Decision details

1.         That the Cabinet Member for Housing and Customer Services granted project approval for the Real Lettings initiative as set out in this report to enable the Council to enter into agreements with Resonance and St Mungo’s.

2.        That the Cabinet Member for Housing and Customer Services approved the investment of £15m into a Property Fund to support Homelessness.

3.         That Cabinet Member for Housing and Customer Services delegated authority to the Executive Director, Growth Planning and Housing and the City Treasurer to enter into contractual agreements for this investment.

Reasons for Decision

1.            This initiative is required to deliver additional affordable, suitable private sector accommodation to allow the council to meet its homelessness duties at a cost it can sustain against the background of:

·         An increasingly difficult market, marked by rapid increases in rent costs

·         The likelihood of increased numbers of households accepted as being homelessness

·         Changes to national policy and legislation likely - in the short term at least – to constrain the supply of social rented housing, and

·         A shift in emphasis in homelessness policy towards use of resources to prevention.

2.         This decision is necessary in order to fulfil the Council’s statutory duties to house persons who are defined as homeless under Part VII of the Housing Act 1996 and reduce the costs of fulfilling that duty.

3.         This investment provides a cost effective alternative to Temporary Accommodation and provides an additional source of good quality accommodation within London for families in housing need.

4.         This represents a positive investment for the Council compared with purchasing properties and providing support itself, continuing to provide long-term Temporary Accommodation.