Under occupation proposals will cost 1,000s

Lord Best’s amendments would reflect the reality of people’s everyday lives by ensuring ‘under-occupation’ is defined in line with existing DCLG* guidance, which states homes should be allocated on the basis of the ‘Bedroom Standard plus one’.  Under this definition, under-occupation occurs only where more than one bedroom above the Standard is deemed to be ‘spare’.

At present Government plans to introduce new rules on ‘under-occupation’ in social housing.  Across the UK some 670,000 tenants on housing benefit could see a cut in their support of around £670 a year from April 2013 onwards if they have a room above the minimum allowed.  If Lord Best’s amendments are agreed the number affected would be reduced to some 150,000.

NIFHA’s Chief Executive, Chris Williamson, commented:

“The reforms proposed by Government do not take into account the many uses a spare room could have, including a bedroom for foster children, a space for relatives or carers to stay, or allowing teenage children their own space to do homework. 

“If these proposals are agreed they will push thousands of people in Northern Ireland living in social housing into hardship or out of their homes.  This is why NIFHA, in conjunction with the other housing Federations in the UK, have contacted Members of the House of Lords (Peers) asking them to attend the Report Stage of the Welfare Reform Bill and to vote in favour of Lord Best's "under-occupation" amendment.”

In Northern Ireland people would see a cut in their benefit with no prospect of being able to move to a smaller social rented home as there is a limited supply of decent, affordable one bed properties.  We believe in rural areas people may have to move miles away to find a smaller home with some moving to the private rented sector where the rent (and therefore the benefit bill) will be higher. 

Ends

Further Information
Chris Williamson
Chief Executive
T: 028 9023 0446  M: 078 6646 6119

Notes:
*  DCLG - Department for Communities and Local Government
** DWP Impact Assessment: Under-occupation of social housing (Feb 2011)

NOTES TO EDITORS

Since the Second Reading of the Bill in the Lords (13 Sept), Welfare Reform Minister Lord Freud has made the following commitments on under-occupation:

• People in supported and sheltered housing ‘will not be affected’ by the under-occupation penalty. 
• The Government will ‘consider’ protecting would-be foster parents who want to use a spare bedroom for a foster child
• The impact of the under-occupation penalty will be independently monitored and evaluated under a two-year programme.

About NIFHA and our members

• NIFHA represents, promotes and supports housing associations in Northern Ireland.
• There are 31 registered Housing Associations in NI, all of which are members of NIFHA and a further six non registered associations are also members.
• Housing associations manage nearly 36,000 units of accommodation - over a quarter of all social housing in NI.
• Since 1998 housing associations have provided virtually all new social housing in NI.
• In the financial year 2010-11 housing associations achieved a record 2,418 starts. 
• Collectively, since 1991 housing associations have taken out over £626.2million of private finance to assist with social house building. 
• 21,000 householdsin NI have been assisted with purchasing their own homes through Co-ownership. In the financial year 2010-11 Co-ownership had 492 in contract to purchase and 121 homes where clients stair-cased to full ownership