Government announces support package for vulnerable renters

Low-income households that have been struggling due to the impact of the pandemic will benefit from a £65m support package, announced by the Department for Levelling Up, Housing and Communities.

The funding will be given to councils in England to help prevent homelessness and support low-income earners in rent arrears to recover.

The funding builds on the £500m Household Support Fund, which was announced in September to help vulnerable households with the cost of food, energy, water and other essentials.

Minister for rough sleeping and housing, Eddie Hughes MP, said: ‘We have taken action throughout the pandemic to support the most vulnerable families, and it is vital we continue to provide support as we enter the winter months. This new funding will support families that are struggling and help to get them back on their feet as we begin to recover from the COVID-19 pandemic.’

In response to the support package announcement, Katie Schmuecker, deputy director of policy and partnerships at the Joseph Rowntree Foundation (JRF), said: ‘The build-up of rent arrears among households on low incomes is a huge problem and one of the clearest signs of the unequal impact the pandemic has had, so we are pleased to see the Government respond to this issue. The funding announced today will be vital in preventing people from going through the traumatic experience of being evicted and potentially becoming homeless.

‘£65m has been announced today but we estimate that the group this support is targeted at has built up around £440m of rent arrears. With the cost of living continuing to rise sharply and households on low incomes still reeling from the huge overnight cut to Universal Credit, without further action this problem is only likely to grow despite the support announced today.

‘Until we address the fundamental inadequacy of social security support, we will continue to see families at the sharp end swept into poverty and homelessness. We urge the Government to reinstate the £20 in Universal Credit at next week’s Budget, as well as relinking housing benefit to local rents.’

In related news, the number of low-income households in arrears has tripled since the start of the pandemic, finds large-scale analysis by the Joseph Rowntree Foundation (JRF).

Photo by Daniel Thomas