Decision details

To seek approval to standardise the methodology for charging rents on all accommodation currently owned or leased by the Council that is used as Temporary Accommodation (TA) and to introduce set charges for those clients placed in bed and breakfast and other nightly charged accommodation.

That the Portfolio holder:
a)Agrees to standardise the rent levels charged for all Council owned and leased temporary accommodation from the 1 April 2024 to ensure a consistent approach and methodology to rental charges for 1, 2 and 3 bedroom properties.
b)Agrees that the weekly rent level charged should be set by applying the relevant Local Housing Allowance rate as of 1 April 2024.
c)Agrees to introduce a weekly maintenance service charge of £10.00 per week for all Council owned and leased accommodation.
d)Agrees that 4 weeks’ notice is given in writing to current tenants informing them of the new rent levels.
e)Agrees that all new tenants placed in temporary accommodation are charged the new rental levels immediately.
f)Reconfirms that households that are not entitled to or do not claim Housing Benefit (HB) when placed in bed and breakfast accommodation or other nightly charged accommodation, are automatically charged a weekly rent of £98.08.
g)Reconfirms where the household does not receive the full entitlement of HB, a weekly rent amounting to the difference in their HB entitlement and the full rent of £98.08 is administered.

To ensure all TA is charged the same weekly rate based upon the size of the property.
To revise existing rent levels that have not been appraised or updated for several years.
To introduce a maintenance service charge which will part fund the ongoing essential works needed at the properties. This will ensure the homes remain compliant with Health and Safety Regulations and can be easily let once they become vacant and reduce void periods.

An alternative to the proposal at paragraph 2.1 would be to keep the Council owned and leased rents at their current levels. This option would not standardise the current rents meaning properties with the same number of bedrooms would continue to be charged different rates.
Alternatively, another option would be to increase the Council owned and leased rents proposed in paragraph 2.1 using May 2024 inflation rate of 2.0%.