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Fixed Term Tenancies in Barnet
CWAG 3rd March2017 Faisal Butt (London Borough of Barnet) & Stuart Coleman (Barnet Homes)
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Context London’s most populated Borough with over 374,000 residents 35% of land is designated as Green Belt or Metropolitan Open Land. Currently have 5th highest for number of households in Temporary Accommodation (2,800+). 9th most benefit capped borough. Average income: £42,817 & average house price: £540,000 (Aug 2016) = 12 x income to house price ratio. Average rent on a 2 bed in the private rented sector is £1,450. Barnet Homes manages 10,500 council homes and re-lets around 300 homes every year.
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10 27,000+ 30,000+ £11m+ +91,509 NEW HOMES BUILT ACROSS THE
REGENERATION PROGRAMME 30,000+ NEW JOBS CREATED THROUGH THE REGENERATION PROGRAMME 10 SCHOOLS ACROSS PRIMARY, SECONDARY & HIGHER EDUCATION LEVELS £11m+ RECURRENT INCOME TO THE COUNCIL BY 2020 +91,509 SQM OF RETAIL & COMMERCIAL SPACE DELIVERED IN BRENT CROSS SHOPPING CENTRE
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Introduction of Flexible Tenancies
Choice-Based lettings allocations scheme replaced by assisted choice banding system in April 2011 Flexible tenancies introduced in April 2012 following powers introduced by Localism Act 2011 LBB Local Tenancy Strategy provides guidelines for flexible tenancy Allocations Scheme provides increased preference for applicants who have a ‘community contribution’ giving preference to those in work, training and education. LBB Local Tenancy Strategy includes: the criteria for being granted an introductory tenancy followed by a lifetime secure tenancy, 2 year flexible tenancy or 5 year flexible tenancy. the time frames for tenancy reviews and the appeals process the comparable rights of secure and flexible tenants
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Why Flexible Tenancies?
To ensure that Barnet Council’s housing stock is used as effectively as possible to provide homes for Barnet residents in housing need; Tackle under-occupation and overcrowding; Help tenants take control of their lives through income maximisation and promoting independence
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Secure and Flexible Tenancies
Tenancy type No. of tenancies Introductory Tenancy & 2 years 29 2 Year Flexible Tenancy 9 Introductory Tenancy & 5 years 831 5 Year Flexible Tenancy 85 Introductory to Secure Tenancy 171 Barnet uses flexible tenancies of 2 and 5 years. New flexible tenants are granted a 12 month introductory tenancy followed by either a 2 year or 5 year flexible tenancy. Therefore, the tenancy lasts for either 3 or 6 years. A new flexible tenancy will either get an Introductory to 2 year flexible tenancy (IT2) or an Introductory to 5 year flexible tenancy (IT5). This means that they have a 12 month introductory tenancy before starting the flexible tenancy After a successful tenancy review, when they are signed up to a second flexible tenancy they will not have another introductory tenancy and will instead be given a 2 year flexible tenancy (2YR) or a 5 year flexible tenancy (5YR)
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Flexible Tenancy types
2 year flexible tenancies: Single people under 25. 5 year flexible tenancies: All other people with children over 25 and care leavers 12 month introductory tenancy followed by a lifetime secure tenancy - Only in extenuating circumstances such as a tenant who is in receipt of the state pension 2 year: Young single people were identified as vulnerable to getting into arrears and therefore it was appropriate to grant them, in particular, flexible tenancies. The reason that it is for a shorter duration is that they will be encouraged through the flexible tenancy process and reviews to have a community contribution status and therefore become financially independent 5 year: Also includes those with MATB1 certificate (28 weeks pregnant) 12 month introductory tenancy will be followed by a lifetime secure: where: Tenancy is pre 9/7/12 Tenant is in receipt of state pension Tenant is ex forces, medically and honourably discharged and saw active service A spouse or child of the tenant is disabled Tenant is terminally ill or their spouse is terminally ill
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Review Processes Housing Application:
Initial housing needs assessment, banding letter and Tenancy Sign up Housing Management: New Tenant Visit, 9 month introductory review, 8 month review. At each stage, the benefits of working, training & education are emphasised as a key part of the criteria for a successful tenancy review. The Flexible Tenancies Procedure in place to provide guidance to the management of flexible tenancy review At each stage, the tenant is made aware that they are being granted a flexible rather than a secure tenancy and what this entails. At sign up, they are provided with a leaflet explaining the reviews process and a list of support numbers to call eg Rents, Housing Officer, Floating Support, Repairs etc It is emphasised at each contact that a community contribution status is vital to have a successful tenancy review and information about employment support services, such as Future path is provided to tenants to help them to sustain their tenancies
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Review criteria 5 and 2 year flexible tenancies will not usually be renewed if: Households with children have an income equivalent to the median earnings in Barnet or the median minus 15% without children Criminal convictions Breach terms of an agreement Under-occupation The tenant has not worked or undertaken any training or education for 6 months prior to the tenancy end date.
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Flexible Tenancy reviews
There have so far been 37 flexible tenancies eligible for 8 month review: Tenancy review results No. Renewed 25 Not Renewed 5 Tenant ended tenancy 3 Evicted (pre-review) 4 Total 37 25 of these cases have successfully renewed following the tenants meeting the criteria as laid out by the Tenancy Strategy – indicating that the additional support and engagement work undertaken by Barnet Homes with residents is having a positive impact. 5 tenancies have not been renewed - (4 arrears (inclusive of 1 with no community contribution & 1 with ASB; 1 insufficient information) Evictions caused by ASB or rent arrears = with full possession proceedings taken against tenant before end of the flexible tenancy There have also been 2 appeals after unsuccessful 8 month tenancy reviews and these were both successful – due to vulnerability of the applicants on review original decisions overturned
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Case Study Miss B is a vulnerable 2 year flexible tenant.
Excellent levels of engagement. Experienced significant anti-social behaviour which was resolved through joint working with other teams. Referred to the Floating Support team and they helped to secure vital household items for her property. She took up the opportunity of a Social Care apprenticeship offered through Barnet Homes, ensuring she had a community contribution status as per a tenancy review.
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Impact of flexible tenancies
Increases levels of engagement between tenants and housing officers Higher numbers of younger and single tenants in work, training & education - leading to higher levels of rental payments Places increased responsibilities on organisation to undertake reviews and provide support to tenants. This has resource implications. Requires organisations to develop a robust and flexible tenancy strategy recognising tenant vulnerability and promotes financial independence. Resource implications are: Training staff on flexible tenancy process Training for staff on review process and managing the associated deadlines. Managing the appeals process, serving notices. Knowing where and how to make suitable referrals to support tenants sustain their tenancies.
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