020 3745 1093
info@assessmenthive.co.uk
  • About Us
    • Meet the Team
    • Video Testimonials
    • PR & Events
    • Work With Us
    • Ethics & Code of Conduct
  • Our Services
    • Energy Performance Certificates
    • Energy Efficiency Consultancy
    • Professional Property Photography
    • Virtual Tours
    • Floor & Lease Plans
    • SAP Calculations & SAP EPCs
    • SBEM Calculations & Part L Reports
    • Water Efficiency Calculations
    • Legionella Risk Assessments
  • Resources
    • Video Blog
    • Blog
    • Ebooks
  • Get In Touch
  • My Account
    • Customer Login
    • Register
    • Portal Features

New Covid Arrears Funds: What It Means For Landlord

Posted on December 15, 2021

The Coronavirus pandemic has had a huge impact on everyone’s life, and for some tenants and landlords, it has caused a lot of financial concerns. Many renters lost their jobs or were placed on furlough with a reduced income and were unable to meet their rent payments every month.

This obviously had a knock-on effect on landlords, who have been left in a difficult position with tenants unable to pay. The Government have provided a lot of support over the last two years to help those struggling financially through the pandemic.

Earlier this year, the Department for Levelling Up, Housing, and Communities (DLUHC) announced a new £65 million support package for vulnerable renters. In this article, we are looking at what this support package includes and what it means for landlords this winter.

£65 Million Covid Arrears Funding

The new support package is aimed to help renters who have fallen into arrears because of the pandemic, and in turn, this will help landlords at the same time. Although the scheme has been announced by the DLUHC, it will actually be operated by the local councils.

Each local authority will be given the freedom to choose how to administer the support in their area. The overall idea is that the money will be paid directly to letting agents or landlords to help cover rent arrears.

Many industry experts have been calling on the Government for months to provide some kind of support to landlords and tenants facing difficult times. This latest support package is in addition to the £500 million funding announced back in September to support those struggling with essential bills such as food and energy.

Despite the positive news that funding is being provided for those in arrears, many are concerned that this money is not enough to help everyone who is struggling.

An estimated 3.8 million households are struggling with household bills and on a low income in the UK. Roughly 950,000 of these are also thought to be behind on their rent payments, and 1.4 million are struggling to pay their council tax. These are all those in the lowest 40% of incomes in the country, which is those with £24,752 or less.

This suggests that 33% of renters with a low income are currently in arrears, which is three times higher than pre-pandemic estimates.

What Does This Mean For Landlords?

Local councils are operating the new scheme to support any low-income households who are in rent arrears. Each council is responsible for deciding the best way to support each renter on a case by case basis. Payments will be provided directly to landlords or letting agents instead of being given to the tenants themselves.

Renters struggling with their payments should contact their local authorities for help and advice. Landlords are not able to claim for help or payments directly but can support their tenants in seeking help from local councils.

See our services page for a full list of our products.

Previous Post
Carbon Monoxide Alarms: A Legal Requirement For Rentals
Next Post
Commercial EPC Needs To Achieve B By 2030

Keep Updated & Compliant

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Thank you for subscribing.

Something went wrong.

We respect your privacy and take protecting it seriously

Alternative Disputes Resolutions

Independent dispute resolution – If you make a complaint and we are unable to resolve it to your satisfaction you may refer the complaint to The Property Ombudsman scheme (web site www.tpos.co.uk , email: admin@tpos.co.uk ). We will co-operate fully with the Ombudsman during an investigation and comply with the Ombudsman’s final decision

Recent Posts

  • How Virtual Tours Can Improve Your Property Value May 19, 2022
  • Top Tips To Prepare Your Home For Photography May 19, 2022
  • Spring Statement May 17, 2022
  • Pet Friendly Lets May 17, 2022

Contacts

info@assessmenthive.co.uk
T: 020 3745 1093
Libra House Business Centre, 192 Lancaster Road, Enfield, EN2 0JH
Facebook
YouTube
Instagram
Email

© 2022 Assessment Hive Limited – Terms – Privacy – Cookies

This website uses cookies to improve your experience. If you continue to use this site, you agree with it.