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HOMELESSNESS
AN ACTION PLAN FOR PREVENTION AND EFFECTIVE RESPONSE
REPORT FROM THE HOMELESSNESS TASK FORCE TO SCOTTISH MINISTERS

HOUSING POLICY

Housing supply

38. Across Scotland throughout the 1990s the number of dwellings (including both rented and owner-occupied housing) exceeded the number of households. In December 2000 there were 2.325m dwellings and an estimated 2.205m households. But these national figures conceal important local variations. In some areas — both rural and urban — there are acute shortages of affordable housing for rent. In others there is plenty of housing but it is of poor quality, of the wrong size, or in places where people do not want to live. In this connection the situation in Glasgow, which has the largest homelessness problem in Scotland, is particularly striking.

39. If the housing dimension of homelessness is to be tackled effectively then it will be necessary to address the very different problems of high demand and low demand areas. In high demand areas - notably areas of economic growth and pressured rural areas - an absolute increase in supply of affordable housing is required. In low demand areas the priority should be to build reasonable quality housing in places where people want to live, to re-create demand through improvements in the quality of existing housing and neighbourhood renewal, and to demolish housing for which there is no demand. In both types of area our recommendation for the gradual expansion of the priority need category will give rise to additional pressures over the next decade as the duty to provide permanent accommodation is extended.

40. These pressures will require improvements in the supply and quality of affordable housing. Under the 2001 Act, local authorities will be required to produce local housing strategies, based on current and predicted needs, which will serve as a basis for investment decisions. In these strategies, local authorities should set out proposals to tackle issues of housing supply and quality where they occur. Local authorities should also identify in their housing strategies what is required in their areas to make possible the phased extension of the priority need definition, and to implement our proposals on intentionality and local connection. Communities Scotland should support local authorities in making accurate assessments of what is required and assist in responding to these requirements. We recommend therefore that the guidance on the preparation of local housing strategies should make homelessness a priority and that this should be reflected in the allocation of resources by Scottish Ministers.

41. In addition to stressing this linkage between homelessness and housing strategies, we wish to flag up three particular aspects of housing supply where improvements should be sought. First, there is a need for more affordable, entry level, ready access housing for young people seeking their own accommodation for the first time. In some other countries this need is met by the private rented sector, but in Scotland this sector is not strong. A stronger private rented sector, with security for tenants, could play a role in providing housing for young people. During the 1990s Scottish Homes experimented with lead tenancies under which registered social landlords were funded to enter into arrangements with private sector landlords to provide reasonable quality housing for rent. These arrangements worked well in some areas, but not in others.

42. We understand that the Scottish Executive is undertaking research to examine the further potential of lead tenancies. We recommend that, if the research confirms the usefulness of lead tenancies, this should be actively pursued by Communities Scotland using resources from their development programme. We also recommend that local authorities should assess the local availability of affordable housing for young people seeking their own accommodation for the first time. Housing strategies should include proposals to address any shortfall.

43. Secondly, we wish to emphasise the importance of rent guarantee/deposit schemes in enabling young people and others of limited means to obtain access to the private rented sector. A number of local rent guarantee/deposit schemes have been piloted under the Rough Sleepers Initiative (RSI). We recommend that all local authorities should provide access to rent guarantee/deposit schemes by 2004. The Executive should issue national guidance on such schemes, based on lessons learned from local pilots; local authorities should also receive initial funding to enable schemes to be set up.

44. Thirdly, we wish to emphasise the importance of providing more furnished tenancies. For many homeless people the offer of an unfurnished tenancy is not enough because they lack the means to provide basic furniture. In these circumstances the tenancy is unlikely to be viable or sustainable. It is possible for homeless people in priority need to obtain community care grants for furniture from the Social Fund administered by the Department for Work and Pensions (DWP), but these grants are not available to non-priority need applicants; moreover the Social Fund is subject to local cash-limits which can mean that those eligible for grant are unable to obtain it at the time they need it.

45. We have noted that Glasgow City Council has developed a furnished tenancy programme as part of its efforts to tackle rough sleeping and to de-commission large-scale hostels in the city. We believe that other authorities should adopt a similar approach, within a national framework. We recommend that such a framework should be drawn up, with appropriate funding, by Communities Scotland. The key elements of the framework should be:-

(i) A furniture grant scheme under which housing providers could apply for grant if the accommodation is to be let to a homeless person. The grant should be sufficient to provide a bed, curtains, floor coverings, a cooker and a fridge and should be clawed back from the provider if the accommodation ceases to be let to a homeless person.

(ii) Drawing on the experience of the UK based Furniture Recycling Network and the work of such projects as the Edinburgh Furniture Initiative, a Scottish furniture re-cycling network should be established with a national co-ordinator, support office and web-site.

Progress in increasing the number of furnished tenancies will depend on the resources which can be made available, but we propose a target of 1,000 additional furnished tenancies a year for 5 years, at which point further need should be assessed. Communities Scotland should have overall charge of the programme and should distribute resources to local authorities on the basis of assessments of need and proposals to meet need put forward in homelessness strategies.

Housing allocations

46. We recognise the importance of ensuring that the priority given to homeless people in the allocation of permanent housing is balanced with the priority given to all other groups in housing need. At present, section 20(1) of the 1987 Act, as amended, places a duty upon local authorities and registered social landlords to give reasonable preference to homeless households in selecting their tenants. This reasonable preference also extends to those occupying houses which are overcrowded, below the tolerable standard or otherwise unsatisfactory, and to large families. Many homeless people not only have extremely urgent housing needs, but also long-standing ones, and are often very vulnerable. We strongly support the retention of the reasonable preference provision. This should ensure that homeless people continue to receive a high priority in accessing permanent accommodation.

47. The current Code of Guidance on Homelessness states that homeless people should be treated on the same basis as other housing applicants to local authorities in relation to the number of accommodation offers they receive. We strongly endorse this guidance. However it is not uncommon for housing applicants on the local authority mainstream waiting list to receive more than one offer of accommodation, while homeless people who are entitled to permanent accommodation under the homelessness legislation receive only one. We are keen to ensure that homeless people should be offered choices. We stress that offers of accommodation need to be reasonable and suitable if tenancies are to be accepted and sustained. We recommend that the number and quality of accommodation offers to homeless applicants should be monitored by Communities Scotland in the light of these comments.

48. We are aware of the growing interest in choice-based letting (CBL) schemes whereby local authorities or registered social landlords invite eligible applicants to select from a number of identified properties. Schemes of this kind may offer considerable benefits, but we are concerned to ensure that they do not operate in ways which deny homeless people the opportunity of participating, or in ways which restrict the stock of housing available for homeless people. We understand that the Chartered Institute of Housing is currently preparing proposals for the future development of CBL schemes in Scotland at the request of the Scottish Executive, and that guidance may be issued once the Institute has completed its work. We recommend that any such guidance should incorporate arrangements to prevent homeless people being disadvantaged.

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