Draft Tenancy Strategy Consultation

Overview

The Council is required under the Localism Act (2011) to develop a Tenancy Strategy by the end of January 2013.  This strategy will be used to help shape the Tenancy Policies of housing associations in the borough and provides recommendations on the type of tenancy offered, the duration of tenancies (if they are for a fixed term) and tenancy renewal.

Definition of terms

The type of tenancy - whether housing associations should offer Affordable Rent tenancies (at a rent up to 80% of market rents) or Target Rent tenancies (at a rent regulated by the Homes and Communities Agency) and the circumstances when each will be offered.

Most of the larger housing associations in the borough (including Richmond Housing Partnership, Richmond Churches, Thames Valley and London & Quadrant) have signed up to the Homes and Communities Agency (HCA) National Affordable Homes Programme (2011-2015) to deliver affordable housing. This means that they will be developing Affordable Rent properties with all new-build and a proportion of their existing homes being let at Affordable Rents. The Council will be able to nominate households on the Housing Register to these properties. It is proposed that Affordable Rent tenancies are suitable for the majority of households on the Housing Register although care leavers and those using learning disability services (and who are likely to access work) will generally be provided Target Rent tenancies. This is to ensure that these groups can access first jobs (which may not be highly paid) and still afford the rent and living expenses.

The duration of the tenancy - whether to offer a lifetime tenancy or a fixed term tenancy (can be renewed).

Housing Associations can now offer tenancies on either a fixed term or secure (lifetime) basis.  Fixed term tenancies must be for a minimum of five years although two year tenancies can be offered in 'exceptional circumstances'.

Tenency renewal - when a tenancy is for a fixed term the policy will describe the circumstances when a tenancy will be renewed or the circumstances when it may not.

There are certain grounds on which a housing association may wish not to renew a fixed term tenancy.  This could include a tenant not needing the size of property they live in (eg due to family members moving out) with the housing association not renewing the tenancy but providing alternative suitable housing instead. Grounds not to renew may also include the tenant earning a high enough income to buy a home on the open market. An alternative option is 'Pay to Stay' which refers to the Government's proposals to charge higher rents for new housing association tenants who have very high incomes.

Why your views matter

The Draft Tenancy Strategy Consultation intended to provide interested parties with an opportunity to comment on the draft strategy. The results of the consultation will be taken into account before the final content is agreed.