Chancellors words "ring hollow" for landlords and tenants
Responding to the Budget, Ben Beadle, Chief Executive of the National Residential Landlords Association, said:
“The Chancellor’s pledge to do whatever it takes to support those affected by the pandemic will ring hollow for thousands of tenants and landlords across the country.
“The Government has admitted that private tenants have been hardest hit by the pandemic, and figures show that most of those in arrears are unable to access emergency housing support from local authorities.
“Despite this the Chancellor has failed to provide the sector with the financial support needed to pay off rent debts built as a consequence of the virus.
“Without help to get arrears cleared, many tenants face the prospect of losing their homes and having damaged credit scores, which will undermine the Government’s efforts to help generation rent become generation buy.”
More information
- MHCLG’s English Housing Survey - Household Resilience Study, Wave 1 June-July 2020 report can be accessed at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/955337/Household_Resilience_Study_Wave_1_June-July_2020_Report.pdf.
- The joint statement can be accessed at: https://www.nrla.org.uk/news/chancellor-must-act-to-tackle-rent-debt-crisis.
- The NRLA is calling for the development of interest free, government guaranteed hardship loans, paid directly to the landlord, to enable those unable to access benefit support to pay off rent arrears developed since lockdown measures started in March last year. Similar scheme have been developed in Wales https://gov.wales/scheme-help-tenants-affected-coronavirus-launches-wales
- A report published by the Resolution Foundation last month found that 56% of private renter families with arrears are not in receipt of benefits, leaving them ineligible for a Discretionary Housing Payment. https://www.resolutionfoundation.org/publications/getting-ahead-on-falling-behind/.
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In November 2020 Step Change, the Debt Charity published a report on tackling debt built as a result of the pandemic. It can be accessed at: https://www.stepchange.org/Portals/0/assets/pdf/tackling-the-coronavirus-personal-debt-crisis.pdf.
