properties. SQUASH is launching a campaign calling for the law to be overturned.  The report - The case against section 144 - said “Given the magnitude of the housing crisis and the huge rise in homelessness we are currently facing, this law has critically narrowed the options for many, and is sending homeless people to prison for seeking shelter in empty buildings.”  Download a copy of the report from the SQUASH website.

Housing Benefit: Social Rented Housing – Parliamentary Written Answer

Tim Farron: To ask the Secretary of State for Work and Pensions what estimate his Department has made of the projected annual savings to the public purse as a result of the reduction in housing benefit payments due to the operation of the under-occupancy penalty. 

Steve Webb: We estimate that the removal of the spare room subsidy will save around £500 million per year in housing benefit expenditure.

Estimates of the savings are available in the Impact Assessment.

http://www.dwp.gov.uk/docs/social-sector-housing-under-occupation-wr2011-ia.pdf

Social Housing (Under-occupancy) – Parliamentary Oral Answer

Kerry McCarthy (Bristol East) (Lab): What assessment he has made of the availability of accommodation for those who downsize as a result of the new under-occupancy rules for social housing. 

Don Foster: I am sure that the 278,000 families in overcrowded social housing will welcome the increased availability of larger homes, given that some 390,000 families under-occupy their properties by two bedrooms or more.

Kerry McCarthy: According to the Department’s own impact assessment, more than 660,000 housing benefit claimants will be affected by these changes. It is ridiculous to assume that they will be able to find the money out of their own pockets, given all the other cuts that are being introduced. They will be forced to lose their homes. What assessment has the Minister made of the availability of smaller accommodation? Will those people not just be pushed into expensive private sector accommodation, meaning that the housing benefit bill will go up?

Mr Foster: I have already pointed out that a large number of properties are currently under-occupied.

Housing Benefit – Parliamentary Oral Answer

Mr Stephen Hepburn (Jarrow) (Lab): What assessment he has made of the potential effect on low-income families of planned changes to housing benefit eligibility in respect of under-occupancy in the social rented sector.

Steve Webb: Our impact assessment shows that of the 3.4 million social sector tenants receiving housing benefit, up to 660,000 could potentially be affected by this measure.

Housing: Construction – Parliamentary Written Answer

Peter Luff: To ask the Secretary of State for Communities and Local Government what assessment he has made of the effectiveness of the New Homes Bonus in incentivising communities to accept developments; and if he will make a statement.

Mr Prisk: The New Homes Bonus is a powerful, simple, transparent and permanent incentive for local authorities and communities to increase their aspirations for housing growth. Since its inception the New Homes Bonus has totalled nearly £1.3 billion. As New Homes Bonus is an un-ringfenced grant, local authorities decide how to spend the Bonus, since we believe they are in the best position to make decisions about local priorities. As set out in the published Impact Assessment of the scheme, the Government is committed to the success of the New Homes Bonus. We will formally consider the impact of the scheme in 2013-14.

Welfare Reform Impact Assessment

A survey of 232 housing associations has found on average registered providers expect arrears to rise by 51 per cent. Paying housing benefit direct to tenants rather than landlords is expected to have the biggest impact, with more than 80 per cent of housing associations saying this will affect them significantly. Twenty two per cent said the changes will make it harder for them to meet their loan covenants, with 10 per cent of those involved in the affordable homes programme saying direct payment will make it harder for them to deliver their house building commitments.  The under-occupation penalties for working-age families on housing benefit are the next greatest issue, with 60 per cent of associations raising concerns. This rises to 80 per cent for landlords operating in Yorkshire and Humberside, the east midlands, and east of England.  Download a copy of the report from the NHF website.

CLG Committee Unimpressed With Plans To Relax Extension Rules

The CLG Committee has criticised the Government's intention to double the exemption from planning permission for extensions to certain kinds of housing.  The CLG's report says that the Government’s plans are based on "an inadequate impact assessment".  Under the proposals, the size limits for the depth of single-storey extensions for detached houses would increase from four metres to eight metres, and from three metres to six metres for all other houses in non-protected areas, for a three-year period. The Committee believes that the Government's reasons for making the changes are unconvincing and has asked it to reconsider. It also has concerns that the relaxation in the planning rules would not be temporary. Read more on 24dash.

Affordable Homes 'Will Lead To Further Cuts'

A director at one of England’s largest housing associations has warned the affordable homes programme could lead to further government spending cuts due to its impact on the housing benefit bill.  Mike Donaldson, group director of strategy and operations at London & Quadrant, told MPs the programme will lead to increased benefit spending and could lead to the government cutting further in the future. A CLG impact assessment into the affordable homes programme shows the policy will increase the housing benefit bill by £1.3 billion over 30 years.  Read more on Inside Housing.

Existing Claimants Protected Under Universal Credit

The Department for Work and Pensions has insisted no households currently claiming benefit will lose out under universal credit.  An impact assessment shows around 800,000 more households than previously expected will have lower ‘notional’ benefit entitlements under universal credit.  The assessment shows 2.8 million households will have lower entitlements under the policy, compared to the 2 million quoted in an equality impact assessment in October last year.  However, the DWP said the assessment does not take into account ‘transitional protection’ – money used to top up incomes to prevent current claimants moving to the new system from losing out.  Download a copy of the Impact Assessment from the DWP website.

'Thousands Will Be Forced Out Of London by Welfare Reforms'

New research examining the effects of April 2013's welfare reforms concludes that councils will be forced to send thousands of families outside of London. The report, carried out by Child Poverty Action Group (CPAG) and Lasa, a welfare rights charity, found that government impact assessments are predicting that 124,480 London households will be affected by cuts to the Local Housing Allowance, the introduction of the benefit cap and under occupation penalties.  Based on interviews with council officers and advice agencies, “Between a rock and a hard place: the early impacts of welfare reform on London” found that many local authorities are actively considering procuring accommodation outside the city. However, some fear legal action as a result of such a move. Download a copy of the report from the CPAG website.