Rent Arrears: Covid-19

Lord Moylan Excerpts

Thursday 20th May 2021 Lords Chamber

[Lord Greenhalgh (Con)]

My Lords, I am always very happy to meet Generation Rent and hear its proposals. I point out that we continue to provide support even at this stage. We lifted the local housing allowance rates to the 30th percentile of local rents in April 2020. That has provided 1.5 million claimants with around £500 more housing support per year. We have announced that local housing rates will be maintained at the increased level in cash terms in 2021-22.

[Lord Moylan (Con)]

My Lords, financial assistance to renters finds its way straight into the pockets of landlords, but rents have fallen during the pandemic, not least in London. Does my noble friend agree that any scheme designed for this purpose should ensure that landlords do not receive returns greater than they would have received in market circumstances?

[Lord Greenhalgh (Con)]

My noble friend is right that we have seen rents reduce as a result of the pandemic. All the schemes that we have designed cover rent at the level presented by the landlord. Obviously, schemes that we have provided to support renters will reduce as a consequence of reducing rents.