Asked by: Mick Whitley (Labour - Birkenhead)
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
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.
Asked by: Lord Archbishop of Canterbury (Bishops - Bishops)
Question to the Department for Levelling Up, Housing & Communities:
To ask Her Majesty's Government, further to the answer by Lord Greenhalgh on 26 January (HL Deb, col 1500), what assessment they have made of the level of household income that would be needed to afford a home defined as "affordable".
Answered by Lord Greenhalgh
The Government does not a prescribe a definition of affordability, but we recognise that the fundamental purpose of social housing is to provide affordable, safe and secure homes to those who cannot afford to rent or buy through the open market. This purpose is reflected in the definition of affordable housing in the National Planning Policy Framework and in our approach to setting maximum rent levels in social housing. The vast majority of rented social housing in England is let at Social Rent using a formula that takes account of relative county earnings (among several other factors). In the case of Affordable Rent, the initial rent is capped at up to 80 per cent of the equivalent market rent (except in London where both Social Rent and Affordable Rent levels tend to be lower).
The Government continues to invest to deliver different types of rented social housing to meet the needs of a wide range of households including those at risk of homelessness in areas of the country where affordability is most pressured.
For those who cannot afford their rent, Housing Benefit or Universal Credit is available to provide support with housing costs.
Asked by: Karin Smyth (Labour - Bristol South)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what comparative assessment she has made of the adequacy of social security support for (a) mortgage costs and (b) renters during the covid-19 outbreak.
Answered by Guy Opperman - Parliamentary Under-Secretary (Department for Transport)
No comparative assessment has been made of the adequacy of social security support for mortgage costs and renters during Covid-19.
Support for mortgage costs during the covid-19 outbreak is as follows:
Support for renters during the covid-19 outbreak is as follows:
Asked by: Baroness Lister of Burtersett (Labour - Life peer)
Question to the Department for Work and Pensions:
To ask Her Majesty's Government what assessment they have made of the consensus statement by the Scientific Advisory Group for Emergencies Housing, household transmission and ethnicity, published on 26 November, and in particular its recommendations on (1) the under-occupancy levy, (2) the benefit cap, and (3) the No Recourse to Public Funds rule.
Answered by Baroness Stedman-Scott
No assessment has been made.
(1) The removal of the spare room subsidy has been an important tool to help to manage housing support expenditure and enable mobility within the social rented sector. Making a change to this policy would not increase the size of properties people are currently living in or increase their bedroom entitlement under local authority lettings policies.
(2) There are currently no plans to change the Benefit Cap. The Benefit Cap ensures fairness between those receiving out-of-work benefits and taxpayers. The Government firmly believes that, where possible, it is in the best interests of children to be in working households and the benefit cap provides a clear incentive to move into work. A child living in a household where every adult is working is about 5 times less likely to be in relative poverty than a child in a household where nobody works.
Universal Credit claimants with household earnings of at least £604 in an assessment period are exempt from the cap along with the most vulnerable claimants that are entitled to disability benefits and carer benefits.
(3) The decision to apply a no recourse to public funds (NRPF) condition as part of a non-UK national’s immigration status is a Home Office policy matter. Non-UK nationals and family members who are issued with a residence permit with a NRPF condition are not eligible to access taxpayer-funded benefits such as Universal Credit, Child Benefit or housing assistance for the duration of their leave to remain. DWP has no powers to award taxpayer-funded benefits to an individual whose Home Office immigration status specifies no recourse to public funds. Public funds do not include contributions-based benefits such as New Style Job Seekers Allowance.
Non-UK nationals can apply for a change to their NRPF condition if, since being granted leave to remain, their financial circumstances have changed and they have become destitute or there are now particularly compelling reasons relating to the welfare of their child on account of their very low income, or there are now exceptional circumstances in their case relating to their financial circumstances.
Winter support package funding is being provided to local authorities, with more scope for distribution to individuals with no recourse to public funds. It will be at the discretion of local authorities to ensure those who need it most receive it. Local authorities may also provide basic safety net support if it is established that there is a genuine care need that does not arise solely from destitution, for example, where there are community care needs, migrants with serious health problems or family cases where the wellbeing of a child is in question.
Asked by: Lloyd Russell-Moyle (Labour (Co-op) - Brighton, Kemptown)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, how much in 2020-21 discretionary housing payments had been distributed nationally as of August 2020.
Answered by Will Quince
We have provided £180m in Discretionary Housing Payment (DHPs) funding to Local Authorities (LAs) to support vulnerable claimants with housing costs in the private and social rented sector in England and Wales for 2020/21. This includes an extra £40m as announced last year at the spending round.
Each year the Department publishes the annual LA allocations; the current year allocations are available at:
Since 2017 DHPs have been fully devolved in Scotland; the Scottish Government is responsible for informing Scottish LAs of their individual allocations.
Asked by: Chris Elmore (Labour - Ogmore)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, whether provisions are in place for universal credit claimants who go into arrears as a result of having to pay upfront fees when moving home before their universal credit has been paid.
Answered by Will Quince
Universal Credit is assessed and paid monthly, which reflects how the majority of the UK workforce is paid and helps prepare households to budget on a monthly basis, which will ease the transition into work. It also helps households to take advantage of cheaper tariffs for essential costs such as utility bills.
A Universal Credit Change of Circumstances Advance can be made available to existing claimants that experience a change of circumstance which results in a significant increase in entitlement, where the claimant cannot wait until the end of the assessment period to receive the increase.
For those individuals who require additional support, Discretionary Housing Payments (DHPs) are available. DHPs can be paid to those entitled to Housing Benefit or the housing element of Universal Credit who face a shortfall in meeting their housing costs. The payments are awarded at the discretion of the Local Authority and can provide help with on-going housing costs, or one-off expenses such as rent in advance, deposits or removal costs.
We have provided £180m in DHP funding to local authorities to support vulnerable claimants with housing costs in the private and social rented sector in England and Wales for 2020/21. This includes an extra £40m as announced last year at the spending round.
Asked by: Chris Elmore (Labour - Ogmore)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what recent assessment she has made of the effect of the timing of universal credit payments on the (a) assistance that people receive and (b) costs that people incur when moving home.
Answered by Will Quince
Universal Credit is assessed and paid monthly, which reflects how the majority of the UK workforce is paid and helps prepare households to budget on a monthly basis, which will ease the transition into work. It also helps households to take advantage of cheaper tariffs for essential costs such as utility bills.
A Universal Credit Change of Circumstances Advance can be made available to existing claimants that experience a change of circumstance which results in a significant increase in entitlement, where the claimant cannot wait until the end of the assessment period to receive the increase.
For those individuals who require additional support, Discretionary Housing Payments (DHPs) are available. DHPs can be paid to those entitled to Housing Benefit or the housing element of Universal Credit who face a shortfall in meeting their housing costs. The payments are awarded at the discretion of the Local Authority and can provide help with on-going housing costs, or one-off expenses such as rent in advance, deposits or removal costs.
We have provided £180m in DHP funding to local authorities to support vulnerable claimants with housing costs in the private and social rented sector in England and Wales for 2020/21. This includes an extra £40m as announced last year at the spending round.
Asked by: Chris Elmore (Labour - Ogmore)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what recent discussions she has had with with housing associations on the effect on universal credit claimants of upfront fees when moving home.
Answered by Will Quince
Universal Credit is assessed and paid monthly, which reflects how the majority of the UK workforce is paid and helps prepare households to budget on a monthly basis, which will ease the transition into work. It also helps households to take advantage of cheaper tariffs for essential costs such as utility bills.
A Universal Credit Change of Circumstances Advance can be made available to existing claimants that experience a change of circumstance which results in a significant increase in entitlement, where the claimant cannot wait until the end of the assessment period to receive the increase.
For those individuals who require additional support, Discretionary Housing Payments (DHPs) are available. DHPs can be paid to those entitled to Housing Benefit or the housing element of Universal Credit who face a shortfall in meeting their housing costs. The payments are awarded at the discretion of the Local Authority and can provide help with on-going housing costs, or one-off expenses such as rent in advance, deposits or removal costs.
We have provided £180m in DHP funding to local authorities to support vulnerable claimants with housing costs in the private and social rented sector in England and Wales for 2020/21. This includes an extra £40m as announced last year at the spending round.
Asked by: Layla Moran (Liberal Democrat - Oxford West and Abingdon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what plans his Department has to introduce a tenant hardship loan fund.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
The UK Government has provided an unprecedented package of financial support which is available to tenants, and we will continue to monitor closely the impacts of Covid19 for renters.
Notably, we have increased the local housing allowance rate to the 30th percentile. This increase will mean nearly £1bn of additional support for private renters claiming Universal Credit or Housing Benefit in 2020/21 and benefits over 1 million households, including those in work.
The Coronavirus Job Retention Scheme has offered support for business to pay staff salaries, enabling people to continue to pay their rent.
For those who require additional support, Discretionary Housing Payments are available. As announced at the spending round for 2020/21, there is already £180m in Discretionary Housing Payments for Local Authorities to distribute for supporting renters with housing costs in the private and social rented sectors.
Asked by: Ian Lavery (Labour - Wansbeck)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what plans he is putting in place to ensure that there is no increase in homelessness as a result of the reintroduction of late rent evictions.
Answered by Luke Hall - Minister of State (Education)
The Government has taken unprecedented action to support renters during the pandemic. On 5 June we announced that the suspension of evictions from social or private rented accommodation had been extended by a further two months. This means that no action to evict a tenant will proceed before 24 August 2020.
We are supporting those at risk of homelessness, with an injection of over £6.5 billion into the welfare system. This includes increasing the Local Housing Allowance rates for Universal Credit and Housing Benefit claimants so that they are set at the 30th percentile of market rents.
The Homelessness Reduction Act came into force in April 2018 and means more people are entitled to support than ever before. Local authorities and other public bodies must now work together to actively relieve people of their homelessness or prevent homelessness for people at risk, irrespective of whether they are a family or single person, the reason they are at risk, or if they have a local connection to the area. Acting earlier and for a broader range of people means more people will get the help they need before they face a homelessness crisis.