March 18, 2011
Tenants should be giving the right to decide to whom their Housing Benefit payments are issued, that’s the argument being put forward by the Residential Landlords Association (RLA).
The Government’s much anticipated, and in some circles feared, Welfare Reform Bill is on the horizon and the RLA is calling for tenants to be given the right to choose who receives their benefits.
Members claim evidence shows that many tenants are falling into arrears and would prefer the security of knowing their rent has been paid.
Government ministers have argued that paying housing benefits direct to tenants promotes financial responsibility, and gives them the tools needed to be financially independent further down the road.
However, research previously commissioned by Shelter has suggested that of those tenants who would like their benefits paid to their landlord, 95% are struggling to manage their own finances. Despite this, they are denied the ability to make a choice for themselves.
"In opposition, the Conservatives supported the principle of tenant choice, believing it to be good for tenants seeking financial security and good for landlords, many of whom face unsustainable levels of rent arrear,” said RLA Chairman, Alan Ward.
"As the Government pursues an agenda of consumer and user empowerment and choice, the RLA is calling on the same principles to be applied to the private rented sector, with greater freedoms for tenants to choose what best meets their individual needs.
"We call on MPs to use the Welfare Reform Bill to enshrine in legislation the freedom and right for tenants to choose, without forcing landlords to lower rents, making renting untenable for many."
