Question to the Department for Levelling Up, Housing & Communities:

To ask the Secretary of State for Levelling Up, Housing and Communities, if he will introduce a low interest deposit scheme for people seeking entry-level rental accommodation in the private sector.

The Government does not have plans to introduce a low interest deposit scheme for the private rented sector. Local authorities may offer deposit guarantee or bond schemes to people on low incomes or at risk of homelessness.

Councils can choose to use Discretionary Housing Payments (DHP) or Homelessness Prevention Grant funding to provide rent deposits for people in financial difficulties.

Since 2011 the government has provided almost £1.7 billion in DHP funding to local authorities and is investing over £1 billion in the Homelessness Prevention Grant over three years (2023-2025) including a £109 million top up for 2023/2024.