Agenda item

Update on Private Rented Sector

Report of the Divisional Director of Housing.

Minutes:

The Sub-Committee received a report which set out the current activity in procuring private rented housing.

 

The Portfolio Holder for Adults and Housing introduced the item and made the following points:

 

·                    there were challenges in utilising the private rented sector for housing.  The Council had a small housing stock;

 

·                    the Council had a waiting list which was several years long.  There had been a change in allocation policy and those in the lowest category of priority had little change of obtaining housing;

 

·                    this was the reason why the Council sometimes had to use the private rented sector.  Currently there was extra demand for privately rented accommodation.

 

An officer also addressed the Sub-Committee and made the following points:

 

·                    utilising the private rented sector was an important option in preventing homelessness.  Historically the Council had always worked closely with landlords.  However there was now increased competition for private sector housing and the Council needed to match the incentives being offered to landlords by other councils.  All councils were now facing these pressures;

 

·                    there was a significant gap between market rents and Housing Benefit payments;

 

·                    the Council had developed a range of incentives to help compete.  These included a Tenant Finding Service and a Repair to Lease Service.  The Council also offered a Private Sector Leasing Service which meant that the Council acted as the Landlord and provided a guaranteed rent;

 

·                    the demand for and the difficulty in obtaining private rented properties arose from the new proposals relating to Welfare Reform.  This places a cap on Household Benefit.  This meant that the extra costs were being covered by the budget set aside for this;

 

·                    utilising Bed and Breakfast accommodation was not ideal because of the costs involved.  However sometimes they were useful in helping families that had a desperate need.

 

A Member queried if there was a property managed by the Council on behalf of a landlord and it required major structural work, who would pay for this.  The officer responded that any such works would still remain the responsibility of the landlord.  Other than these types of issues properties had to be returned to Landlords in a like for like condition except for normal wear and tear.

 

A Member also queried how tenants were protected from increases in rent and notices of eviction being served.  An officer stated that the Council worked closely with landlords to avoid this situation from arising.

 

A Member asked whether there was a correlation between the numbers of people utilising bed and breakfast accommodation and the number of properties available in the private rented sector.  The officer responded that there was a correlation because the greater number of properties in the private rented sector that the Council were able to utilise meant less reliance on bed and breakfast accommodation.

 

A Member also questioned the numbers of residents that the Council had placed outside of Harrow.  An officer responded that out of 208 placements, 40 had been placed outside London but only to a place where they had a link or interest.  This was only done because there was not enough local accommodation.

 

RESOLVED:  That the report be noted.

Supporting documents: