More help needed for tenants: Generation Rent - Mortgage Strategy

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Generation Rent says the chancellor’s package of measures fails to help the half a million tenants who have fallen into arrears over the past few months.

The campaign group criticised Rishi Sunak for offering restaurant vouchers to encourage people to dine out, while many renters are struggling to afford to cover the basic costs of food and accommodation.

Generation Rent director Alicia Kennedy says: “It is tragic the Chancellor did not take the chance today to help the half a million renters who have got behind on their rent in the last few months. 

“While support for jobs is welcome, people are struggling to put food on the table now and face the threat of losing their home when the eviction ban is lifted next month. 

“They can’t eat out to help out: renters need a pay out to eat in!”

Generation Rent argues that government should have targeted more welfare support to tenants.

Baroness Kennedy says: “The stamp duty holiday doesn’t help renters whose incomes and savings have been destroyed by the pandemic and face a further setback to their hopes of buying a home. 

“Right now the government is leaving renters to bear the cost of the pandemic – we need Rishi Sunak to increase local housing allowance, remove the restrictions stopping people from accessing it, and end the rent debt crisis before it causes mass homelessness.”

Both Generation Rent and the National Residential Landlords Association also welcomed the Green Homes Grant, which will see both home owners and landlords receive vouchers of up to £5,000 to cover two-thirds of the cost of energy efficiency improvements.

However, Generation Rent expressed reservations about whether the money handed out to landlords through the scheme would filter through to the tenants whose homes are most in need of upgrades.

NRLA chief executive Ben Beadle says: “Improving the energy efficiency of rental housing is good news for tenants, landlords and local economies.

“We encourage all landlords to make use of this as it will mean housing standards are improved, tenants will save money and it will reduce carbon emissions across the whole sector.”

Baroness Kennedy adds: “We welcome the £2bn Green Homes Grant, which could make a huge difference to the quarter of private rentals that are non-decent. 

“Renters are more likely than home owners to live in an inefficient home, but if they are going to benefit, the government must make it easy for renters to request improvements. 

“Because enforcement of standards is so patchy, landlords don’t have much incentive to insulate their homes, so renters need the right support to make the most of this scheme and pay less for their heating.”

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