Rents: Arrears

(asked on 2nd February 2021) - View Source

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

To ask the Secretary of State for Housing, Communities and Local Government, whether his Department plans to make available additional financial support to people in rent arrears as a result of the covid-19 outbreak.


Answered by
Christopher Pincher Portrait
Christopher Pincher
This question was answered on 9th February 2021

The Government has provided a comprehensive package of support to help prevent people getting into financial hardship or rent arrears as a result of COVID-19. This includes support for businesses to pay staff salaries through the Coronavirus Job Retention Scheme, which has been extended until April 2021. We have boosted the welfare system by billions of pounds, including increasing Universal Credit and Working Tax Credit by up to £1,040 for the year.

We also lifted Local Housing Allowance rates to the 30th percentile of local rents in April 2020, which has provided 1.5 million claimants with around £600 more housing support per year than they would otherwise have received. In 2021/22 Local Housing Allowance rates will be maintained in cash terms at their increased level, meaning claimants renting in the private rented sector will continue to benefit from the significant increase in the rates applied in April 2020.

For those who require additional support Discretionary Housing Payments are available. As announced at the spending round for 2020/21 there is already £180 million in Discretionary Housing Payments for local authorities to distribute for supporting renters with housing costs in the private and social rented sectors. For 2021-22 the Government will make available £140 million in DHP funding, which takes account of the increased LHA rates.

We continue to closely monitor the ongoing effects of the pandemic on renters.

Reticulating Splines