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Reclaiming empty homes can help us solve the housing shortage
Newcastle City Council has awarded £675,000 in grants to owners of empty homes to encourage them to bring the properties back into use. Jane Streather explains why
While the government talks about a housing crisis and introduces one housing scheme after another, in Newcastle we’re taking an innovative approach to tackle the housing shortage by bringing empty properties back into use.
Social and economic factors such as low incomes and a transient population have led to high levels of empty properties in the UK. As around 1,200 of those empty properties are in Newcastle, we’ve introduced a scheme to help turn these empty houses into homes.
While some may wonder why we spend money on houses we don’t own, the evidence shows that for every £1 we’ve spent the owners have invested another £5.50 into the property, bringing benefits for the whole community.
A property could be left empty for many reasons. It could have fallen into negative equity, it may need repairs the owner can’t afford, or it might have been inherited by someone who isn’t sure what to do with it.
But whatever the reason, an empty house is a wasted resource that brings no benefit to the owner. An empty property can be an eyesore, have a negative impact on the neighbourhood and lead to anti-social behaviour, which is why a proactive approach to helping owners turn empty houses into homes is so important.
“An empty house is a wasted resource that brings no benefit to the owner.”
In 2012, Newcastle City Council secured funding from the Department for Communities and Local Government (DCLG) to establish a grant and loans scheme in four areas of Newcastle. We soon saw the benefits of the scheme and extended it to cover the whole city, with funding in place until 2020.
In the past year alone we have proactively contacted the owners of 1,600 empty properties, provided 1,200 owners with advice and support, and helped bring 600 empty houses back into use – with some benefitting from financial assistance.
Empty homes incentive grants aren’t about the council handing over money and then walking away – because to qualify, the owners must meet the strict criteria set out in the Newcastle Housing Accreditation Scheme.
By making sure houses meet these standards we don’t only provide a range of good quality, well-managed homes, but also help create safe and settled communities that meet our residents’ diverse needs.
We know that the longer a house is empty, the harder it is to bring it back into use. It can take a considerable amount of time and support to find a way forward and empty homes incentive grants are only part of our empty homes strategy. Only 10% of the 600 empty properties we turned into homes last year received grants.
Our success is related to a range of other support services. Our Tenant Finder Service and Rent Deposit Scheme match landlords with tenants and provide advice to help owners resolve the issues stopping them from deciding what to do with their empty houses.
While the offer of financial assistance is key to engaging with the owners of empty houses, if they refuse to work with us we will take enforcement action if their property is causing problems. But enforcement action is a long and costly process that doesn’t always resolve the problem, so grants and loans are often the best option for everyone.
Jane Streather, cabinet member for housing and public health, Newcastle City Council
