38 Pay to Stay (00:48:15) PDF 304 KB
To receive a briefing paper from the Housing Services Manager regarding ‘Pay to Stay’ also known as the High Income Social Tenant Policy.
Minutes:
The Group had before it a briefing paper * from the Housing Services Manager providing information in relation to the Governments’ ‘Pay to Stay’ scheme.
It was explained that this seemed to be a popular policy with the public. The Government wanted to promote home ownership and if tenants had to pay more for rent they might consider alternative options. However, regulations were still awaited meaning that local authorities were unsure how to proceed at this stage.
Those with a joint household income of £31k or more would be expected to pay more rent. The DCLG was expecting 20% of those tenants not in receipt of Housing Benefit or Universal Credit to have to pay additional rent. In Mid Devon that equated to approximately 200 households, given that the Council had just over 3000 tenants and about 60% of those were in receipt of Housing Benefit. The Government was still expecting this policy to be implemented by April 2017 but there could be a delay. The delay in issuing the regulations seems to suggest that the implementation date may slip. The Council would be offered some financial support for administration but it was unclear at the current stage how this would operate and a shortfall in being able to cover costs was expected.
Further implications would mean that new policies would need to be written, for example, a Fraud Policy, as well as a re-write of some existing policies.
Note: * Briefing paper previously circulated; copy attached to the signed minutes.