Agenda item

The Board considered a report of the Strategic Director, Communities which sought Members views on Halton’s Tenancy Strategy as a draft document for further consultation.

The Board was advised under the terms of the Localism Act local authorities had to develop a Tenancy Strategy setting out recommendations for the type of tenancies that should be offered in the local area, the length of those tenancies (if fixed term tenancies were proposed) and the circumstances in which they should be offered and renewed. 

The Board was further advised that the timescale for local authorities to develop their tenancy strategies was proposed to be within 12 months following enactment of the Localism Act (November 2011).  Consequently, Registered Providers (PRs) were able to start offering the new tenancies seven months before the local authority must develop an approach recommending whether and, if so, how they were used.  For this reason, officers have started to develop a Tenancy Strategy, on the understanding that it may need to be revised as a result of any guidance published following enactment of the Act.

It was reported that Officers had met with RPs in September 2011 to discuss their respective positions with regard to the use of fixed term tenancies.  It was clear that RPs were at different stages in terms of developing their own approaches, some more advanced than others, and in some respects were looking to the Council for a steer. 

After much discussion, including the role of Affordable Rents and the proposed Welfare Reforms in the equation, it was agreed that RPs would provide examples, together with copies of early drafts of any Board reports on affordable rent and tenancy policies.  The Council would then endeavour to pull together common themes with a view to developing a permissive rather than a prescribing strategy e.g. describing circumstances where it may be appropriate to use flexible tenancies.

In addition, it was reported that a Strategy had been drafted which allowed RPs to make use of the new fixed term tenancies should they wish to do so whilst at the same time making it clear that the Council’s preference was to maintain the status quo.  The Strategy, set out in Appendix A to the report, set the parameters for their use.  The minimum term for fixed term tenancies was proposed to be five years (in line with current Government thinking) but RPs could extend this period if they wished.

The Board noted the details of the Strategy set out in paragraphs 3.3.3 to 3.3.7 of the report.

The following comments arose from the discussion:-

·       It was noted that there was a lack of 1 and 2 bedroom properties to rent in the area.  In addition, it was also noted that a lot of the ageing population were currently living in 3 / 4 bedroom properties and were not in a financial position to downsize.  It was highlighted that any housing that was built would have to have affordable rent;

·       It was noted that there was no funding for new developments and alternative options would have to be explored to increase the number of1 / 2 bedroom properties in the area;

·       It was noted that Halton Housing Trusts rent had increased and it was now costing £95 per week to rent a three bedroom house, which was almost equivalent to a mortgage payment;

·       Concern was raised that Housing Benefit would be paid directly to the applicant in the future which could lead to rent arrears; and

·       It was suggested that conditions could be placed on future planning applications for the development of houses that they had a number of 1 and 2 bedroom houses and affordable rent.

RESOLVED: That the report and comments be noted.