FLAGSHIP:MANY TENANTS RISK NOT BEING ABLE TO AFFORD THEIR RENTS
- 21 Oct
"The National Housing Federation is calling on the government to allow housing associations to set their own rents", reports Inside Housing.
Research put together by Flagship Group and carried out by Sheffield Hallam University made some findings.
The report , How Affordable is Affordable Housing? looked at 2,628 weighted responses from its tenants to a survey and made the following findings:
- 32% of its 20,000 tenants risk not being able to afford their rent if they are faced by further welfare reforms or other sudden changes to their circumstances
- Any negative changes to the financial circumstances of this group like further welfare reforms, could significantly increase the proportion of tenants with unaffordable rent
- One in five tenants had a rent contribution of over 35% of their total household income
- Measures such as these were "arbitrary" and "too insensitive to normal circumstances especially for low-income groups in social rented accommodation, that are likely to require different levels of incomes after housing costs compared to other groups
- The group most likely to have unaffordable rent was shared ownership tenants
- Just 3% of its tenants were likely to take up the voluntary Right to Buy
- 5% of respondents were likely to be affected by the Pay to Stay
- It was recommended that the housing association review its lettings policy to ensure it is renting to a "sufficient" proportion of people with higher incomes and retired households that are not on pension credit
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