Private landlords have recently decreased the amount of social housing they provide due to the fact that they think it is too risky, especially as new welfare reforms are soon coming into effect which means that housing benefits will no longer be paid directly to them. Even though some landlords have protected themselves against the new welfare reforms by investing in landlord insurance with a rent guarantee policy, there is still a large amount that is unwilling to help. Social housing providers are therefore struggling with the amount of vulnerable families they need to home, especially as it seems there are not enough properties for the amount of people needing help.
Social housing providers have claimed that they currently even have to place those without homes in bed and breakfasts for over six weeks as there is nowhere else they can stay, meaning that these families do not have a sense of belonging or stability in their lives. London Councils has therefore urged for there to be tax breaks for private landlords that offer their properties as social housing. A survey has shown that in the last year alone, almost twenty per cent of landlords have claimed that they would not be willing to rent their houses to those in need, so it is hoped the incentive of a tax break may change their minds.
Mayor Sir Steve Bullock, London Councils’ Executive Member for Housing, said: “While we need to address the long term housing shortage in London, we need to act now to tackle the acute housing crisis in the capital – primarily caused by the chronic shortage of temporary accommodation available for councils to place homeless Londoners. While local authorities have been doing their very best to mitigate the impacts, we need a concerted effort by central government departments and councils to take action to ensure a supply of good quality, affordable homes in the private rented sector. Londoners deserve to have safe, affordable and secure places to live. We hope to work alongside the government to make this a reality.”