Transcript ARCH Work Programme 2012/13

ARCH/CWAG/NFA
Welfare Reform Survey
Early Results
Matthew Warburton
Context
• Underoccupation charge in operation from 1
April 2013
• Need for early analysis of impact on rent
arrears and council policies
• Survey of all ARCH, CWAG and NFA members
carried out in August 2013
• Focus on impact in 1st quarter of 2013/14
• Considering repeating the survey quarterly
Early results
• Responses from 20 ARCH members (31%)
• Some incomplete returns (“too early to tell”,
“policy still under review”)
• Will chase additional responses and compare
with results from ALMOs sector, and
incorporate in final report
Impact on arrears
Between 1 April 2013 and 30 June 2013:
• Median increase in no. of tenants in arrears:
16.5%
• Median increase in total arrears: 21%
• Median percentage of tenants subject to
underoccupation charge in arrears rose from
27% to 68%
• Median increase in arrears of these tenants
rose by 43%
Other impacts
• Arrears recovery action initiated in relatively
small number of cases so far
• Number of underoccupying tenants moved to
alternative accommodation insignificant so far
in nearly all responding councils
• Even fewer underoccupying tenants have left
council housing
Discretionary housing payments
• DHP is only reaching a fraction of tenants
affected by the underoccupancy charge
• Median: 18.5% of tenants affected
• Range: 4% - 70%
Policy changes
• Most responding councils are reviewing or have
changed arrears recovery policy
• A few have non-eviction policies for tenants
affected by the underoccupancy charge; most do
not
• Very small numbers of dwellings may be
reclassified
• Estimates of time needed to move all relevant
tenants to suitable property range from 7 to 15
years; most respondents unable to provide
estimate.
Conclusions
• Early days but impact of changes already
significant
• Important to continue to monitor impact
• Councils and ALMOs may benefit from sharing
information on impact and responses
• ARCH should continue to work with NFA,
CWAG, HouseMark and CIH to keep
developments under close scrutiny