Wake-up call
Posted: December 15, 2016 Filed under: Bed and breakfast, Homelessness, Temporary accommodation Leave a commentOriginally published on December 15 on my blog for Inside Housing
If 2016 proves to be the year that the government finally woke up to the homelessness crisis, official figures released on Thursday show its true scale.
The latest statistics from the Department for Communities and Local Government show 14,930 households were accepted as homeless in the June to September quarter. The good news is that this is down 1% on the previous three months. The bad news is that it’s up 2% on 2015 and 45% on 2010.
Remember this is only the most visible part of the crisis – the families who are accepted as homeless and in priority need by local authorities – and that it is just the start of a wait for permanent accommodation.
That wait goes on for those already accepted as homeless. The figures also show that 74,630 households, including 117,520 children, were in temporary accommodation at the end of September. That’s up 9% on 2015 and 45% on 2010.
And the increases are greatest in the worst and least permanent forms of temporary accommodation. There were 6,680 households in bed and breakfasts, including 3,390 families with children: up 13% on 2015 and more than five times the figure in 2010.
Most shockingly of all, there were 1,300 families with children who had been in bed and breakfasts for more than the six-week legal limit. That’s up 24% on the same quarter in 2015 and is an incredible 13 times higher than in the quarter before the election of the coalition government in 2010.
Two-way street
Posted: December 7, 2016 Filed under: Housing associations, Housing benefit, LHA cap, Wales Leave a commentOriginally published on December 7 on my blog for Inside Housing
The minister announces more investment in social housing – social, not affordable – and signs a pact with housing associations and local authorities.
This is not a fantasy or a trip down memory lane but something that happened last week in Wales, a country where the government and the housing sector are very much in sync.
Carl Sargeant, communities and children secretary, told the Community Housing Cymru (CHC) annual conference that Social Housing Grant (SHG) will be increased by £30m this year, or 44% on previous plans. He also signed a pact with CHC and the Welsh Local Government Association to deliver 13,500 affordable homes by 2021.
Though CHC is the Welsh counterpart of the National Housing Federation, the pact is not a deal that requires forced conversion to the merits of homeownership or that turns a blind eye to forced sales of council homes.The Right to Buy is being scrapped rather than extended and the pact sets out a series of other aspirations on everything from jobs and training to energy efficiency and rents to homelessness.
Housing in Wales works very differently to England thanks to devolution and a political culture that works on consensus.While London and Manchester are blazing a trail with new investment powers, Wales can make its own legislation. Greater regulation of the private rented sector and homelessness prevention are already in force, the end is nigh for the Right to Buy and stamp duty is being replaced with the first Welsh tax for almost 800 years.
JAMs and NOMADs
Posted: November 23, 2016 Filed under: Affordable housing, Budget, Housing benefit, Universal credit | Tags: Autumn Statement Leave a commentOriginally published on November 23 on my blog for Inside Housing
Wednesday’s Autumn Statement by Philip Hammond is good news for housing on several different fronts.
First, at long last housing is being recognised as infrastructure. That’s important enough in itself but Mr Hammond went even further by pitching housing as part of the solution to the key economic problem of productivity.
Along with transport, digital communications and research and development, housing will be part of the chancellor’s £23bn National Productivity Investment Fund. In financial terms, accelerated construction, affordable housing and the new Housing Infrastructure Fund represent a third of the total cost.
Mr Hammond also named “the housing challenge” alongside the productivity gap and the imbalance in prosperity across the country as one of the economy’s long-term weaknesses.
Hitting the target?
Posted: November 15, 2016 Filed under: Housebuilding, Planning Leave a commentOriginally published on November 15 on my blog for Inside Housing
On the basis of figures released today, the government is much more likely to achieve its ambition of a million new homes in this parliament than many people realise.
Total net additional housing supply was 189,950 homes in 2015/16. That means that in the first year of the five covered by the target, output was just 10,000 short of the 200,000 a year required.
As the graph shows, that total is the highest achieved since the peak of 2007/08, the last year before the impact of the financial crisis was felt. It’s also the fourth-largest annual output since this series was first published for 1991/92.
This level of output will come as a surprise to those relying on quarterly housebuilding statistics that show 139,880 new homes completed in 2015/16, well short of what’s needed.
Book review: The Financialization of Housing
Posted: November 13, 2016 Filed under: Financialisation, Housing market, Mortgages, Private renting, Regulation, Social housing | Tags: Manuel Aalbers Leave a commentThe Global Financial Crisis was a wake-up call to the world about the dangers posed by a toxic mix of finance and housing, one that has still not been properly heeded.
The mortgage-backed securities, collaterialised debt obligations and other financial instruments that financed the expansion of sub-prime and predatory lending were the result of a wave of innovation by a finance industry that had been deregulated over the previous 20 years. Britain marked the 30th anniversary of the Big Bang in the City last month but similar things happened around the developed world.
All that innovation and securitisation led to exponential increases in the amount of credit circulating within the financial system but it still needed something to be secured against. Which is where housing came in: a mortgage finance system that had been based on long-term mortgage lending funded from savings was transformed into a vehicle for the expansion of credit. And the relationship between the price of homes and the earnings of people buying them was also transformed.
The Financializaton of Housing: A Political Economy Approach, a new book by Manuel Aalbers, is the most comprehensive attempt I’ve seen to outline this process and its consequences. It’s part of a multinational research project based at the University of Leuven in Belgium on what he calls the Real Estate/Financial Complex in 12 different countries around the world. The metaphor is a deliberate echo of the military/industrial complex and serves to emphasise the connections not just between the real estate and financial sectors but also between each of them and the state.
Manifestly without reason
Posted: November 8, 2016 Filed under: Bedroom tax, Legal Leave a commentOriginally published on November 8 on my blog for Inside Housing
On a day when it was badly needed the judges of the Supreme Court obliged with some good news.
Yes, it was mixed with bad news in the judgement on the bedroom tax, as two claimants won their case and others were refused, but it was still a welcome vindication of the case put forward by the Carmichaels, the Rutherfords and their lawyers. In the words of the judgement, the decisions on their housing benefit were ‘manifestly without reason’.
Is the customer always right?
Posted: October 24, 2016 Filed under: Culture, Homelessness, Local government, Poverty, Temporary accommodation, Welfare reform | Tags: I Daniel Blake, No Place to Call Home 2 CommentsOriginally published on October 24 on my blog for Inside Housing
Whether we are talking about benefits or housing, a new Ken Loach film and a BBC documentary expose a system that’s failing. In the face of growing demand and shrinking provision, the safety net has gaping holes. Rising homelessness and the queues at foodbanks are the symbols of this. The basics of life – shelter, food and warmth – can no longer be taken for granted.
Seen from the outside this is obvious and so are the answers. Return to provision based on need. Build more social housing. Abandon the divisive rhetoric of strivers and scroungers. Follow the founding principles of the welfare state.
Most people working on the inside will agree with this. But they also have to work within the system as it is and they know that there is little chance of real political change any time soon. This dual reality is perhaps most obvious in the social/business divide within housing associations but it exists right across the public and voluntary sectors too.
Watching I, Daniel Blake and No Place to Call Home over the last few days, these divides were obvious. One is a documentary, the other a film, but both would claim to be revealing truths about life when the safety net fails. But they also beg a less obvious question for people working within the system: how do you know when you’ve crossed the line between doing your best in an impossible situation and making that situation worse? One answer, I’d suggest, lies in the language we use.
Jules Birch 