Saturday 4 May 2024

Rent Pressure Zones and the Housing (Scotland) Bill: A Potential Relief for Residents Affected by RAAC

A West Lothian Policy Development and Scrutiny Panel Meeting held on 25th April was marked by considerable focus on the implementation of rent pressure zones and new legislative measures pertaining to housing in Scotland.


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We have taken the liberty of summarising the Housing (Scotland) Bill, which was introduced on 24th March 2024 and is still being ratified::

Part 1: Rent Regulation: Part 1 of the bill focuses on rent regulation, including the designation of rent control areas. This part aims to address rising rents and ensure affordability for tenants.

Part 2: Eviction Procedures: Part 2 deals with eviction procedures, emphasizing duties to consider delaying evictions and determining damages for unlawful evictions. This section aims to protect tenants from unjust eviction practices.

Part 3: Tenant Rights: Part 3 addresses tenant rights concerning keeping pets and making changes to let property. It aims to provide tenants with more flexibility and autonomy in their rental arrangements.

Part 4: Other Tenant Matters: Part 4 covers various other matters relating to tenants, including unclaimed tenancy deposits, registration of letting agents, ending joint tenancies, delivery of notices by social landlords, and converting assured tenancies into private residential tenancies.

Part 5: Homelessness Prevention: Part 5 focuses on homelessness prevention measures, outlining the duties of relevant bodies, assessment of housing support services, and support for tenants affected by domestic abuse.

Part 6: Other Housing Matters: Part 6 addresses additional housing-related issues such as mobile homes, fuel poverty, and disclosure of information to the new homes ombudsman.

Part 7: Commencement and Ancillary Matters: Part 7 deals with commencement procedures and other ancillary matters related to the implementation of the bill.

You can read the full bill (here)

The Impending new legislation the 'Housing (Scotland) Bill' mandates councils to prioritize keeping people in their homes, emphasizing proactive measures to address housing needs and homelessness. Public bodies are now obligated to inquire about housing requirements and take appropriate actions based on the gathered information. 

In the video it can be seen that  West Lothian Council has earmarked, funding amounting to £4.3 million which has been allocated from August 2024 to December 2025 to support these efforts. The funds will support the underscore the Scottish government's commitment to addressing housing affordability and ensuring access to safe and adequate housing for all residents. 

A discussion on Rent pressure zones ensued, these are designated by Scottish government ministers upon substantiated evidence of excessive rent escalation within defined areas, causing tenant hardships and exerting strain on local councils to meet housing demands or subsidize housing costs. This mechanism serves to preempt a common scenario observed in England, where escalating rents drive an increasing reliance on housing benefits. Within these zones, rent hikes are constrained to the Consumer Price Index (CPI) plus 1%, fostering a more stable and affordable rental market.

Council officers explained that the new law promotes initiatives such as offering first-month rent and deposit assistance as either a loan or grant, along with ongoing canvassing and research endeavors, which aim to better understand and address the evolving housing needs of communities. Additionally, rental regulations are tailored to specific geographical areas through capping and collaring mechanisms, ensuring equitable treatment for tenants based on their location.

Furthermore, there has been a shift in policy regarding pets in rental properties, where previously they were approved, now they may be refused. This change reflects a recalibration of priorities to better accommodate tenants' preferences and lifestyles.

Lastly, public bodies are mandated to actively inquire about housing needs and homelessness, with a corresponding obligation to take affirmative actions based on the gathered information, underpinning a proactive approach to housing support and intervention. This expanded initiative encompasses police officers, for whom this represents a new aspect of their duties, as well as any council body not directly engaged in housing affairs. By involving a broader spectrum of public servants, this strategy aims to ensure that fewer individuals slip through the cracks and miss out on the support they require. This inclusive approach underscores a commitment to reaching and assisting every individual in need, thereby enhancing the effectiveness and accessibility of housing support services.

Wilson Chowdhety, representing the UK RAAC Campaign Group, expressed:

"Understandably, residents in RAAC-affected homes are seeking clarity on how the new legislation will impact them. While the changes may not be revolutionary, they do represent a step forward in ensuring that councils better understand and address the needs of their communities through thorough research and canvassing efforts. Ignoring the needs of RAAC residents is no longer acceptable under this new law, which has unfortunately been the experience for many in the past."

"For both council and private tenants, there is now an opportunity to advocate for rent pressure zones, which could lead to more affordable rents for returning residents in repaired or rebuilt properties. Individuals like Hannah Chowdhry have already taken proactive steps by reaching out to their representatives to push for such measures, recognizing the importance of addressing housing affordability in areas marked by significant deprivation indices."

"Furthermore, there is a need for greater clarity on how the loosely framed homelessness prevention process will impact RAAC homeowners. Councils will likely need to reassess their existing housing stock and consider whether demolishing and rebuilding is the best course of action given the strain on available housing. Additionally, there will be a heightened focus on preventing housed individuals from slipping into homelessness, highlighting the need for proactive measures to address housing insecurity across the board."

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