Newham London Borough Council - Homelessness inspection
Rating: Fair service | Promising prospects for improvement
Newham's 'Bond Scheme' has ensured that statutorily homeless people and those threatened with homelessness benefit from the significant increase in the borough's private rented stock. Although private sector bond or rent deposit schemes are common, Newham's scheme is understood to be the most extensive in the country, and the high number of tenancies is coupled with procedures to ensure satisfactory conditions and security of tenure for residents.
The Council has worked with landlords to make properties available through the Bond Scheme. This has included a publicity drive through estate agents, newspapers and other outlets. A housing association also identifies and manages a significant number of private properties for Newham's Scheme. The scheme achieved 1,197 tenancies in 2008/09; it's available to households in priority need who may become homeless and to households already accepted as homeless and living in temporary accommodation (in which case a qualifying offer is made). Instead of a deposit being charged to the tenant, a 'Bond' guarantee is given to the landlord by the Council, which is paid out if the tenant causes damage to the property. Landlords receive an incentive payment, which is only paid once per property.
There are effective arrangements to ensure that properties are of a satisfactory standard. Landlords and agents must be accredited through Newham's Landlord Accreditation Scheme. Properties are pre-inspected to ensure they meet minimum standards and documentation must be provided including the tenancy agreement and gas and electrical safety certificates. Landlords are given fast-track access to Housing Benefit payments at the start of a tenancy and are encouraged to attend quarterly Landlord Forum meetings and training sessions.
The assured short hold tenancies provided must be for a minimum of one year and rents must be within Local Housing Allowance levels. Homeless households are free to find their own private tenancies, inside or outside the borough, and then apply to the Bond Scheme, but the landlord would have to become accredited with Newham and meet the other criteria before a Bond is provided. The scheme is generally viewed positively by tenants and there is a low rate of tenancy failure.