Agenda item

Cabinet Member for Homes and Customers

5.05pm – Update on Housing Allocations Policy

Minutes:

The Cabinet Member for Homes and Customer and Assistant Director – Housing attended to provide an update on the Allocations and Transfer Policy following review of the policy in 2015 and implementation of the changes in 2016.

 

The Assistant Director reported that the majority of changes to the policy had been successful however two of the changes had raised additional issues which required revisions to the policy.

 

The 12 month residency requirement was introduced to ensure that the Council’s housing stock was utilised to meet the housing need of existing residents of the borough or those who had employment in the area. It was successful in limiting the number of properties being let to out-of-borough applicants, however it had also resulted in a marked increase in the number of long term empty/void properties. Solutions were trialled including allowing North East Derbyshire and Bolsover District residents on to the housing register for hard to let properties, decorating hard to let flats and advertising on Rightmove. Since these actions were implemented in October 2017, the number of void properties has reduced providing an increase in rental income. In addition, the 12 month residency and employment criteria would be reviewed whilst ensuring preference is still given to Chesterfield Borough Council (CBC) residents.

 

The pre-allocation risk assessment was introduced to tackle the increasing number of failed tenancies due to rent arrears. However, the minimum income level was not specified in the policy itself and therefore unable to be applied. Following the introduction of Universal Credit, there had been an increase in applicants being offered tenancies when their overall income did not cover their rental amount however they cannot currently be refused a tenancy on the basis that it is unaffordable. The Assistant Director advised that a full financial risk assessment to properly assess affordability would be proposed to ensure tenancies were only offered where there is a likelihood of success and to allow the correct support to be put in place to achieve this.

 

The Assistant Director provided a summary of other issues and proposals to address these including:

·        introducing new conditions on existing tenants transferring from one property to another;

·        procuring a new IT system for the delivery of Choice Based Lettings to offer a simpler method of managing applicants’ priorities;

·        aligning the bedroom age limits with the welfare benefits criteria;

·        changing policy wording to make pensionable age limits clearer;

·        updating bedroom rules during pregnancy;

·        introducing an equity/asset level for applicants;

·        closer alignment with the adaptations policy.

 

In response to members’ questions, the Assistant Director advised that there were approximately 1200 applicants on the waiting list at present and a turnover of 1000 houses per year. CBC would have to demonstrate its need in order to secure funding from the government to meet the housing demand. CBC was working with neighbouring authorities to understand where their demand and surpluses were.

 

The Homelessness Reduction Act would be introduced from April 2018 placing an obligation on CBC to assist anyone who approaches the Council. Legal tests would still be in place to determine intentional homelessness however the Allocations Policy needed to work with the new legislation and the right support mechanisms put in place.

 

Members asked when the new system for managing applicants’ priority would be implemented. The Assistant Director advised that the intention was to implement the new priority system in conjunction with the new IT system which would bring additional benefits including allowing online applications and amendments and providing an electronic system for processing homelessness applications. The Assistant Director added that the recommended changes to the policy would not be introduced until a public consultation and review of the feedback had been undertaken.

 

The Chair thanked the Cabinet Member and the Assistant Director for providing the update and answering their questions.

 

RESOLVED –

 

1.   That the update be noted.

 

2.   That the review of the Allocations and Transfer Policy be considered for inclusion on the next work programme at the Scrutiny Work Programming sessions.