Tag: pensioners

Homing In: Older renters facing rent rise ‘catastrophe’

Charity warns rising rents and pensioner poverty could be ‘catastrophic’ for older Scottish renters 

  • 1 in 7 pensioners in Scotland (150,000) are in poverty, and over half (75,448) of those are renters  
  • New research finds that just 30% of older renters feel fully informed of their housing rights 
  • Older private renters in Scotland are plagued with damp, unsafe and unaffordable homes 
  • Charity calls for the Scottish Government to ensure affordable rents, that tenants’ rights are upheld and rented homes are maintained to a decent living standard 

Older Scottish renters living on a low income urgently need greater protections in the upcoming Housing Bill, says Independent Age, the charity supporting older people in poverty.

It says that renters in later life face a “catastrophe” if action is not taken, with record rent increases in recent years and a growing number of older renters across the nation being pushed into poverty.  

The organisation today launches its report Homing in: How to improve the lives of older Scottish renters, which uses polling, Government data and a survey of over 500 older renters to understand the reality of renting in later life in Scotland.  

Almost two in five (39%) older Scottish private renters now live in poverty, up from 24% a decade before1. Independent Age says that older renters on a low income are “terrified” their rent could rise after the end of the current rent rise cap on March 31st.  

The new report has unearthed older tenants’ daily challenges with affordability, the threat of eviction and poor standards. The charity found that less than a third of older renters (30%) feel fully informed of their housing rights while a shocking one in five (21%) saying they know nothing2.Independent Age believes that this worryingly low level of awareness among tenants of their rights in the private rental sector is leaving poor and sometimes unlawful practice unchallenged.  

The charity calls on the Scottish Government to ensure:  

  • Private rents are controlled at an affordable level for older people on a low income. 
  • Landlords are required to inform tenants of independent housing advice services when they serve them notice. 
  • A housing ombudsman is established, giving private tenants the ability to challenge issues like poor maintenance. 
  • Tenants are informed of their rights as renters.  

Affordability 

In Scotland, almost two in five (39%) older private renters live in poverty3, while more than a quarter (28%) of those surveyed say they have less than £200 disposable income a month after paying rent. In the last year, over 4 in 5 (81%) say they have faced a rise in rent of up to £50 a month.  

With the temporary limit to rent increases set to end next month, the charity has heard from older people who, faced with increasing costs from all angles, including rent, Council Tax and energy, are struggling to pay their rent. 

An older person who is looking for a new property to rent told the charity: “it is really scary how much starting rents have increased in the last six months”.

Independent Age warned that without action to ensure housing affordability in the private rented sector, more older tenants across Scotland will be forced to make difficult decisions such as making further cutbacks to food, energy and water to cover rent. 

Housing quality and standards 

65% of older Scottish peoples’ homes are in a state of disrepair4. Independent Age’s survey found that 40% of older private renters were not satisfied with the standard or quality of their home5, however polling found that more than 1 in 10 (12%) older private renters questioned feel uncomfortable raising concerns with their landlord, for fear of negative treatment. 

Independent Age says that problems with damp, heating and energy efficiency come up frequently for older renters. One older person said that their house was “never warm… there is a smell of damp in the winter months. There is a huge opening in the back wall where the boiler is located. The wind whistles into the flat.” Another said that their home was cold “even in the summer.”  

The charity said that not only are some of the conditions described by interviewees likely in violation of the Repair Standard that sets out a minimum standard that rental properties must meet, but tenants are scared to ask for necessary and reasonable repairs in case they are served with a ‘revenge eviction’. One man said: “I know if I complain to my landlord, it will get me nowhere but homeless.” 

Evictions and homelessness 

The report reveals that almost one in six (17%) older private renters are worried that their landlord will evict them in the next 12 months.

Almost three in five (59%) say that searching for a new home would be difficult6, likely due to older people sometimes needing special adaptations, such as a ground floor flat, and the growing unaffordability of rents.

Terrifyingly, there has been a 23% rise in the number of older people experiencing homelessness in the last year, up from 891 people in 2021/22 to 1100 in 2022/23. 

 

Joanna Elson CBE, Chief Executive of Independent Age said: “For all of us, an affordable, safe and secure home is essential for our wellbeing and should be the norm. That’s why it is a catastrophe that, for many Scottish older renters on a low income, this is far from the reality. 

“The Scottish Government made positive moves in recent years to protect tenants. But with many of these protections from eviction and rent increases coming to an end soon, we’ve spoken to many people renting in later life who are absolutely terrified about what will happen over the coming months.  

“The Housing Bill is a once in a generation opportunity for the Scottish Government to make sure everyone has a home that is affordable, kept to a decent standard and free from the threat of eviction and homelessness.

“We hope they take action to ensure that all Scottish renters can live with dignity, no matter their age.”

Recommendations 

Independent Age is calling for the Scottish Government to: 

  • Establish a housing ombudsman to give tenants the power to challenge their landlords on poor maintenance and ensure that housing advice and advocacy services are accessible and properly funded so renters are aware of their rights. 
  • Introduce a permanent system of rent controls so homes are affordable for older people on a low income, commit to building more social housing and increase access to, and funding of, Discretionary Housing Payments that support those on Housing Benefit who have a rent shortfall.  
  • Ensure tenants, including those in later life on a low income, are informed of their rights. 
  • Enshrine the right to adequate housing in Scots Law  
  • Place a duty on local authorities to help someone threatened with homelessness in the next six months and require landlords to inform tenants of independent advice services before or when they serve them an eviction notice.  

Independent Age is also calling on the UK Government to commit to uprating Local Housing Allowance every year so that Housing Benefit matches rises in local rents.

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From pensioners to teenagers, HMRC reveals who files a tax return

HMRC has revealed that more pensioners filed a tax return for the 2020 to 2021 tax year compared to young people.

Overall, those aged 65 and over accounted for 16% of individuals who submitted a tax return, whereas 16 to 24 year olds made up 2.7% of total filers.

The new data is part of analysis by HMRC into the demographic data of the Self Assessment population.

The findings also show:

  • people aged 45 to 54 were the largest group of filers, accounting for 24% of all tax returns submitted
  • more than 294,000 16 to 24 year olds filed a return, making up 2.7% of total filers
  • 62% of those who submitted a return last year were men, compared to 38% who were women

The data also showed that almost 146,000 people submitted their tax return at the earliest opportunity between 6 and 11 April 2021.

More than 12 million people are expected to file a Self Assessment tax return for the 2021 to 2022 tax year. Anyone yet to submit theirs has until 31 January to complete it, pay any tax owed or set up a payment plan, or risk having to pay a penalty.

Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “Time is running out for anyone who has yet to start their tax return – there is a wide range of guidance and webinars available online for those who need a helping hand. Just search ‘Self Assessment’ on GOV.UK to make a start.“

Payments are also due on 31 January and customers still have time to decide which payment option is best for them. For customers who are due a refund, they should include their bank account details in their tax return so that if HMRC needs to repay them, it can be done quickly and securely.

Customers can now use the free and secure HMRC app to make Self Assessment payments, as well as accessing information which they need to complete their tax return, including their Unique Taxpayer Reference (UTR), National Insurance number and employment history.

Those who are unable to pay their tax bill in full can access support and advice on GOV.UK. HMRC may be able to help by arranging an affordable payment plan, known as Time to Pay. Customers should try to do this online; go to GOV.UK for more information. Alternatively, they can contact the helpline.

HMRC has a wide range of resources to help customers complete their tax return, including guidance, webinars and YouTube videos.

Customers need to be aware of the risk of scams as criminals use Self Assessment as an opportunity to commit fraud. Customers should check HMRC’s scams advice on GOV.UK.

No more Nasty Party? Amber Rudd softens approach to disabled pensioners

Hundreds of thousands of disabled pensioners will no longer have to go through unnecessary reassessments for disability benefits, Work and Pensions Secretary Amber Rudd announced yesterday. While charities welcomed the announcement, they argue that the measures just don’t go far enough. Continue reading No more Nasty Party? Amber Rudd softens approach to disabled pensioners

Parents and people with disabilities hardest hit by welfare reforms

‘This latest evidence shows that some of those most in need of support, namely parents and disabled people are being hardest hit. For us to be in this situation in 21st century Scotland is unacceptable.’ – Michael McMahon MSP 

ChildPoverty

Parents and people with disabilities are being hit hardest by the UK Government’s programme of welfare reform according to new research commissioned by the Scottish Parliament’s Welfare Reform Committee.

The report, published yesterday, represents the first time the impact of the UK Government’s welfare reform agenda on different household types in Scotland has been quantified.

The research for the Committee was conducted by Professors Christina Beatty and Steve Fothergill of the Centre for Regional Economic and Social Research at Sheffield Hallam University.

The new evidence shows that in Scotland, it is estimated that couples with dependent children will lose an average of more than £1,400 a year, and lone parents with dependent children stand to lose an average of around £1,800 a year from their income stream. 

In all, families with children will lose an estimated £960m a year – approaching two-thirds of the overall financial loss in Scotland.

Disabled claimants and those with health problems have also been shown to be disproportionately affected. Reductions in incapacity benefits are estimated to average £2,000 a year, and some of the same people also face big losses in Disability Living Allowance and reductions in other benefits.

Committee Convener Michael McMahon MSP said: “The Welfare Reform Committee has amassed a growing volume of evidence documenting the impact of the welfare reform agenda on Scotland’s communities. This latest evidence shows that some of those most in need of support, namely parents and disabled people are being hardest hit. For us to be in this situation in 21st century Scotland is unacceptable.”

The report also shows that almost half the reduction in benefits might be expected to fall on in-work households. 

Deputy Convener, Clare Adamson MSP said: “The Scottish Government is to be commended for introducing measures to alleviate some of the worst effects of the welfare reform agenda. New powers over a range of benefits are due to be given to Holyrood in the coming years and this research will help direct those new powers to help those most in need of support.”

Until now, there has been no way to assess the impact across the various benefits on different types of households. Because of the cumulative impact of people being affected by several different benefit streams, the overall impact of welfare reforms has been hidden.

The statistics are expected to become an essential tool for government and local authorities in shaping targeted responses and service delivery.

The research follows two previous reports which measured the financial impact of welfare reform on Scotland as a whole and by local authority area, and the impact down to ward level.

The Committee expects to hear oral evidence on this report at its meeting on 10 March. 

Professor Steve Fothergill, of the Centre for Regional Economic and Social Research at Sheffield Hallam University, said: “The figures demonstrate that the welfare reforms impact very unevenly.  The very big impact on families with children, in particular, has previously been under the radar because it is the cumulative result of several individual reforms. Coalition ministers have argued that “we’re all in it together”.  The impacts of welfare reform, documented in our report, show this is far from being the case.”

Letter: Warning – pensions under attack

Dear Editor

Pensioners of today and tomorrow, be aware: the government is laying the ground for further attacks on pensions and pensioners benefits.

First, they have to divide opposition, for example by saying they wish to be fair by stopping the wealthy getting the winter heating allowance. It sounds fine, but does that mean the introduction of a means test for everyone to qualify? And who sets the level?

Other benefits, such as travel passes, television licence and free medicine prescriptions – things to help pensioners maintain some quality of life – are threatened: the government is looking to see if the nation can ‘afford’ them.

The campaign of setting one section of people against another is well-prepared, with millions of words and pictures; every person working or retired is the target. Just a few figures:

  • 31% of the population are of retiring age; not all get a full pension as many qualifying conditions apply
  • The government is raising the age of retirement for women from 60 to 65 by 2018 and for both men ad women to 66 by 2020, with increases to 67 and 68 later on
  • The ‘full’ state pension is only approximately one sixth of the average age
  • The amount paid out in pensions from the total wealth produced in one year is approximately 5%, yet the percentage of the population’s pensioners is 31% (and most have contributed to a pension scheme throughout their working lives).

Just two further points: today’s working population, who now produce all the nation’s wealth, were raised, loved and cared for by our pensioners. Today’s working population and pensioners combined have massive voting power: use it!

Tony Delahoy

Silverknowes Gardens