Page 11 - Solving Housing Disputes

1.3 Other policies have increased pressure on the housing and dispute resolution
systems. Private landlords are increasingly reluctant to rent to those on Universal
7
Credit, adding to demand on a social housing sector with limited stock. We were
informed that same benefit was often a driving source of rent arrears,
homelessness and possession cases before the courts. Austerity has bitten hard.
8
Over the past decade, homelessness has more than doubled, putting further strain
9
on the sector. Local authorities are struggling to discharge homelessness duties
10
and provide enough housing, facing an influx of need with diminished resources.
Some have adopted gatekeeping practices that turn people at risk of homelessness
away.

eviction within 6 months, Poll and Rodgers, note 4 above p. 9 available at https://www.citizensadvice.o
rg.uk/Global/CitizensAdvice/Housing%20Publications/Touch%20and%20go%20-%20final.pdf

7 The Residential Landlords Association told us that an increasing majority of landlords was unwilling
to let a property to someone in receipt of Universal Credit. This is primarily because most landlords with
Universal Credit tenants reported rent arrears in the last 12 months (61%). The Association also told us
that the number of landlords unwilling to rent to Universal Credit tenants is likely to increase in the
future, with 84% of landlords set to become more restrictive in who they let to if section 21 notices are
removed, https://research.rla.org.uk/wp-content/uploads/Possession-Reform-in-the-PRS-July-2019-
1.pdf

8 Between 2010 and 2018, homelessness increased by 165%, see Ministry of Housing, Communities and
Local Government, Rough Sleeping Statistics Autumn 2018, England (Revised), available at https://asse
ts.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/781567/Rough_
Sleeping_Statistics_2018_release.pdf and Rough Sleeping Statistics Autumn 2017, England (Revised), a
vailable at https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_dat
a/file/682001/Rough_Sleeping_Autumn_2017_Statistical_Release_-_revised.pdf Though homelessness
decreased by an estimated 2% in 2018, it was against the background of a 15% increase in 2017.

9 By virtue of the Homelessness Reduction Act 2017. 12% of local authorities recently surveyed said
shrinking resources meant they were in danger of being unable to meet their statutory obligations, ‘State
of Local Government Finance Survey 2020’, (Local Government Information Unit, February 2020)
available at https://lgiu.org/wp-content/uploads/2020/02/LGIU-State-of-local-government-finance-
2020.pdf NAO research suggests that in 2015/16, local authorities spent £1.1 billion on homelessness,
with £845 million attributable to expenditure on temporary accommodation, National Audit Office
(2017) Homelessness: A Report by the Comptroller and Auditor General. London: National Audit Office
available at https://www.nao.org.uk/wp-content/uploads/2017/09/Homelessness.pdf

10 There has been a 49.1% reduction in Government funding for local authorities between 2010-11 and
2017-18, a 45.6% fall in spending by local authorities on housing services overall, and a 69.2% reduction
in spending on the Supporting People programme (which provides housing-related support to vulnerable
people): see National Audit Office, Financial sustainability of local authorities 2018 (8 March 2018), p.
4 and 7 respectively, available at https://www.nao.org.uk/wp-content/uploads/2018/03/Financial-
sustainabilty-of-local-authorites-2018.pdf

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