Thousands of households who receive housing benefit face discrimination and being denied access to rental accommodation, a new report suggests.
According to the Ministry of Housing, Communities & Local Government (MHCLG) around half of landlords say they would not be willing to let to tenants on housing benefits.
As a result, the government says it plans to investigate letting adverts that discriminate against would-be tenants on housing benefit.
With 4.5 million households in rented accommodation, and 889,000 of these in receipt of housing benefit, it is possible that thousands of vulnerable people could struggle to access the rental market.
Minister for family support, housing and child maintenance, Justin Tomlinson says: “Everyone should have the same opportunity when looking for a home, regardless of whether they are in receipt of benefits.
“With Universal Credit, payments can be paid directly to the landlord, and we continue to listen to feedback and work with landlords to improve the system.”
Minister for housing and homelessness Heather Wheeler MP adds: “I want everyone to have the security, dignity and opportunities they need to build a better life – at the heart of which is ensuring everyone can find a safe and secure home to call their own.
“I will also be meeting key stakeholders to tackle the practice of ‘No DSS’, to underline the need for immediate change.”
The Residential Landlords Association, which represents landlords across the country, says its own research has found that the average amount owed by tenants in receipt of universal credit increased from £1,600 n 2017 to just under £2,400 in 2018.
High street bank NatWest today also announced it was scrapping restrictions on landlords with buy-to-let mortgages from letting homes to benefit claimants. The RLA says its figures show two thirds of the largest buy-to-let lenders don’t allow landlords to let property to tenants receiving housing benefit.
Responding to the announcement, John Stewart, policy manager for the Residential Landlords Association says: “Landlords should not refuse someone solely because they are on benefits, and should consider prospective tenants on a case by case basis.
“But with growing numbers of benefit claimants now reliant on the private rented sector we need to do more to give tenants and landlords greater confidence in the benefits system.
“This means giving all tenants the right to choose if they want to have the housing element of Universal Credit paid directly to their landlord, working with bank lenders to remove mortgage terms that prevent landlords renting to benefit claimants and ending the Local Housing Allowance freeze which has meant benefits bear little resemblance to rents.”
Paul Wootton, director of home proposition at Nationwide Building Society, adds: “Everyone should be able to access a safe and secure home suitable for their needs. The continued presence of ‘no DSS’ restrictions in the private rented sector is unfair and denies this right to a significant group of people.
“Nationwide does not put this type of restriction in its buy to let mortgages and we urge others – lenders, agents and landlords – to act now to change this outdated practice.”
I have been renting in North Lincolnshire due to been a carer on only £60 per week have to rely on income support top up and obviously have to rely on housing benefit too after 7 years plus of renting the landlord has decided to sell the property never had any rent problems other than once when money wasnt paid in due to a technical glitch at council. Treat the property with upmost respect because it is my home however renting for 7 years with no issues means squat because as soon as you mention housing benefit it's a no go due to mortgage or insurance restrictions leaving us now till the first week in March 2020 with the prospect of been on housing benefit and a carer according to everyone I'm not good enough for their houses its disgusting to be honest. Leaving me in a total utter quandary because I cannot get no where that will accept housing benefit.
It’s direct discrimination and it should be illegal. As a full time Carer of a child who receives disability benefit, I am also disabled and qualify for income support and housing allowance/benefit. I rent privately and I have been refused properties at the outset. Some say their lenders won’t allow benefit claimants but this is an easy get out of jail free card as they have no onus to actually prove this is actually the case. The law needs to change. I just want a long term home for myself and children. Social housing is out of the question - it doesn’t exist anymore. It’s unfair to group everyone who is on benefits as unscrupulous scroungers who don’t want to live like normal human beings!
As a tenant on HB I have a…
As a tenant on HB I have a major issue with your sweeping generalisation!! I strive to keep my rented home nice but the landlady won’t repair dangerous items or flooring and I end up paying for it myself or threatening to leave. My rent is never late and always paid in full.
I also will add, as a Foster Carer I work 24/7 365 days a year (for very little pay!!)
My neighbours are constantly telling us how lovely we are and have hated when they had to sell up as they didn’t want to lose us as neighbours!!
I have a well trained and well behaved dog and an old boy cat who sleeps all day.
All these things are the complete opposite of your sweeping comments ... yet I still struggle to find a nice home to live in with my family (and yes, I am also a single parent, made so by a car accident when my child was a baby!!)
I’m not saying all HB tenants are like me but many more are than not.
We just need a chance to prove it sometimes 😞
This is just discrimination, not everyone on benefits spends all day in there homes, literary because we would go mad staring at four walls, plus not everyone has there friends round for hours everyday and there are those of us who are clean and respectable who knows how to look after a property, and don't have pets. If you were to give tenants like us a chance...maybe you would see for yourself. Plus there are people in work that are messy.
Never heard such dribble in all my life, tarring the unemployed as disrespectful dirty louts, my house is spotless, I live alone and don't have friends round causing noise making a mess and wrecking the place. Wear and tear is the same as working tenants. Cleaning products don't cost that much. And when my dog goes to the garden to toilet I clean up. I show respect to my neighbours but have found the ones that are in work are the ones with enough money to party play loud music all weekend and some of there houses are filthy. Not everyone who is unemployed has always been unemployed. Perhaps you just got bad tenants.
There is also discrimination against senior citizens even though their hb would be a regular gauranteed rent for the lanflords
I agree with Rosemary Jameson. I'm a tax paying OAP who gets a pension and dreaded housing benefit, I now live alone 300 miles from any family so have been trying to move back home...but any application for even a tiny 1 bedroom flat/converted shoe box is refused because of hb. When are the PLS going to stop this discrimination
Landlords are inailiably privileged people of true and great duplicity and unabounding greedy venal hypocrisy , btl was and is a greedfest a greedfest of self indulgent money georging to saturation point, property orgy, robbing poorer and decent people of therye rights, dignitys and humanity. Land lords generally are devoid of real humanity, they are privileged venal money grabbing gold digging inhumanists who always live very very very well compared to the poor that they religiously berate abuse etc. Btl is dying, its karma, you greede yourseves to the dying wall that is btl, theres never enough anything never mind money! You turd like greedy doxy dolts. You make pots of gold, hide it away, complain when your arses have to be put into a cramp to repair et blame any one else whol listen to your shameful self entitled rants, considering your advantage in life, i wonder who cares when a landlords property is whatevered, you make more than enough you fuedal old barrons. Just bog of and stop your belly aching just accept your natural fates, you had it too good for far in excess of toooooo long.