Teasdale Housing tenants may pay £1,200 more per year

CHANGES in the waypeople receive their benefits could significantly impact those dependant on social housing, it has been revealed.

As many as 40 dale people under the age of 35 living in a Teesdale Housing Association (THA) home could pay as much as £1,200 per year more for their accommodation.

This was announced by the association’s community investment officer, Peter Locke, during Teesdale Action Partnership's annual meeting on June 15. He told partnership members that the under occupancy charge, dubbed the “bedroom tax”, was already affecting a number of people and the full impact of universal credit will only be felt when it is fully rolled out in March.

The housing association has 825 properties in Teesdale, of which about 58 per cent of tenants receive housing benefits.

Of those, about 17 per cent are in arrears with their rent.

An additional challenge faced by THA is changes in the way housing benefits are paid.

Instead of being paid to the association, universal credit will see the cash being given to the person claiming it.

He said: “It remains to be seen how this will effect tenants in Teesdale.”

Mr Locke said he was worried that some people might not realise the change and will fall into areas for not paying their rent.

Those who have addictions or owe money to loan sharks are particularly at risk of falling into arrears, he said.

Responding to concerns voiced at the meeting, Mr Locke said the association tries to help people who find themselves in financial trouble and eviction is always a last resort.

He said: “It costs us a lot of money when a house is empty, so it is the last thing we want to do.” He said other challenges to sustainability of THA, which forms part of the North Star Housing group, includes the length of time it takes to occupy stock in Teesdale. He added: “It takes and average of 68 days to let a flat in Cockfield. A quarter of our stock in Staindrop became void during 2015/16.”

The rural nature of the area also increases the cost of maintenance compared to other North Star Housing homes.

However, Mr Locke said the quality of stock in Teesdale is “quite good”.

He added: “In terms of our sustainability, Teesdale is a really great place to live.”

Mr Locke also explained how the association was heavily involved in social projects and resident involvement.

Social value is also derived through procurement and contractors.