New Deal for Renting – Government’s Response (June 2022)

1.  The Government’s  White Paper: A Fairer Private Rented Sector (June 2022)1White Paper Paper A Fairer Private Rented Sector (June 2022) was published in June 2022. 

2. Published alongside it was the Government’s response to the 2019 consultation on abolishing “no fault” evictions under section 21 of the Housing Act 1988 – A New Deal for Renting – Resetting the balance of rights and responsibilities between landlords and tenants: Government Response.2 A New Deal for Renting Resetting the balance of rights and responsibilities between landlords and tenants (June 2022). This document provides more detailed proposals arising from the abolition of section 21 including exceptions to be made for supported accommodation providers.

3.  The table below contains extracts from the response that relate to the supported housing sector.

A New Deal for Renting – Government Response – supported housing extracts


Introduction
Para. 4 in Government Response

On 21 July 2019, the government launched a twelve-week consultation seeking views on how Section 21 had been used, and how and when landlords should be able to regain possession using reformed Section 8 grounds. This consultation also sought views on the implications of removing assured shorthold tenancies and whether the reforms should be extended to other types of landlords, including private registered providers of social housing and providers of supported accommodation.

Supporting vital sectors
Para. 20 in Government Response

In some sectors, regaining possession is vital to offering support services or ensuring businesses continue to be viable. We will provide new, specialist possession grounds to support providers of temporary and supported accommodation. 

Prioritisation
Para. 87 in Government Response

The Government recognises the importance of both landlords and tenants’ access to efficient justice, particularly in cases which are causing significant mental or physical harm to the tenant, housemates, landlord or community. Expedited repossession is also necessary to ensure specific sectors can continue to function. We will work with the Ministry of Justice to review the time taken for first possession hearings to be listed by the courts for the anti-social behaviour, supported accommodation and temporary accommodation grounds. This is subject to approval by the Civil Procedure Rule Committee and possible consultation.

Chapter 3: Supporting vital sectors
Para. 98 & 100 in Government Response

Our reforms will have a vital role in levelling up communities around the country and will affect many people and organisations outside the traditional Private Rented Sector. This includes private registered providers (PRPs) of social housing, supported housing, the homelessness and student accommodation sectors, as well as agricultural and religious organisations. We have analysed the responses to the consultation and worked closely with these sectors to consider the impact of our reforms, and will continue to consult stakeholders as we prepare and implement legislation.

Stakeholders have rightly stressed that their sectors sometimes need to take back possession for reasons not covered in existing grounds for possession. This includes where housing is being provided temporarily for emergency situations, or it would not be safe or viable to continue the tenancy, for example in the supported accommodation sector.

Supported Accommodation
Paras 108 & 109 in Government Response

Supported Accommodation is housing that is accompanied by a support or care element. According to the 2016 Supported Accommodation Review, around 200,000 people live in supported housing at any one time, and 76% of providers of supported accommodation are private registered providers who use ASTs in many cases.

Non-PRS housing providers have expressed most concern about the impact of these reforms on the supply of supported accommodation. The sector provides a wide range of housing for residents with diverse needs, who may be vulnerable or at a critical life stage. Funding or support elements can change at short notice, and providers need additional flexibility to continue to provide property safely. Stakeholders have been very clear that they need to be able to regain possession to prevent accommodation remaining occupied by individuals for whom it is not appropriate, and to maintain the viability of providers.

New, limited ground(s) for possession for providers of supported accommodation
Para. 110 in Government Response

We will introduce new, limited ground(s) for possession for providers of supported accommodation covering clearly defined circumstances that have been identified in discussion with the sector. These will include where:

• The tenancy was intended to be short-term from the outset and that term has come to an end
• The funding or support element has ended naturally or dropped away unexpectedly, or been reconfigured so it no longer meets the tenant’s safety and wellbeing needs
• The support is no longer in line with tenant’s needs, which may have increased or decreased, meaning the arrangement is no longer safe or necessary for the resident
• The tenant is not engaging with the support
• A shared housing arrangement has undergone significant changes (e.g., tenants moving out) and its closure or reconfiguration is necessary for the feasibility of the scheme

Mainly mandatory grounds
Paras. 111 & 112 in Government Response

These grounds will be mandatory, with the exception of when the tenant is not engaging with the support, where there is particular scope for differing views between parties. We will continue engaging with stakeholders ahead of legislation to refine our proposals, including on how to define who can use the new grounds.

Stakeholders from the supported housing sector have also raised concerns about the complexity and length of time associated with taking possession through the courts. The notice period for the new ground(s) will be one month, and we will work with the Judiciary to review the time taken for first possession hearings to be listed by the courts for these cases.

Superior Leases
Para. 124 in Government Response

We will introduce a mandatory ground that will allow landlords to regain possession when a contractual lease is ending. To avoid misuse of this ground, we will allow only PRPs, providers of supported accommodation and specific agricultural businesses to use it. We are interested to hear from any other stakeholders who may need to access this ground.

A Grounds for possession
Annex A in Government Response

Landlord Circumstance Grounds
• A superior landlord requires vacant possession
• Mandatory
• 2 months
• Use of the ground is limited to private registered providers of social housing, providers of supported accommodation, and agricultural landlords where a superior lease/tenancy has come to an end and the superior landlord requires vacant possession to fulfil the terms of that lease/tenancy.

Grounds for Specialist Sectors
Annex A in Government Response

• Supported Accommodation
• Mandatory
• 4 weeks
• The ground will be restricted to landlords who are providers of supported accommodation and can be used when the tenancy was only intended to be short term, the funding/support element has ended or no longer meets the tenant’s needs, or a shared housing arrangement has undergone significant changes.

Grounds for Specialist Sectors
Annex A in Government Response

• Supported Accommodation
• Discretionary
• 4 weeks
• The ground will be restricted to landlords who are providers of supported accommodation and can only be used where the tenant is not engaging with the support on offer.


Notes   [ + ]

Projected units of supported housing by client group in England, 2015-2030

Research commissioned by DCLG and the Department of Health  identified a need for an increase of:

  1. 35% in the number of supported housing units for older people in Great Britain (from 460,000 units in 2015 to 625,000 units in 2030);1Wittenberg R and Hu B (March 2017) Projected Demand For Supported Housing In Great Britain 2015 to 2030 London School of Economics, page 2
  2. 16% in the number of supported housing units for younger adults (from 190,000 in 2015 to 220,000 in 2030).2Wittenberg R and Hu B (March 2017) Projected Demand For Supported Housing In Great Britain 2015 to 2030 London School of Economics, page 2

Projections for units of supported housing by client groups in England are set out below.

Projected units for older people

Projected demand for supported housing in Great Britain 2015 to 2030 commissioned by the Department of Health (DH), on behalf of the Department of Communities and Local Government (DCLG), from the Policy Research Unit in Economics of Health and Social Care Systems (at the University of York, LSE and University of Kent), PSSRU Discussion Paper DP2931 (Mar 2017) Table 2: Projected units of supported housing by client group in England, 2015-2030 (Base case, in thousand units) page 6.

Projected units for people with a learning disability

Projected demand for supported housing in Great Britain 2015 to 2030 commissioned by the Department of Health (DH), on behalf of the Department of Communities and Local Government (DCLG), from the Policy Research Unit in Economics of Health and Social Care Systems (at the University of York, LSE and University of Kent), PSSRU Discussion Paper DP2931 (Mar 2017) Table 2: Projected units of supported housing by client group in England, 2015-2030 (Base case, in thousand units) page 6.

Projected units for working-age people with a mental health problem, physically disabled, sensorily impaired or single homeless

Projected demand for supported housing in Great Britain 2015 to 2030 commissioned by the Department of Health (DH), on behalf of the Department of Communities and Local Government (DCLG), from the Policy Research Unit in Economics of Health and Social Care Systems (at the University of York, LSE and University of Kent), PSSRU Discussion Paper DP2931 (Mar 2017) Table 2: Projected units of supported housing by client group in England, 2015-2030 (Base case, in thousand units) page 6.

Projected units for other working-age people

Projected demand for supported housing in Great Britain 2015 to 2030 commissioned by the Department of Health (DH), on behalf of the Department of Communities and Local Government (DCLG), from the Policy Research Unit in Economics of Health and Social Care Systems (at the University of York, LSE and University of Kent), PSSRU Discussion Paper DP2931 (Mar 2017) Table 2: Projected units of supported housing by client group in England, 2015-2030 (Base case, in thousand units) page 6.

 

Notes   [ + ]

Average rents and service charges in supported housing by client group (England PRPs only)

 

Date: 2014/15
PRP = Private Registered Providers

Source: Supported accommodation review - The scale, scope and cost of the supported housing sectorA report of research carried out by Ipsos MORI, Imogen Blood & Associates and Housing & Support Partnership on behalf of the DWP and the DCLG (Nov 2016) - Table B.8 Summary of rents and service charges (rounded) for Private Registered Providers in England (CORE 2014/15) by supported housing client group page 117.

Percentage of supported housing for different client groups by landlord type (England)

 

Fieldwork dates: 19 October – 2 December 2015
wdt_ID Client group HA LA Charity Other
1 Older people (65+) 76 18 3 3
2 Single homeless incl. rough sleepers 88 2 9 1
3 Homeless families 88 2 9 1
4 Vulnerable young people (16-25) 65 4 26 5
5 Learning disabilities 64 5 14 17
6 Physical disabilities 64 5 14 17
7 Mental health problems 72 3 17 8
8 Drug or alcohol misuse needs 88 2 9 1
9 Offenders 88 2 9 1
10 At risk of domestic abuse 88 2 9 1
11 Others incl. asylum seekers/ refugees etc. 74 3 15 8
Client group
Source: Supported accommodation review - The scale, scope and cost of the supported housing sectorA report of research carried out by Ipsos MORI, Imogen Blood & Associates and Housing & Support Partnership on behalf of the DWP and the DCLG (Nov 2016) - Table 3.4 Profile of supported housing by client group and landlord by country on page 45.

Annual HB per unit of supported housing

 

wdt_ID hbspendpapersupportedhousingunit England Scotland Wales
1 Country 6,300 6,900 5,800

As at December 2015
Source: Supported accommodation review - The scale, scope and cost of the supported housing sectorA report of research carried out by Ipsos MORI, Imogen Blood & Associates and Housing & Support Partnership on behalf of the DWP and the DCLG (Nov 2016) - Table 3.13 Summary of estimated annualised cost of HB for supported housing across Great Britain (as at December 2015) on page 60

Median number of vacant days prior to letting by client groups (Private Registered Providers – England only)

 

wdt_ID Client group Median number of days property vacant before new letting
1 Older people (65+) 21
2 Single homeless inc. rough sleepers 0
3 Homeless families 9
4 Vulnerable young people (16-25) 2
5 People with learning disabilities 41
6 Physically disabled/ sensorily impaired 20
7 People with mental health problems 17
8 Drug or alcohol misuse needs 2
9 Offenders 1
10 At risk of domestic abuse 1
11 Other 6
12 All client groups 7
13 All working-age client groups 2
Client group
Source: CORE social lettings 2014/15 (DCLG)
Source: Supported accommodation review - The scale, scope and cost of the supported housing sectorA report of research carried out by Ipsos MORI, Imogen Blood & Associates and Housing & Support Partnership on behalf of the DWP and the DCLG (Nov 2016) - Table 3.12 Median number of vacant days prior to letting by client group (Private Registered Providers England-only) on page 56
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