Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, whether the Government plans to make additional funding available to local authorities to support residents made homeless as a result of rent arrears accrued during the covid-19 pandemic.
The Government has provided an unprecedented package of financial support which is available to support tenants with living costs. The Coronavirus Job Retention Scheme and £20 per week uplift in Universal Credit are in place until the end of September helping renters to continue paying their rent. Local housing allowance rates have been maintained at their increased level in cash terms in 2021/22, meaning claimants renting in the private rented sector continue to benefit from the significant increase in the local housing allowance rates applied in April 2020. For those who require additional support, Discretionary Housing Payments (DHP) are available. For 2021-22 the Government has made £140 million available in DHP funding, building on the £180 million provided last year.
Data from the English Housing Survey (EHS) Household Resilience Study November-December 2020 suggested that approximately 9% of private renters had any arrears, and two thirds of those are in less than 2 months of arrears. However, we will continue to closely monitor the ongoing impact of the pandemic on renters.
Where a person is at risk of losing their home, local authorities have a legal duty to take reasonable steps to prevent homelessness. In 2021/22 we are providing local authorities with £310 million to discharge their duties under the Act, a £47 million increase on previous years’ funding. This can be used to offer financial support for people to find a new home, to work with landlords to prevent evictions, or to provide temporary accommodation to ensure families have a roof over their head.