Showing posts with label social rents. Show all posts
Showing posts with label social rents. Show all posts

Monday, 23 September 2024

Report Finds that “Affordable” Housing Increases Rents for Low-income Londoners

 

 

As the Labour Party Conference meets in Liverpool and Brent's lead member for Regeneration also takes on a leading role in the national Labour Yimby (Yes in May Backyard) Group a well-researched report has been published that raises doubts about the strategy.


The YIMBY Group seeks to label any opposition to massive housing developments as NIMBYs (Not in My Backyard) - self-interested communities interested only in maintaining their own privilege - the Public Interest Law Centre report shows that the issue is more nuanced.

Although Cllr Tatler has argued that any increase in housing supply in Brent will lower rents through market mechanisms, according to My London Office of National Statistic data shows that Brent has seen the steepest rise in rents over the past 12 months of any local area in England or Wales.

The average rent is now £2,121 per month - a rise of 33.6% since 2023. This compares with a London average rise of 9.6%. 



 From the Public Interest Law Centre website

 

“Immediate action is needed to adopt policies aligned with UN standards of affordability. Time is running out, and the impact on children in temporary accommodation is especially urgent.”

 

PILC has launched a report that has found that estate regeneration projects that feature demolition routinely underproduce truly affordable housing for low-income Londoners and increase rents of council and social housing by an average of more than £80 per week. 

 

We commissioned Dr Joe Penny of UCL’s Urban Laboratory to analyse six of the ‘best’ and ‘worst’ regeneration projects across three London Boroughs including The Aylesbury Estate and The Heygate Estate.  

 

The report has found that the word “affordable” is used with no consideration for what is truly affordable for people who need these housing options the most and there will be a net loss of 2,151 truly affordable council homes. 

 

What is cross-subsidy estate regeneration? 

 

The cross-subsidy approach to estate regeneration has been the dominant model of estate regeneration for the past two decades and looks set to continue under the Labour government. 

It is when council estates are demolished to make way for expensive properties which are put on the market or rented privately. In theory, the new private homes fund the construction of “affordable” homes on the sites. 

 

“As legal aid lawyers, we witness daily injustices stemming from the housing crisis. This research, for the first time, clearly demonstrates the damage caused by current “affordable” housing policies and the push for demolition, which disproportionately affects many of our brave, working-class clients” said PILC’s legal caseworker and community legal organiser Saskia O’Hara.  

 



Challenging the narrative 

 

The new Labour government and the Greater London Authority maintain that cross-subsidy models are the answer to the housing crisis. However this report shows that it is making it worse. 

 

“The findings from this report evidence the urgent need for a fundamental rethink of estate regeneration in London” said Dr Joe Penny who wrote the report.  

 

“The current cross-subsidy model is badly failing council and social housing tenants, as well as those on housing waiting lists. Truly affordable homes – that is, homes that cost no more than 30% of net household incomes – are not being replaced in sufficient quantities; social and affordable rents are increasing beyond what those on the lowest incomes can afford; and structurally sound buildings are being wasted amid a deepening housing emergency.” 

 

Using the evidence in the fight for affordable housing 

 

To make the evidence as accessible as possible, PILC have created a short illustrated guide to the report and a video highlighting the top 5 things you need to know about council house building in London.  

 

These resources are designed to empower residents facing displacement from demolition of their housing estate and communities facing gentrification because of regeneration plans to challenge the plans with hard facts. 


We’ve been active in supporting local residents and grassroots campaigns to challenge injustice from gentrification for many years. |We use the law as a tool to assist, support and empower communities at the frontline of gentrification. 

We work to support local residents and campaigns to shift the power balance away from demolition and cross-subsidy regeneration back to the people who live there. 

As movement lawyers, we seek to be on the ground with campaigners, offering legal services as just one tool or tactic amongst others in a campaign. 

 

Download What Golden Era: A guide to help challenge estate demolition plans with hard facts. 

 

Download The promise of cross-subsidy: Why estate demolition cannot solve London’s housing emergency. 

 

Watch What Golden Era? 5 things you need to know about council house building in London. 

 


Monday, 1 February 2016

House of Lords Economic Affairs Committee hearing on Housing tomorrow

The House of Lords Economic Affairs Committee will tomorrow take evidence from the leaders of major housing associations and the Chief Executive of the National Housing Federation as it continues its inquiry into the UK housing market.

On Tuesday 2 February at 4:35pm in Committee Room 1 of the House of Lords the Committee will take evidence from:

 David Orr, Chief Executive, National Housing Federation

 David Montague, Chair, L&Q, G15

 Ian McDermott, Chief Operating Officer, Sanctuary Housing Association

Areas the Committee will explore with the witnesses include:

 How ‘affordable housing’ should be defined?

 The potential impact of Government’s plan to reduce social rents paid to housing associations and other landlords.

 How many homes can housing associations realistically contribute to the Government’s target of one million new homes by 2020?

 Are the housing associations confident that their properties sold under the extended Right to Buy scheme will be replaced on a one for one basis?

 Are housing associations making changes to their housing stocks to reflect the increase in the number of elderly households?


1. The evidence session is open to the public. If you wish to attend you should go to Parliament’s Cromwell Green Entrance and allow time for security screening.

2. You can watch the session live on the internet at www.parliamentlive.tv

3. You can follow the Economic Affairs Committee on Twitter @LordsEconCom

4. The House of Lords Economic Affairs Committee is Chaired by Lord Hollick.