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Nine in 10 councils expect surge in homelessness once protection measures are pulled
Nine in 10 councils expect a surge in homelessness once protection measures for families struggling during the pandemic are withdrawn.
The District Councils’ Network (DCN), which represents 180 local authorities, called on ministers to increase Local Housing Allowance (LHA) rates to prevent hardship while the furlough scheme and eviction ban come to an end.
In a survey of members, the DCN found that 87% expect sharp increases in homelessness should these measures be pulled.
A moratorium on bailiff-enforced evictions will be lifted at the end of this month, while the furlough scheme and £20-a-week boost to Universal Credit will no longer be in place after September.
Minimum possession notice periods, which have been extended during the pandemic, are also set to return to two months from October.
LHA rates, which determine how much private renters can claim in benefits to help with their housing costs, were raised in March 2020 to reflect the cheapest third of rents in each area.
But they were frozen again from March this year onwards.
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Giles Archibald, better lives spokesperson at the DCN and leader of South Lakeland District Council, said: “The coronavirus crisis has hit many people hard and the economic impact will continue to be felt for some time.
“Therefore it is vital that as we come out of the pandemic, we don’t rush to unravel the unprecedented level of support the government rightly provided to protect families at risk of hardship and homelessness.
“Everyone understands interventions like the furlough scheme and eviction ban cannot continue forever, but we cannot pull them all away overnight either.
“The government must retreat carefully from these big national interventions, while equipping local district councils with the funding and flexibility to solve problems before they grow in impact and cost.”
The DCN called for the furlough scheme to be phased out for different sectors over varying periods to help protect those employed in the hardest-hit sectors.
It also recommended a “flexible prevention pot” to help district-level local authorities support people in debt.
The body’s survey of councils also found that nine in 10 have seen an uptick in the use of foodbanks in their area during the pandemic, while nearly half have needed to carry out more mediation work with landlords to prevent evictions.
Earlier this month ministers introduced a new ‘Breathing Space’ scheme, which will give tenants facing financial difficulties 60 days’ protection from being chased over rent arrears to get back on track.
But the National Residential Landlords Association has said the government must do more to help tenants pay off arrears built up during the pandemic.
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