Equality laws could affect “no benefit tenants” policies

Equality laws could affect “no benefit tenants” policies

10:52 AM, 26th February 2018, About 6 years ago 108

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Lettings agent Nicholas George recently admitted indirect discrimination on the grounds of sex, settling out of court with single mother Rosie Keogh. She was paid £2,000 compensation, because her application was refused on the grounds of being in receipt of benefits.

The action was reported today on the BBC news website (Click here to read the full story) stating: “The thousands of lettings agents and landlords around the country who reject housing benefit claimants could be flouting equality laws, due a recent legal case.

Rosie tried to rent a property in Birmingham and was turned down after revealing some of the rent would be paid by housing benefit. She immediately  made a complaint on the grounds that single women are proportionately more likely to be claiming housing benefit than single men.

The agents dismissed Rosie’s complaint, which as a former paralegal she took to county court establishing the principle of sexual discrimination under the Equality Act. Rosie told the BBC: “I felt something had to be done to challenge it. I was motivated by anger at such inequitable practice.

“It made me feel like a second-class citizen. You are being treated differently and it’s women and women with children who are bearing the brunt of this because they need to work part time.”

A Shelter survey last year of 1137 private landlords found 18% preferred not to let to benefits claimants and  43% had a blanket ban.

Shelter’s legal officer commented:”By applying a blanket policy they are actually preventing good tenants from accessing the private rented sector.

“Women are more likely to be caring for children and therefore working part-time and are therefore more likely to top up their income by claiming housing benefit.”

The NLA head of policy, Chris Norris, responded to the case saying: “Cases like this highlight the very worst of what a minority of renters have to put up with when looking to secure a home in the private rented sector.”

“The number of landlords willing to rent to housing benefit tenants has fallen dramatically over the last few years, because cuts to welfare and problems with the universal credit system are making it more and more difficult for anyone in receipt of housing support to pay their rent on time and sustain long-term tenancies.”


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Comments

Arnie Newington

8:33 AM, 3rd March 2018, About 6 years ago

I don’t think having social tenants in the private rental sector works.
If you are ending a tenancy to private tenants then they just move into another private rent. If you are ending a tenancy to social tenants they will go to the council to say they are being made homeless and ask for a council house. The council will tell them they can’t get one unless their is a formal eviction and to sit tight and force the landlord to go through a proper eviction procedure.
If there were no social tenants in the PRS then we wouldn’t have Shelter interfering in the private sector.
Given the mess that the social rental sector is in (largely as a result of the influence of Shelter) then it stands to reason that they will make an equally big mess of the private rental sector.

Luke P

8:42 AM, 3rd March 2018, About 6 years ago

Reply to the comment left by at 03/03/2018 - 07:31
It is still possible to not be suitable for a dog, pet or otherwise. Think about the shared house scenario with an already-resident severely allergic tenant.

Sam Wong

8:53 AM, 3rd March 2018, About 6 years ago

For the first time ever, we let a flat to a housing association/charity for asylum seekers/refugee. The assn pays rent into our bank account by standing order n restores the place to original condition on tenancy expiry. They r allowed to change tenants. I think this formula might b more acceptable to landlords n more workable for HB tenants.

Mark Alexander - Founder of Property118

9:06 AM, 3rd March 2018, About 6 years ago

Reply to the comment left by sam at 03/03/2018 - 08:53
Does your lease allow that?

Luke P

9:18 AM, 3rd March 2018, About 6 years ago

Reply to the comment left by sam at 03/03/2018 - 08:53
We do the same for a neighbouring area charity who need to relocate people. Works wonders because they have a tight budget and put in the support for the tenant. They accept paying us a few quid for the odd broken door and clean but know they have a property on-two should they need it. I’d love to do more like that.

Puzzler

9:18 AM, 3rd March 2018, About 6 years ago

I believe that while an out-of-court settlement can be reported, it is essentially a private agreement and so has not been tested in the court. Hence it has no legal standing as a precedent...perhaps a legal brain on here could comment on that?

Sam Wong

9:20 AM, 3rd March 2018, About 6 years ago

Reply to the comment left by Mark Alexander at 03/03/2018 - 09:06
We own the freehold.

Rob Crawford

9:22 AM, 3rd March 2018, About 6 years ago

I wonder how many who have commented above have actually read the article (link in header text)? This lady is single with a child and works as a cleaner. She is not unemployed. Ok, she does receive "top-up benefits". I suggest she is probably a very responsible mother who works hard. I would not have an issue with renting to her, although we would need to discuss affordability. Her position is very different from those on full benefits who do no work at all and just sit around doing nothing with no expectation of change!

Monty Bodkin

9:22 AM, 3rd March 2018, About 6 years ago

Reply to the comment left by Prakash Tanna at 03/03/2018 - 07:34FYI, the industry knows the correct terminology.
DSS is just common parlance used as a collective term to prevent wasting everyone's time.

Mark Alexander - Founder of Property118

9:40 AM, 3rd March 2018, About 6 years ago

Reply to the comment left by sam at 03/03/2018 - 09:20
OK cool 🙂

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