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Autumn statement 2022: where are the measures to prevent homelessness?

While there are some welcome anti-poverty measures in the autumn statement, it’s disappointing that the chancellor, Jeremy Hunt, misfired in his aim to ‘protect the most vulnerable’ when it comes to struggling renters at risk of homelessness this winter.

First, let’s look at the good stuff.

Help with heating and eating

But, the statement contained few measures to tackle our housing emergency and avert growing homelessness for struggling renters this winter.

No increase to Local Housing Allowance

The crucial missing element was support for private renters. The Treasury has confirmed that Local Housing Allowance, which sets the amount of housing benefit that private renters can receive, will stay frozen again next year. Shockingly, this leaves housing benefit frozen (at levels based on 2018-19 rents) until at least March 2024, when rents have increased at their fastest-ever recorded rate.

https://blog.shelter.org.uk/wp-content/uploads/2022/11/House_of_Commons_17_11_22_14_05_27.mp4
Labour MP at the House of Commons asking the chancellor to review the decision to keep LHA frozen


We’ve already shown how frozen housing benefit contributes to rising homelessness because families claiming housing benefit can’t afford most rentals on the market. Now, councils are reporting that they’re even running out of temporary accommodation for homeless families in the face of a ‘tidal wave’ of demand. And that this is further exacerbated by frozen Local Housing Allowance, which ‘does not reflect the reality of the housing market, and tips more of our residents closer to homelessness’.

A whopping 7% increase to social rents

The autumn statement confirmed that social renters also face large rent increases next year – of up to 7%. This is very concerning. While some tenants will have this rise covered by housing benefit, others won’t – and will face hardship, eviction and homelessness. During a cost of living crisis, and with a two-year recession on the horizon, tenants shouldn’t bear the responsibility of the government to make sure councils are properly funded. Nor should struggling tenants be responsible for the poor financial management and bad maintenance of some social landlords.

No recognition that social housing is vital infrastructure

Finally, the chancellor neglected to mention that social housing is as vital infrastructure as the ‘good roads, rail, broadband and 5G’ needed for a modern economy and necessary ‘to allow wealth and opportunity to spread’. Investment in a new generation of social housing is needed for both economic growth and to avert the growing demand for health and social care.

We need action now

While the autumn statement is a good start, we now need urgent action to protect struggling renters, who’ll be key voters at the next election. The government must:

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