90% of councils believe government housing schemes are driving up homelessness

90% of councils believe government housing schemes are driving up homelessness

A new snapshot survey published by the Local Government Association has found that homelessness and housing waiting lists will increase as government backed housing schemes continue to reduce the number of desperately-needed homes available to communities.

The LGA poll asked housing stock-owning councils in England what the impact of a range of government housing policies would have on their local area by 2020.

The overwhelming majority of councils responding to the survey (90%) said reforms – including extending Right to Buy, cuts to social housing rents and Pay to Stay  – will lead to a drop in the number of much needed council homes in their local area.

Many predict that the reforms will lead to a rise in homelessness (78%) and demand for temporary accommodation (80%) in their community while the majority (81%) expect their council housing waiting lists will increase as a result.

Four in five councils responding to the survey (82%) said investment in estate development or regeneration would decrease by 2020 and 58% of councils said housing benefit spending will increase, a likely consequence of more people being forced into the private rented sector.

With the Housing and Planning Bill being voted on by Lords next month, the LGA is calling for councils to retain 100% of receipts from any council homes they sell, and to gain greater flexibilities to replace homes sold through the council Right to Buy scheme.

Social housing tenants unable to afford market rents will need to be protected from the unintended consequence of Pay to Stay. The LGA said the policy should be voluntary for councils who should be able to retain any additional income generated to reinvest in new and existing homes.


Cllr Peter Box, LGA Housing spokesman, said: “Our snapshot survey shows some councils fear aspects of the Housing and Planning Bill will all but end their ability to build new homes by cutting billions from local investment in new and existing council housing. Local authorities will also then be forced to sell existing council homes and will struggle to replace them and there is a fear this will combine to drastically reduce the number of homes available in local communities.

Local authorities are keen to get on with the job of building the new homes that people in their areas desperately need. Instead, housing reforms that reduce rents and force councils to sell their homes will make building new homes all but impossible.

With 68,000 people already currently living in temporary accommodation, more than a million more on council waiting lists and annual homelessness spending of £330 million – there is a real fear that this lack of homes will increase homelessness and exacerbate our housing crisis.

While private developers have a crucial role to play in solving our chronic housing shortage, it is clear that they cannot rapidly build the 230,000 needed each year alone. There is no silver bullet, but we will not resolve our housing crisis without a dramatic increase of all types of housing, including those for affordable and social rent alongside those to support home ownership.

New homes are badly-needed and we will only see a genuine end to our housing crisis if councils are given the powers to get on with the job of building them too.”

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Spencer Fortag
Spencer Fortag 25 Aug 2016

The funny thing is, I mentioned the brick issue in my blog back in April: http://medwayproperty.blogspot.co.uk/2016/04/the-medway-property-market-and-lack-of.html

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SecomTech
SecomTech 19 Aug 2016

Firstly, I either lodge with DPS or do not take a deposit...secondly, If a tenant has not received a confirmation their deposit is secured with either a scheme or in an insured account with an agent/landlord,...

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jasonevans
jasonevans 19 Aug 2016

Belvoir has over 15 years of experience in property lettings, buying and renting and is one of the best agencies I know about. I have heard that they revived an award for the hard work. Really amazing...

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jasonevans
jasonevans 19 Aug 2016

Usually these areas are least affected when it comes to unexpected economical collapse.

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TheWaspNestRemover
TheWaspNestRemover 11 Aug 2016

You agree to pay for the treatment needed to get rid of fleas, ants, mice, wasps nests and other pests unless you can prove that these are a result of us not meeting our repairing responsibilities or these...

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madisonwelch80
madisonwelch80 02 Aug 2016

16% is quite a raise. Let's hope this tendency won't continue for long.

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madisonwelch80
madisonwelch80 02 Aug 2016

?66,963 is a serious price drop However buying a property it a serious investment only small percentage of the UK population could afford.

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madisonwelch80
madisonwelch80 02 Aug 2016

Wow, it kind of surprised me. I mean counting on mom and dad's bank even after retirement is too much. That's the moment in life when one should have ensured themselves. I am shocked.

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AbbieP.
AbbieP. 22 Jul 2016

"While house prices in the most expensive eleven boroughs have declined values in the cheapest eleven boroughs continue to rise" - not a nice way to even out the price range. London is overrated as it

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AbbieP.
AbbieP. 21 Jul 2016

And try to profit from your decisions, I may add

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CommercialTrust
CommercialTrust 19 Jul 2016

Retirement investment has always been one of the biggest draws of buy to let. And the buy-to-let demographic is, on balance, older. (Over a third of our applicants are over 50 at the time of application.) It...

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Forrest Wheatey
Forrest Wheatey 11 Jul 2016

I find the time perfect for ever home-owner wannabe. Prices should slowly, but steadily drop, at least for the inner buyer. Making it harder for outsiders to buy properties (the whole Brexit thing means...

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