Finance News

Landlords Struggle to Rehouse Tenants Affected by Bedroom Tax

Em Morley - May 16, 2015

A recent survey has provided concerning findings regarding the knock-on effects for tenants affected by Bedroom Tax.

Landlords Struggle to Rehouse Tenants Affected by Bedroom Tax

Landlords Struggle to Rehouse Tenants Affected by Bedroom Tax

Concern

The Chartered Institute of Housing and Circle Housing Group recently surveyed 75 landlords and found many are facing huge obstacles in trying to downsize affected tenants. 96% of respondents said that they were trying to offer properties from their portfolio for tenants to move into, with almost 75% working with other social landlords.[1]

Over half of landlords questioned said that they were or are planning to offer financial incentives to try and encourage tenants to downsize. 89% are offering practical support to their tenants.[1]

Combat

In a bid to combat bedroom tax, almost 65% of landlords said that their allocation schemes had to change, with 88% offering increased priority to tenants offering to downsize. 16% said that they are reclassifying the number of bedrooms in their property.

Despite these offers, two out of three landlords said that they would only be able to rehome one in five of their affected tenants. A huge 96% said that the lack of available properties was their largest obstacle to rehousing.

Chief Executive of the Chartered Institute of Housing and Circle Housing Group, Grania Long, said: “This survey shows that housing professionals are working hard to try to mitigate the effects of the bedroom tax on their tenants.”

Long believes however: “^here is only so much they can do,” as “there are simply not enough smaller homes for all those affected to move into.”[1]

[1] http://www.insidehousing.co.uk/landlords-struggle-to-rehouse-bedroom-tax-tenants/6527699.article