This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
The Government is proposing a reduction in benefits from next April. They also wish to make the social sector and the private rental sector equal, and make more large homes available to families on councils’ waiting lists.
Their plan is to decrease benefits to tenants who have a spare room in their social housing.
Not Enough Homes for Those Downsizing
A councillor in Stoke-on-Trent stated that their council is looking to covert care homes and city council buildings into one and two bedroom flats to create smaller homes.
Those who are able to work and live in social accommodation could see drops of £14 per week if they have a spare room in their house. The plan could potentially affect 660,000 people.
Landlords are researching ways to secure their rental income, and help their tenants continue renting by searching for different incentive schemes for tenants to downsize.
However, the Government has stated that there are not enough small houses available for those who will be hit by the proposal.
Janine Bridges, Cabinet Member for Housing, Neighbourhoods and Community Safety, says: “We don’t have enough one and two bedroomed properties to house people if they decide to downsize.
“Social landlords are also frightened and have serious concerns.
“It will impact on our budget as we have to make provisions for our tenants if that’s what they want and we just do not have the housing stock.
“We’re going to have to look at care homes and other buildings being converted into one and two bedroomed accommodation. We can’t build houses fast enough.”1
1 http://www.justlandlords.co.uk/news/Not-Enough-Properties-for-Those-Downsizing-1345.html
