A six-month bedroom tax ‘holiday'
- 31 Oct
A Welsh housing association is offering tenants a six-month ‘holiday' from bedroom tax due to rise in arrears since its implication.
Rhonnda Cynon Taff Homes have said that they will waive the bedroom tax element of 125 of their tenants' rent, if they take part in "back to work" training, reports Inside Housing.
The landlord, who has 10,000 homes, has committed £160,000 to fund the scheme and help its tenants downsize.
RCT Homes has 2,056 tenants affected by bedroom tax and 983 of these are in arrears. Of that number 504 were not in arrears before the introduction of the policy. This suggests that £151,768 of arrears has been generated by bedroom tax. Overall rent arrears are at 2.1%, which has risen from 1.2% at the end of March.
Andrew Lycett, RCT Homes' chief executive, said: ‘Whatever we do in terms of helping people maximise their income, the only real way people are going to sustain their tenancy is to move to work. We see this very much as an investment to save.'
Mr Lycett said that the scheme represented a "carrot and stick" approach and would be "untenable" not consider evicting tenants that fell into arrears. The scheme has been offered to tenants that the landlord believes are most likely to find employment as a result.
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