Why Social Housing?

A chronic under-supply of social housing

A previous serious shortage of housing stock has been exacerbated by the current economic climate, with little property development likely in the foreseeable future. This means there is a chronic under-supply of affordable, good quality, rented accommodation for the most vulnerable members of society.

Figures released by the Communities and Local Government Department on 22 January 2009 show 1.77 million households on local authority waiting lists in 2008, an increase on the previous year of 5.6%. This latest figure represents 8.4% of all households and is the highest number recorded since 1997.

The number of individuals on the waiting list is forecast to reach five million within twelve months, one million more than this year.  Local authorities are completely overwhelmed by the demand for housing, with reported waiting lists of up to six years, depending on the authority.  They have no choice but to prioritise claimants using a points system, with points awarded based upon their perceived needs. The most vulnerable people, e.g. those with mental health problems, older people, or those with dependent children, receive more points and will therefore be at the top of housing waiting lists. The resulting situation is that those with fewer points have no realistic chance of ever being granted a property. Turning to the private rented sector may not be an option, given the ceiling on housing allowance dependent on personal circumstances, meaning even modest rents can be unaffordable. In addition to this, many private landlords will no longer consider housing benefit claimants, as with benefits paid direct to the claimant, there is no guarantee rent will be paid. 

Leslie Morphy, chief executive of homelessness charity Crisis, called for “bold action”, adding that “Now more than ever we need an innovative and determined approach to tackle the lack of supply”.

A new approach was required.  LHA Network delivers that solution.