Welfare Reform The biggest challenge to housing Brendan Sarsfield Group Chief Executive Family Mosaic
23,000 Homes 1,000 New Homes per annum Large Supported Housing Service London & Essex focus 80% of new tenants on benefits 50% of all tenants on benefits
Housing Policy Higher Rents / Less Grant Less Security More Homes needed especially larger ones
Welfare Policy Lower Cost Personal Responsibility Challenge Dependency Culture
Welfare Reform £26k Benefit Cap Universal Credit Non-dependent charges Under-occupation penalties (but not for pensioners) Moving people off Incapacity Benefits
Mirror, Signal, Manoeuvre Independent Research from Resident Perspective Looked at 50 lettings in November 2010 Calculated Affordable Rent and affect on Resident & Family Mosaic Also looked at 60% Market Rent
80% Weekly Market Rent One Bed=£163 Two Bed=£210 Three Bed=£256 Four Bed=£374 Average=£239 Current= £96
Mirror, Signal, Manoeuvre Residents Messages Neither 60% or 80% market rent are affordable to most of our tenants Can work outside London and in some low value areas in London Creates a significant poverty trap and major disincentives to work
Mirror, Signal, Manoeuvre Family Mosaic Messages Family Mosaic increases income But more dependent on benefit income Quickly uses up capacity to borrow
Mirror, Signal, Manoeuvre Government Messages Housing Benefit bill increases Works against Welfare Reform goals The Benefit Cap stops larger homes being provided Where will homeless live in London? Not sustainable
Family Mosaic Response Development Retain focus on existing client groups Still develop but smaller programme; and Lower rents
Family Mosaic Response Management Better data collection More Front Line Staff Publicity for Changes Borough Liaison Probationary Tenancies
Housing Policy Affordable Rent Model was response to cuts not a strategic move Housing Policy evolving – Hand up not Hand out Housing Organisations need to review social purpose
FAMILY MOSAIC