Landlord halves rents to break benefit trap

Published by 24publishing for 24dash.com in Housing and also in Central Government, Communities, Local Government

A charity providing housing and support services for vulnerable people in Birmingham has set up a rent relief scheme for young people which will see their rents halved if they secure employment.

Trident Reach – the People Charity – in association with its parent organisation 3,000-home housing association Trident Group – says many of its residents are discouraged from finding work because they’re better off on benefits.

It has set up a £100,000 fund to offer tenants securing employment a 50% subsidy on their rent for a set period, thought to be around eight weeks.

Speaking to 24housing magazine, Raj Shergill, head of tenancy support at the charity, said rents on its inner city stock are around £100 a week but that 98% of its customers are unemployed.

He said: “If a customer came to us and had secured employment we would subsidise their rent by 50% so that will help the customer. It would only be for a duration of time."

Mr Shergill says the scheme rolls out in October but has already proved successful when it was piloted in one of its foyer services with a number of customers securing permanent employment.

For fairness and transparency the charity has set up  a panel to decide on eligibility.

Nearly a year ago the charity set up a convenience store in a block of flats in Birmingham and currently runs three charity shops.

Its head office is in Oldbury, in the West Midlands, but it runs schemes and services across a number of regions – in Birmingham, Sandwell, Wolverhampton, Dudley, Shropshire, Derbyshire, Coventry and Worcester.