Tag: housing

Charitable organisations welcome housing research report

The TDS Charitable Foundation and SafeDeposits Scotland Charitable Trust have welcomed a new report on compliance in the private rented sector produced by the UK Collaborative Centre for Housing Evidence (CaCHE) – part of a wider programme of work funded by the two charitable organisations.

The report, “Improving Compliance with Private Rented Sector Legislation”, explores how local authority enforcement and regulation in the UK’s private rented sector (PRS) could be improved.

The report details findings from 70 in-depth interviews with key stakeholders and professionals from 13 UK local authorities. The research finds considerable variation in stance, philosophy and approach to enforcement and compliance both across UK nations and also within them across local authorities.

The research was carried out by Dr Jennifer Harris, Professor Dave Cowan and Professor Alex Marsh of the University of Bristol – one of the 14 institutions in the CaCHE consortium which is led by the University of Glasgow.

The report makes a number of recommendations for UK policy makers, including:

  • Improving the data available to local authorities on the private rented sector.
  • Providing adequate funding to local authorities to allow them to develop appropriate and effective responses to the changing nature and context of the private rented sector.
  • Codification of the diverse legislative provisions which currently exist.
  • Providing sentencing guidelines to the criminal courts and tribunals to ensure that punishment is proportionate to the nature of the offence.

Professor Martin Partington CBE QC, Chair of the TDS Charitable Foundation, said: “With similar remits, both the TDS Charitable Foundation and SafeDeposits Scotland Charitable Trust work to raise standards in the private rented sector by advancing education on housing rights and obligations.

“This research is another example of the support we have given to many diverse and far-reaching projects within the rental industry. Together we are committed to bringing about a positive change that will benefit both renters and landlords.”

John Duff, Chair of the SafeDeposits Scotland Charitable Trust, added: “We are proud to support initiatives like this that support the work we do within the private rented sector.

“This is a comprehensive piece of research which we hope will stimulate debate across the industry, and ultimately create solutions to the issues identified as we work to continually improve the sector.”

The full report can be found at: https://housingevidence.ac.uk/publications/improving-compliance-with-private-rented-sector-legislation

The report has been published alongside two briefing papers:

Green light for Gilmore Place student accommodation

A planning application by S1 Developments for the St Joseph’s Nursing Home site at Gilmore Place has been granted unanimously – subject to conditions – by the city council’s Development Management Sub-Committee yesterday.

The committee voted in favour of a 230-bed student scheme, over 29 cluster flats, on the former Little Sisters of the Poor nursing home site. This C-listed main building includes a chapel.

The proposed project will see communal facilities installed in the retained and refurbished chapel, while existing east and west outbuildings and extensions will be demolished and replaced with new three storey accommodation around a retained landscaped courtyard. These buildings will be of high-quality stone and zinc and this will be a predominantly car free development with provision for 230 cycle parking spaces.

The proposal ensures an effective new use for a unique listed building and its grounds whilst causing the least possible harm.

The potential to deliver the site for another care home was not considered suitable for modern requirements, and upgrades to meet Care Commission standards were prohibitively expensive. Delivering housing was severely constrained by a number of factors including access constraints and the layout of the site.

The introduction of new build elements in order to deliver a viable proposal will only deliver  a 4 per cent increase in the current building footprint, while the delivery of a high-quality courtyard will see a 12 per cent increase in the green space.

The site is in an accessible location and close to university facilities.

Provision of new purpose-built student accommodation (PBSA) will support the growth and development of the higher education sector in Edinburgh. In doing so it will increase the range and choice of accommodation offered to students.

The current ratio of approximately three students per one bed space in Edinburgh, demonstrates the demand for new purpose-built student accommodation (PBSA).

A spokesperson for S1 Developments, said: “I’m delighted with the decision taken today by councillors. As an Edinburgh-based family company, we are thrilled to see this exciting project given the green light and look forward to breathing new life into this former nursing home.

“Redevelopment will restore the existing care-home building into high quality student accommodation, allowing the retention of the central chapel in its existing form.

“We look forward to getting these proposals underway and to continue working with council officials and the local community to deliver them.”

Urban Union sees an increase in new home reservations during lockdown

Since lockdown began at the end of March, Urban Union – a construction company which delivers large-scale, housing-led regeneration projects across Scotland – has handed over 23 properties and secured 52 reservations at its developments in Glasgow, Perth and Edinburgh.

To ensure none of its clients found themselves homeless during the coronavirus pandemic which put much of the UK housing market on hold, Urban Union has been using key safes, hosting video demonstrations and conducing handovers via FaceTime in order to continue operations in line with social distancing guidelines.

Urban Union, which is part of Robertson, one of the largest family-owned construction, infrastructure and support services businesses in the UK, has also been providing advice to those moving on how to do so responsibly to respect social distancing measures.

Neil McKay, Managing Director of Urban Union, said: “Coupled with the raising of the Land and Buildings Transaction Tax threshold for residential properties, it’s a promising sign for the industry that we have continued to see strong interest from new homebuyers.

“Despite the economic uncertainty and temporary hold on the property market, the extra time we’ve been spending at home has given many people the opportunity to reflect on what they want from their living spaces.

“Whether it’s extra room to work from home more comfortably or access to an outdoor space, many people will have re-evaluated their priorities when looking for a new place to call home and this has been reflected in the interest we have received over the last few months.” 

Urban Union currently has a collection of properties ready to be called home at Muirton Living in Perth.

The Anderson and the Grant at Muirton Living in Perth are one-bedroom apartments perfect for first-time buyers ready to get onto the property ladder, with prices starting from £105,000. Featuring a bright open-plan kitchen and lounge, the properties also benefit from wide hallways, a spacious bathroom and built-in storage throughout, giving a real sense of modern living.  The development also sits close to a number of shops and offers good transport links for those commuting to Perth city centre and Dundee.

Key workers interested in buying a new home at the Muirton Living development are also eligible to receive up to £2,500 from Urban Union as a thank you for their help and dedication during the COVID-10 crisis. 

The Ross and the Adam at Pennywell Living in Edinburgh are one and two bedroom apartments available from £140,000. 

Located only a few miles from the centre of Edinburgh, the development is ideal for those who work in the city centre with good bus services to and from the area. With a selection of primary and secondary schools, as well as a wealth of useful amenities in the area, the development would suit young professionals and families.

At Urban Union’s newest development – Pollokshaws Living in Glasgow’s Southside – there are a number of apartments available, including The Stewart, a one bedroom apartment priced from £160,000.

In addition, there are three types of two bedroom apartments – The Glen, The Collins and The Monteith – all of which start from £175,000.

For more information on the properties available, please visit

www.urbanunionltd.co.uk

Pay rises – but house prices rise higher

The team at Coulters Property have looked into the housing landscape for first-time buyers to discover how much you would need to be able to afford a 10% deposit around the country, how much this is as a percentage of average annual income, and how this has changed over the last 20 years.

https://www.coultersproperty.co.uk/first-time-buyer-changes

Scotland First Time Buyer Landscape (1999-2020)

1999202010 YEAR DIFFERENCE (£)10 YEAR DIFFERENCE (%)
House Price£49,924£152,469£102,545.00205.40%
Deposit£4,992£15,247£10,255205.43%
Earnings£16,914£30,000*13,08677.37%
Deposit % Earnings29.50%50.70%21.20%

*2019 earnings data used


You can clearly see that in Scotland, house prices have risen by 205.40% but earnings have only risen by 77.37%. The deposit as % of earnings has increased by 21.20%.

How Has Housing Affordability Changed in the UK?

  • In 1999, the average house price in the UK was just £77,961. Fast forward twenty years and that figure has almost trebled, to £230,735.
  • At the same time, the average income has also increased, but only from £17,803 a year to £30,353, an increase of 70%.
  • In 1999, a 10% deposit would have worked out at about 43.8% of your annual salary, these days, that figure has risen by about three quarters to 76%.

You can see the full research here.

Artisan launches new standards for sustainable homes development

Urban Regeneration Specialist Creates New Design Framework to Boost Low Carbon City Living

 

Niche homebuilder Artisan Real Estate has launched an ambitious new blueprint for sustainable development, responding to the changing requirements of local people and communities in a post-Covid world.

Smart, energy-efficient building design has been matched with an innovative approach to placemaking and community, introducing such creative concepts as green roofs, ‘edible’ gardens and green transport plans to sensitive city centre environments. 

Initially focusing on new homes’ projects in Edinburgh, the plan is geared to achieving low to zero carbon development – as well as creating a more open and landscaped environment to benefit general health and well-being.

Linking closely with the City of Edinburgh Council’s ‘Future Edinburgh’ strategy which aims to make the city carbon neutral within the next ten years, Artisan is now applying its radical design philosophy to two major developments in the city: Canonmills Garden to the north of the city centre and the recently acquired Rowanbank Gardens in the popular Corstorphine area and currently subject to a planning application.

“The challenges highlighted by the Covid 19 pandemic has accelerated the importance of changing the way we deliver new home development,” said Clive Wilding, Artisan’s Group Development Director.

“We are now very much going above and beyond the existing Council guidelines as outlined in its ‘Future Edinburgh’ strategy. As well as reducing urban sprawl by optimising the number of people living in well-designed, sustainable homes in low car-use locations well-served by public and ‘self-propelled’ transport, we are also envisaging what people want from their living environment, post-Covid 19.

“Significant emphasis is placed on the quality of internal space and light to create enjoyable home-working environments, whilst accessible gardens and landscaping promote health and well-being by making nature and well-designed outdoor space integral to the day-to-day living experience.”

Artisan’s Canonmills Garden development, scheduled for completion in early 2021, has pioneered the integration of low and zero carbon generating technology.

This includes a combined heat and power system helping to support building energy loads whilst charging electric vehicles, reducing both building and transport CO2 emissions.

This strategy, combined with well-designed green roof spaces and climate responsive building facades, helps improve and enhance environmental integration, natural light provision and the quality of indoor and outdoor air.

Similar development principles have been applied to the major planning application for 126 new homes at Artisan’s Rowanbank Gardens.

The former care-home site in Corstorphine is set to answer the Council’s requirement for well designed, high density living whilst providing spacious communal areas and well-established public transport links ensuring low car ownership.

The development is designed around a central courtyard garden providing nearly twice the level of open space recommended by council planning policy, filled with fruit trees and communal planting and growing beds.  Apartments are designed for open plan living with large windows giving views of the courtyard and the wider area, while green roofs ensure benefits of surface water retention, insulation and ecology.

Artisan is perhaps best known in Scotland for large-scale city regeneration projects like the award-winning New Waverley, which has transformed the heart of Edinburgh’s historic Old Town.

The developer is now applying the same values and philosophy which has guided the successful design and execution of New Waverley to its residential developments, setting it apart from other major homebuilders in Scotland.

“Remaining true to our urban regeneration credentials, at the heart of all Artisan’s developments is building a strong sense of place,” adds Clive Wilding.  

“We are specialising in niche urban developments in the most exciting parts of the city centre, creating a high-value premium product for a wide range of homebuyers, including young professionals, families and downsizers. 

“Artisan now has an opportunity in Scotland to set a new benchmark for high quality urban regeneration in sensitive city-centre environments – whether it be commercial, residential or mixed-use.

“Our track record in Edinburgh and in Scotland has given us a strong understanding of the importance of high quality placemaking, which is at the heart of all Artisan’s developments.”

For more information on Artisan’s developments in Scotland and the UK visit:

www.artisanrealestate.co.uk,

www.rowanbankgardens.com

www.canonmillsgarden.com

Housing and homelessness: biggest challenges are still to come

The response from organisations working to prevent homeless during the pandemic in Edinburgh has been phenomenal (writes Councillor Kate Campbell, Edinburgh’s Housing, Homelessness and Fair Work Convener).

The council’s homelessness service has been working with the Scottish Government, third sector, the police, the NHS, social care and volunteers to provide housing, food, health care, advice and support throughout the lockdown period.

Front line workers and volunteers have powered this work, putting their own health at risk to make sure that our most vulnerable residents are supported. We owe them a massive thank you.

And what is even more phenomenal is the level of engagement we’ve received in return. Turns out showing that you actually care builds trust. So people we have been describing as ‘hard to reach’ have actually been reached, and are engaging, and are being supported on the journey to permanent housing.

So we have learnt a lot – things, frankly, we already knew. But now we can evidence them. If you put in all the support upfront, then people will engage. You have to take services to people and they have to be tailored to meet their needs.

It has cost a lot in the short term, but we also need to learn the lessons about what we are saving in the longer term. Not just money on future services that hopefully won’t now be needed. But life chances, health outcomes, dignity, respect.

There’s a big debate here. And one we need to manage carefully: when our city shut down, suddenly we were able to end rough sleeping.

Now partly it’s to do with resources. It was a public health emergency and so funding became a secondary consideration. And we were allowed, because of public health, to spend money accommodating people with ‘no recourse to public funds’ – where their immigration status means a person isn’t entitled to any benefits, even if they have the right to remain in the UK. Usually the law prohibits us from doing this.

The other thing that happened is accommodation became available to us. Short term let properties were suddenly accessible for people experiencing homelessness. Hotels opened their doors to people who had been rough sleeping.

And we have to be honest. This is about supply and demand. There was no demand from tourists, so residents were the only market.

We will welcome visitors back to the city in the months and years to come. We need to make sure that the balance is right. That visitors are not staying in accommodation that could be used as homes. And we need to support hotels who employ more people, are tightly regulated and have to pay their business taxes.

So we will be pressing ahead with controls on short term lets as they pass into legislation, whether that’s licensing powers or through planning. It’s important for both the hospitality sector, and for our residents, that homes stay as homes after the pandemic.

But there will be more challenges to come. We know that there will come a point when we are no longer legally allowed to accommodate people with no recourse to public funds. The idea that we will have to say, because of the law, that people must leave their accommodation – and we will know that they have nowhere to go – is horrific.

We have limited powers (unfortunately we can’t change legislation at Westminster from the city chambers) but we can start to plan pathways, look at options and work with our partners. Kevin Stewart, Scotland’s Housing Minister, has written to the UK government. We will need to work with the Scottish Government to make the case for legislative change – and funding to go alongside it.

We know too that the economic situation is likely to worsen before it gets better. We know that we are likely to see job losses as the furlough scheme winds down and that alongside this there is a risk of increased homelessness.

We need to increase preventative work to help keep people in their homes. Advice and support are crucial so that people are able to access the benefits they are entitled to and receive help with housing costs. It’s also vital people know their housing rights.

We will also need to increase the supply of temporary accommodation, and make sure that accommodation is suitable for the people that need to stay in it.

Ultimately though, we want people to move into permanent, secure and safe homes – so our housebuilding programme, and the provision of social housing, will be even more critical than ever.

We’ve reconvened the homelessness task force to look at all of this. To have a space where we can learn best practice from each other – and there is so much innovation happening – and where we can share our concerns about what we see coming down the line. And work together to plan solutions.

In the months ahead we will need to keep re-evaluating, and planning, and adapting. This crisis is far from over. But the strength of the partnerships we have now across the city, and the enormous determination to work together to overcome any obstacles, give me confidence that we will collectively rise to the challenges that come.

This article first appeared in the Edinbugh Evening News

Everything you need to know about getting a mortgage during Covid-19

Covid-19 is impacting many families and individuals in very different ways. But with so many of us spending more time at home than ever before, many people are thinking about whether they can move or extend to gain more space, or just taking advantage of lower interest rates.

The housing market is now opening up and rates are changing yet many people are unsure about whether mortgages are available for them.

TSB’s Head of Mortgages, Nick Smith answers some important questions on getting a mortgage in the current environment: 

Can I still get a mortgage in the current environment?

Yes, you can. However, getting a mortgage really depends on individual circumstances. Think about your personal situation – is your income sustainable? Are you happy with the deposit you’ve built?

If you’re planning to get a mortgage, speak to your lender or broker openly about your financial situation and they will be able to advise on the best options for you.

Can I physically view properties?

Estate agents are opening up and you should be able to do physical viewings in England. But in Scotland, Northern Ireland and Wales viewings are not yet permitted.

If you’d prefer an electronic viewing – speak to your agent, they can likely help you, although for many people, nothing can replace the sense of space and perspective you get from being physically in the property.

Can I get a valuation or survey done on a house I want to buy?

Yes, most lenders are now conducting physical valuations where electronic valuations have not been possible.

Most surveyors will be taking their precautionary measures with full PPE equipment, therefore ensuring the homeowner’s safety as well as their own.

However, more and more lenders are using electronic valuations, which are very accurate and can be done very quickly. Remember – the valuation done by your mortgage lender is to satisfy themselves that the house is a good security for your loan.

I’d always advise when buying a new house that you consider a more detailed survey for your own benefit and peace of mind. The RICS consumer guide to home surveys on their website is a useful guide to your different options.

Are first time buyers impacted more than second time buyers?

No, they’re not. It really depends on how much equity you have either as a first-time buyer or those remortgaging/buying a second property.

If you’re looking to remortgage just remember you don’t have to move to a new bank/lender. All major providers will offer a product transfer which means that you can move to a lower rate.

Is there anything I need to be aware of when applying for a mortgage in this environment?

There are a few things to bear in mind. Crucially, it’s important to think about your financial situation. Has your income changed recently? Will you be able to make payments now and in the future? When speaking to your lender/broker, provide as much information as you can about your income. Ultimately, they will want to protect you as much as possible, so that you can comfortably meet your payments and not find yourself in a financially vulnerable position.

For example, consider the following when speaking to your mortgage advisor: have you been working more overtime than normal lately? Will this continue in the future or will your hours and overtime reduce?

Most lenders will lend to those who have been furloughed but each lender will have their own lending criteria. Your mortgage advisor will be able to help with the best options for you. For more complex income circumstances, a specialist mortgage broker will be able to talk through your options.

The physical process of buying a house has also changed very slightly – there will be more social distancing for example and so it is likely a mortgage meeting will take place over the phone rather than face to face.

A mortgage meeting over the phone is easier to book in whereas face to face is a little more difficult at the moment. The Government has recently issued detailed guidance on how house viewings should be conducted with social distancing in mind.

With the rapid market changes, we’ve also seen banks responding very quickly and reintroducing higher loan to value products. At the moment, most banks have reintroduced lending up to 85% of the value of the property – so there are more mortgages becoming available again for those with a 15% deposit. Do your research and speak to your advisor about the best mortgages for you.

If I’ve been offered a mortgage is my bank obliged to offer it if my circumstances change?

No, they’re not. Offers can only be withdrawn under certain limited conditions but this includes a change in income. If your circumstances change, speak to your lender or broker as soon as possible.  It’s important to remember that they will always want to ensure you can afford repayments now and in the future and they will work with you to find the best options for you.

I’m thinking about enlarging my home to create more space – how do I get a mortgage for this?

You have three options to consider, and the best option for you will depend on a number of things, such as how much additional money you need to borrow, how much your house is worth, and whether your current mortgage is still in a period where early repayment charges apply.

Option 1: would be to speak to your existing mortgage provider about a “Further Advance” – essentially borrowing more money on your existing mortgage. This is likely to be the quickest option to get funds in your bank account, as there’s no change in lender, but you should weigh up both the convenience and the cost, as it won’t necessarily be the cheapest option.

Option 2: would be to move your entire mortgage to a new lender under a remortgage process, taking additional borrowing as part of your application. If you want to take this option, be careful to speak to your existing lender about any early repayment costs associated with your current mortgage.

Option 3: would be to take out what’s known as a “second charge” loan – this is where a new lender advances you the money, accepting that if you default on your mortgage and your house is repossessed, they only get funds from your property once the first-change lender (i.e. your main mortgage) has recovered their debts. As a result, these are usually more expensive interest rates, and are less common in the market.

If the above options don’t appeal, or if you don’t have much equity in your property, you could also consider an unsecured loan.

Whilst interest rates are usually higher than on mortgages / further advances, there is some flexibility in taking a separate unsecured loan, as long as you can afford both payments, and most mainstream lenders will offer up to anywhere between £25k and £50k as their maximum unsecured loan amount.

Do note though, repayment terms are usually shorter, so these will almost always have a higher monthly repayment.

I’m not feeling confident about buying in the current environment, what should I do with my deposit?

If you’re feeling uncertain about buying a house right now, think about when you believe you might feel ready. When thinking about where to put your hard-earned deposit, consider whether you really want it tied-up.

If there’s a chance that you might find somewhere you would love to buy in six months, then putting your deposit in a longer fixed-term savings account, where you might forfeit interest if you withdraw early, probably isn’t the right thing to do, even if it has a slightly better interest rate.

Equally, you should think very carefully before moving any of your deposit into stocks, shares or funds, where the value could go down as well as up – what if the value has decreased at a time you want to buy? Would that be a problem for you?

If so, now probably isn’t the time for that sort of investment. Speak to your bank about your options, they can assist and talk you through what is suitable for you and your circumstances.

Nick Smith, TSB’s Head of Mortgages, concludes: “The market is changing rapidly and we are seeing some confidence grow in the housing market, which will be welcome news for those eager to buy a new home or to remortgage.

“There are mortgages available, but you will need to remember to do your research and have open discussions with your mortgage advisor.”

 

Action needed to help renters

UK government urged to strengthen social security system.

Scotland’s Housing Minister Kevin Stewart has written to the UK Government calling for urgent action to support housing tenants affected by the coronavirus (COVID-19) pandemic.

In a letter to the Secretary of State for Work and Pensions, Mr Stewart identifies five key areas in which the benefits system and support for people who rent their home should be urgently strengthened.

The Housing Minister urges the UK government to:

• lift Local Housing Allowance rates further to make more homes affordable to renters
• suspend the removal of the spare room subsidy
• suspend the benefit cap
• suspend the shared accommodation rate for under-35s
• extend the backdating of benefits for those who might not have realised they were eligible and relax the criteria under which backdating is allowable

The Scottish Government took action in the first emergency COVID-19 legislation to protect tenants from eviction for at least six months. Recently it made an additional £5 million available in discretionary housing payments to support those renting, increasing this fund to £16 million – this is further to that made available to fully mitigate the bedroom tax.

FULL TEXT OF LETTER

The Rt Hon Dr Thérèse Coffey
Secretary of State for Work and Pensions
Caxton House
Tothill Street
London
SW1H 9AJ

Dear Ms Coffey

I am writing to urge further consideration of the need to strengthen the social security system for renters affected by COVID-19.

In this unprecedented crisis, the Scottish Government and local authorities swiftly took a range of steps to protect renters from eviction through extended notice periods and extension of mandatory grounds. We have also moved to provide additional financial support within our devolved powers and budgets.

In order to support tenants during the crisis, we have increased the amount available for other discretionary housing payments (DHPs) by £5 million to almost £16 million. This takes our overall investment in DHPs in 2020/21 to more than £76 million. We took these steps to support those for whom the UK welfare state is not providing the safety net it should.

We are also supporting private landlords by offering loans and encouraging them to take mortgage breaks where available, although we know this is limited for some. We continue to engage with landlords across the rented sector to ensure that they are coming to agreements with tenants on rent arrears and signposting tenants to the range of financial support available.

The Scottish Government remains committed to working collaboratively with the UK Government to ensure that the social and economic effects of COVID-19 are mitigated effectively and efficiently so that people do not face hardship or homelessness. We have set out the steps we would like you to take in various pieces of correspondence during the pandemic.

The benefits system is an essential lifeline for many people facing or experiencing homelessness throughout the UK. Housing elements of social security remain a crucial part of the support required by tenants facing financial difficulty or homelessness as a result of the pandemic and remain reserved to you.

The changes you have made to local housing allowance (LHA) rates are welcome, but fall short of what is needed to provide comprehensive support to people living in rented accommodation.

In addition to our previous calls to lift the benefit cap; to scrap or relax the restrictions around the removal of the spare room subsidy; to provide more information to local authorities to help signpost available support to tenants; and to support quicker payments for discretionary housing payments, I urge you to consider further action to support people who rent their homes.

This is an area where urgent intervention is required in light of emerging evidence of the inequity of support available between those who rent and those who hold a mortgage.

Recent research by the Resolution Foundation demonstrates this in stark terms, finding that mortgage holders entered the crisis with lower average housing costs relative to income and a bigger financial buffer than renters, a disparity reflected in the fact that renters were far more likely to be facing difficulty in meeting their housing costs than those with a mortgage.

This same research also found that the level of mortgage holders seeking and successfully securing a mortgage holiday is far higher (12%) than the number of private renters seeking and successfully securing rent reductions from their landlords (5%).

We know that many people will find themselves in financial difficulty for the first time from job loss or substantial income reductions. Given the scale at which this is occurring for households across the country, it is vital that the safety net of social security is accessible and sufficient to support people through this national crisis and a new approach to the housing element of social security is now needed.

• We know that low-income families will have no savings to cushion them from the financial impact of the pandemic. We urge you to suspend the removal of the spare room subsidy, particularly as a spare room becomes essential when larger families need space to isolate.

• To support those with high rents who are currently unable to source lower cost accommodation, we would ask you to suspend the benefit cap. This will help to reduce the risk of immediate and short term hardship for families who are unable to meet housing costs, and will help to ensure that the support you have made available through investment in LHA rates and the increase in the standard allowance rate of universal credit is not undermined.

• We have seen the benefit of restored LHA rates in Edinburgh, with several hundred properties now affordable to renters, but the majority of renters will still struggle to source affordable accommodation and people must be able to maintain tenancies beyond the immediate crisis. We urge you to lift LHA rates further, bearing in mind that the 30th percentile still represents a cut when compared to the 50th percentile that applied before UK Government welfare changes.

• The high number of individuals under the age of 35 who have moved in with their parents during this crisis highlights the need for better housing support for young people. Like many stakeholders in the Scottish housing sector, we believe there is a strong case for suspending the shared accommodation rate for under 35s, especially as many who have lost jobs during the crisis are likely to be younger people.

• Finally, we ask you to extend the backdating of benefits for those who might not have realised they were eligible and relax the criteria under which backdating is allowable.

The Resolution Foundation figures are concerning and the risk to households who rent their homes is immediate and pressing. We must work collectively to act now to support a group of people facing mounting rent arrears and financial difficulty they would not have if they were mortgage holders. You will be aware of similar calls from leading homelessness organisations who are hearing concerns from their clients.

I am happy to discuss any of the points raised in this letter and wish to further reaffirm the offers from Scottish ministers to work with you on any other actions you are considering in response to COVID-19. I hope that by working together our governments can provide the most effective form of support during this crisis and afterwards.

Kind regards

KEVIN STEWART
MINISTER FOR LOCAL GOVERNMENT, HOUSING AND PLANNING