MPs call for roadmap to help tenants in debt

The government needs to establish a system to help renters who have amassed significant rent arrears during the Covid-19 pandemic, according to a cross-party group of MPs.

The report by the housing, communities and local government select committee argues helping tenants pay their rent arrears will be the simplest and most straightforward way to avoid evictions and help landlords receive income.

According to the committee, the potential cost of between £200m and £300m would prevent more people becoming homeless.

The report also praises the efforts of all involved in ensuring the Everyone In strategy got people off the streets and into accommodation during the early months of the pandemic.

However, it warns after initial successes it had become too easy for people to fall through the gaps. Individuals with no recourse to public funds due to their immigration status were not always being given the support they needed, and the government did not have a good enough understanding of the numbers affected due to poor data collection.

The committee calls on the government to clarify the legal powers of local authorities to support all rough sleepers and homeless individuals during public health crises, and provide the necessary financial support to ensure no-one falls through the gaps.

It additionally calls for the government to establish a taskforce to specifically address the impact of no recourse to public funds on homelessness, or risk failing to meet its manifesto pledge to end rough sleeping.

‘The ongoing crisis of rent arrears in the private rented sector is deeply concerning,’ said committee chair, Clive Betts.

‘The economic consequences of the pandemic could be long-lasting and become even more severe. The ban on evictions has ensured that people remain in their homes for now, but the debt will continue to increase. Landlords, many of whom only own one or two properties, will also be struggling with a loss of income.’

In response, a MHCLG spokesperson said: ‘Everyone In is still ongoing and for the committee to suggest otherwise is misleading. We have spent over £700m this year and are spending £750m next year on tackling homelessness and rough sleeping. We are also working with partners to learn any lessons from the pandemic and as part of our ambitious plans to end rough sleeping for good.

‘We’ve acted to give renters robust protection during the pandemic, with longer notice periods of six months and banning bailiff enforcement of evictions for all but the most serious cases until 31 May.’

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