Scottish Federation of Housing Associations – The NEN

Deputy First Minister launches rollout of £50 million to prevent homelessness

First 100 days commitments continue to be met

Halfway through the first 100 days of the Scottish Government formed in May, the rollout of an expanded 10-year £50 million Homelessness Prevention Fund is underway.

£1 million is being made available for a second year to enable social landlords and third sector organisations to support tenants to stay in their homes.

The Scottish Federation of Housing Associations and Homeless Network Scotland are administering phase two of the Upstream Homelessness Prevention Fund. This will provide a range of support to households in Glasgow, including assistance with rent arrears, repairs and furniture costs alongside initiatives to prevent people becoming homeless.

The fund is in addition to the £9 million invested to mitigate the impact of the UK Government’s decision to freeze Local Housing Allowance (LHA) rates in 2026-27. It forms part of the commitment to spend £50 million on homelessness prevention activity over the next decade.

Deputy First Minister Jenny Gilruth will visit Sanctuary Housing Association’s offices and development in Toryglen, Glasgow.

Ms Gilruth said: “Preventing homelessness is not just the right thing to do – it is the most effective way to end it for good.

“For too long, the system has been geared towards responding to crisis rather than stopping it happen.

“So in our first 100 days in government, we are rolling out funding which will help to change that.

“This fund will help build up capacity of communities and public services to act earlier, supporting people before situations become critical and embedding prevention across organisations that interact with those at risk.

“Homelessness is devastating, but we know that most of it is preventable. That is why sustained, long-term investment in prevention is central to everything we are doing.”

Director of External Affairs at the Scottish Federation of Housing Associations Paul Bradley said: “The Upstream Homelessness Prevention Fund has had a transformative impact in preventing homelessness for hundreds of people across Scotland, so we wholly welcome its extension.

“This funding is further proof that prevention works, and that housing associations, working alongside government and partners, can reach tenants long before a crisis.

“The greatest way to tackle homelessness is to prevent it in the first place.

“Prevention funding running alongside a strong supply of safe, warm and affordable homes gives Scotland the best chance of a true step-change so no one has to face losing their home.” 

Homeless Network Scotland Chief Executive Maggie Brunjes said: “Preventing homelessness starts where people live.

“This second round of the Upstream Prevention Fund is a vital investment in Glasgow. Housing associations are ideally placed to prevent homelessness through their strong community roots and close partnerships with local charities.

“Homelessness charities play a key strategic role too, bringing deep knowledge of the issues people face and how to tackle them early.

“Working with SFHA and local partners, we will build on the success of the first round to help more households stay in their homes and make prevention and joined-up support a real priority across the city.”

Winter funding for food groups

Cash-first approach will help those facing hardship

Social Justice Secretary Shona Robison has announced an additional £2.4 million in funding to help people struggling to afford food and other essentials.

The funds will go to four organisations to distribute mainly on a ‘cash-first’ basis to people in immediate need in the face of the cost of living crisis.

A focus on crisis payments and shopping cards will allow people to choose for themselves what they need.

Ms Robison announced the funding on a visit to Prospect Community Housing in Wester Hailes, Edinburgh, where she heard how staff are helping residents through debt and income advice services.

She said: “I know people are struggling with the cost of food and other essentials right now, and this additional funding will get more support to some of those who need it most this winter.

“We are working with partners to prioritise urgent cash-first action when it comes to food insecurity and this will take some of the pressure off food banks.

“This funding has the potential to directly reach 7,500 people, and many more will benefit than this, as the Corra Foundation and Fareshare will between them distribute it further to an estimated 900 organisations.

“We want people to make sure they are getting all the support they are entitled to, so I encourage anyone who is struggling financially to get advice on what support they may qualify for – through their local authority, a local advice service, or Social Security Scotland as well as checking out our cost of living website.”

Carolyn Sawers, Chief Executive at the Corra Foundation said: “This £1 million contribution to the Household Hardship Fund from the Scottish Government provides a dignified cash first approach for those most impacted by the cost of living.

“Organisations which have received money through the fund have told us it is making a significant difference helping families with the essentials of food, fuel, and household items.

“Corra is committed to working alongside others in tackling the long-term issues of poverty. The Household Hardship fund is an important step in responding to the crisis that people across Scotland face today.”

Sally Thomas, Chief Executive of the Scottish Federation of Housing Associations (SFHA), said: “Housing associations and co-operatives are doing everything they can to help tenants keep their heads above water, heat their homes and put food on their table this winter. However our members are increasingly reporting that tenants are facing impossible decisions on and between household bills and food as costs soar.

“It’s simply not right that anyone in Scotland should be going hungry this winter. As we continue to face this unprecedented crisis, this money will be critical to helping ensure social landlords can provide a response to food insecurity that is tailored to the needs of their tenants and communities, maintaining dignity and choice.”

Allocations from the £2.4 million:

£1,000,000 to the Scottish Federation of Housing Associations for cash-first responses to food insecurity via their members
£1,050,000 to Corra Foundation for their Household Hardship Fund, providing grants to organisations working to alleviate poverty with an emphasis on cash-first responses food insecurity
£100,000 to Citizens Advice Scotland to expand their shopping card pilot, offering an alternative to a food bank referral
£250,000 to FareShare for regional purchasing where needed to supplement the supply from surplus and donations

In 2022-23 the Scottish Government has allocated around £3 billion in a range of measures which will help mitigate the impacts of the cost of living crisis on households, of which £1 billion is for support only available in Scotland and not elsewhere in the UK.

The Scottish Government consulted on a draft plan on ending the need for food banks between October 2021 and January 2022, and the plan will be published in the coming months.

The Scottish Government’s Cost Of Living website provides information and support for people who need urgent help with money, food or fuel, Visit gov.scot/costoflivingsupport

Agreement on social rents for 2023-24

Landlords announce plans for average increases

Ministers have reached an agreement with social landlords on below-inflation rent increases for the next financial year.

Organisations representing social landlords have announced their members’ plans for average rent increases for 2023-24, which will keep rents significantly below private market levels.

Under the Cost of Living (Tenant Protection) Act 2022, rents are effectively frozen in the social rented sectors until 31 March 2023. Decisions on future plans for the private sector rent freeze, as well as other measures contained in the Act, will be announced in the coming weeks.

Tenants’ Rights Minister Patrick Harvie said: “Our emergency legislation has given people – whether they rent in the private or social rented sector – reassurance within their current tenancies through the worst of the winter, even as their other costs have been rising.

“We recognise the enormous pressures households are facing, and by making this announcement now we aim to give social tenants advance notice, and confidence that any rent increase will be well below inflation.

“The statements of intent from the social rented sector, based on consultations with tenants, will keep rents affordable while allowing social landlords to continue investing in essential services such as home improvements and maintenance.”

Councillor Maureen Chalmers, COSLA’s Community Wellbeing Spokesperson, said: “This is good news for Local Authority tenants from Scotland’s Council Leaders today.

“Council Leaders recognise the severe financial crisis many of our tenants and households are facing and have acted decisively to provide some assurance,despite the financial challenges Scotland’s Councils face.

“Leaders recognise that the very high rates of inflation around the costs of heating and food disproportionately affect those on lower incomes and are acutely aware of the proportion of individuals’ income that is spent on accommodation in the rented sector and that this can vary considerably.

“In balancing the wide range of competing factors, Leaders with housing stock will seek to reach agreement with tenants over any increase in rents for the year 2023 – 24. Councils consultative arrangements would normally allow them, subject to approval of local governance structures, to raise rents annually to meet rising costs.

“During these difficult times, as providers of social housing and Gypsy/Traveller pitch or site provision, we intend to keep the rental and fee increases to an average of less than £5 a week across the country.

“Collectively, whether we are directly landlords or not, we urge all landlords setting rents in 2023-24 to adopt a similar consultative approach with their tenants, many of whom will be affected by the on-going crisis.”

Sally Thomas, Chief Executive at the Scottish Federation of Housing Associations (SFHA), said: “We welcome the fact that Scottish Government has worked closely with the sector, to understand the evidence and avoid unintended consequences of this legislation, and to find a collaborative way forward.

“Investing in good quality, warm homes for social rent is crucial to tackling poverty in Scotland and protecting new and existing tenants from the increasing cost of living.”

A new deal for tenants: consultation launched

Plans to deliver a new deal for tenants, with stronger rights, greater protections against eviction and access to greener, higher-quality, more affordable housing, have been launched.

The proposals, which are now open to public consultation, aim to deliver a fairer rented sector that meets the needs of tenants and welcomes responsible landlords.

They include:

increasing penalties for illegal evictions and stronger enforcement
restricting evictions during winter
giving tenants greater flexibility to personalise their homes and keep pets
developing a national system of rent controls for the private rented sector
introducing a new Housing Standard to apply to all homes
establishing a private rented sector regulator to uphold these standards and ensure the system is fair for both landlords and tenants
setting minimum standards for energy efficiency, making homes cheaper to heat while contributing to Scotland’s climate change targets

The measures form part of the Housing to 2040 strategy, published in March this year, and take forward several commitments made in the co-operation agreement with the Scottish Green Party. The results of the consultation will feed into the final version of the strategy to be published next year, with elements of the proposals put to the Scottish Parliament in a Housing Bill in 2023.

Tenants’ Rights Minister Patrick Harvie said: “Now is the time to do more for people who rent their homes, whether they are renting privately, from the council or from a housing association. Delivering a new deal for tenants is central to our ambitions for a fairer Scotland, tackling child poverty and meeting climate change targets.

“Above all else it will significantly improve the lives of Scotland’s tenants, giving them more stability, more choice over where they live and how they decorate their homes, and the confidence that their home will be of a high quality. At the same time it will recognise the interests of good quality, responsible landlords.

“We will be working in partnership with landlords, letting agents, tenants and others to deliver this strategy, and we want to gather the broadest range of views. I would encourage anyone with an interest to respond to our consultation.”

Alison Watson, Director of Shelter Scotland, said: “A warm, safe, and permanent home is a right not a privilege for everyone in Scotland. To make this a reality we need to ensure there is enough social housing for everyone who needs it, while strengthening the rights of tenants and empowering people to defend them.

“Shelter Scotland has long called for tenants’ rights and protections, in both the social and private sectors, to be strengthened to make sure no one can be denied their right to a home. Too many renters aren’t aware of their rights or don’t feel confident in enforcing them and that needs to change.

“This is an ambitious strategy, and it offers the chance to mend many aspects of a housing system that is currently failing thousands. We are excited to work with the Scottish Government to develop these ideas and build a better future for housing in Scotland.”

Sally Thomas, Chief Executive of the Scottish Federation of Housing Associations (SFHA), said: “We welcome the Scottish Government’s ambition that all tenants should have access to secure, good quality, affordable homes. We are also pleased the government has acknowledged the unique role housing associations have in delivering these outcomes to people right across Scotland.

“Fairness, quality and affordability are at the heart of the social housing sector, with our homes built to the highest standards, and tenants regularly engaged in important decisions.

“This consultation provides an opportunity to inform and shape the detail behind these important principles, not least to provide a clearer definition of affordability. SFHA and our members look forward to working with Scottish Government over the coming months to do this.”

The consultation closes on 15 April 2022.