Industry News


DWP changes Universal Credit direct payments to landlords


Direct rent payments to social landlords for tenants claiming Universal Credit can be paid on a monthly cycle in future following a change agreed by the Work and Pensions Department. The DWP has agreed to alter the way


it delivers Alternative Payment Arrangements (APAs), which sees the housing costs element of UC paid straight to landlords rather than being included in a claimant’s monthly allowance. APAs have traditionally been paid over


13 four-weekly cycles throughout the year, despite being deducted from tenants’ Universal Credit claims on a monthly basis. Social landlords have long complained that the system causes confusion because there is one four-week cycle where no APA money was released. A spokesman for the DWP said: “We


listen carefully to feedback about Universal Credit and continue to make improvements where necessary. We have heard the concerns of social landlords and have moved social landlord payments to a monthly cycle in 2019 as a result.” Jordane Shaw, policy officer at the


NHF, said: “This is a very positive change. We’re pleased the Government has listened to concerns and acted on them. This change will have a real impact on tenants, helping to minimise uncertainty and ensure the benefits system works well for claimants.”


Right to Buy ends in Wales


The legal right for Welsh council tenants to buy their homes at a substantial discount has come to an end. The Right to Buy was first introduced


by Margaret Thatcher’s government almost 40 years ago and since then more than 139,000 council homes have been sold in Wales. The Welsh Government scrapped the


RTB last January, but deferred the ban for 12 months to give tenants a last chance to become homeowners. Would be purchasers had to submit an application by the 26 January cut-off date to qualify.


right to buy for council housing, to allow the stock of low-cost housing to be built up. Figures released by the Ministry of Housing,


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Communities and Local Government have shown that between July and September 2018, councils in England sold 2,417 homes under the right to buy scheme, with 1,160 homes started or acquired to replace them during the same period. Since RTB discounts were increased in April


2012, some 72,929 homes have been sold, while just 20,746 have been started or acquired to replace them. Chartered Institute of Housing chief executive


Terrie Alafat said: “Not only are we failing to build enough homes for social rent – right to buy means we are losing them at a time when millions of people need genuinely affordable housing more than ever.


ACTION REQUIRED “Our research shows that we lost more than 150,000 social rented homes between 2012 and 2017 due to right to buy and other factors, and that figure will reach 230,000 by 2020 unless we take action now.” CIH analysis has shown that RTB is costing


councils £300 million a year. Cutting the discounts available by a third could lead to an extra 12,000 homes being built a year, CIH has calculated. But the organisation says the policy should be suspended altogether to stem the loss of social rented homes.


16 | HMM February/March 2019 | www.housingmmonline.co.uk


he leading body for professional staff working in the social housing sector has called on the Government to suspend the


Chartered Institute of Housing chief executive Terrie Alafat said: “Not only are we failing to build enough homes for social rent – right to buy means we are losing them at a time when millions of people need genuinely affordable housing more than ever”


Terrie Alafat said: “We support the principle


of helping tenants move into home ownership if that’s what they want, but it cannot be at the expense of other people in need. And we know that the Government is consulting on ways to make it easier for councils to replace the homes they sell under right to buy, which is welcome. “But we still believe ministers should


suspend the scheme to stem the loss of social rented homes, remove the barriers stopping councils from replacing homes sold and look at more effective ways to help people access home ownership.”


CIH calls for suspension of right to buy


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