Insurance boost to help South Kesteven District Council house more people

By The Editor

19th May 2021 | Local News

Landlords who rent their properties to South Kesteven District Council are to benefit from a new rental and property damage guarantee scheme.

The council is working with four other district councils in a pilot project which it hopes will lead the council to provide 50 more homes using private landlords.

A report prepared for yesterday's meeting of SKDC's cabinet says the district council cannot meet all the housing needs of the district solely through its own housing stock.

But Private landlords are often reluctant to offer housing to such tenants due to risks of such tenants causing damage and/or falling behind with their rent.

For the past two years, they have sometimes asked for additional guarantees concerning property damage and rent arrears.

This has also meant delays in getting homeless people from B&Bs, hostels and other temporary accommodation into something more permanent and suitable.

Councils have been working together to devise solutions, such as the one SKDC will offer in the trial with other Lincolnshire district councils and a nationwide company known as Help2Rent.

Cabinet member for Housing and Planning, Coun Robert Reid, said the scheme will be different to one promoted by Grantham Labour Councillor Charmaine Morgan.

Coun Morgan (Lab- Grantham St Vincent's) had sought a scheme where the council was liable for such rent arrears and damage, thus giving guarantees to private landlords, putting SKDC in a position of liability.

Instead, this insurance-based scheme would protect the council from liabilities, with its £29,200 cost to cover 50 homes would be funded from a £335,841 Homelessness Prevention grant awarded from central government for 2021/22.

Coun Reid (Con- Bourne Austerby) said after the scheme was implemented, there would be a full appraisal of its costs and benefits.

He told the meeting: "Success would be judged by the ability to increase the number of private properties identified in our housing needs.

"Here's a real opportunity for this council to get 50 families off the housing waiting list."

Coun Annie Mason (Con- Grantham St Vincent's) , cabinet member for communities, said: "I would encourage the local landlords to engage with the council on this."

     

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