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Orbit joins list of housing associations ditching fixed-term tenancies for lifetime agreements
Orbit is set to become the latest housing association to scrap fixed-term tenancies in favour of a return to lifetime tenancies.
The 43,000-home landlord will consult with its tenants over the plan with a view to implementing the switch by next April.
The Coventry-based group, which has properties across the Midlands, the East of England and the South of England, said the move is to “encourage sustainable, thriving communities and reduce short-term rentals”.
Inside Housing revealed in March that Orbit, which has 11,000 residents on fixed-term tenancies, was reviewing its policy.
The tenancies were introduced in 2011 as part of the Localism Act in a bid to give landlords more flexibility. The agreements, which usually last at least five years, mean that a landlord will review whether to renew a tenancy after that period.
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However a growing number of associations – including L&Q, Sanctuary, Peabody and Optivo – have been turning their backs on fixed-term contracts.
Paul Richards, Orbit’s group customer services director said the move aligned with its mission to “create sustainable communities”
He added: “We want our customers to be secure in the knowledge that they will have a home for as long as they wish.
“This was not always guaranteed with fixed term tenancy; therefore putting an end to the usage of this type of agreement across our property portfolio is a welcome change.”
As part of the switch, Orbit said that its residents will be subject to a one-year probationary period to ensure they can “pay their rent, take care of the property and be good neighbours”.
After that, their contract will be changed to an assured tenancy agreement, the group said.
Many of the housing associations that responded to an Inside Housing survey on the issue earlier this year cited uncertainty for tenants and extra work for frontline staff as key reasons fixed-term tenancies were not working.
