Reid calls on Friday's summit meeting to stop sheltered housing rent increase (North Tayside Liberal Democrats)

North Tayside Liberal Democrats <info@libdems.org.uk>

Reid calls on Friday's summit meeting to stop sheltered housing rent increase

September 14, 2009 1:26 PM
Originally published by Scottish Liberal Democrats

Alan Reid, Liberal Democrat MP for Argyll & Bute, called on Friday's summit meeting between the Scottish Government, Argyll & Bute Council and Argyll Community Housing Association (ACHA) to reach agreement on reversing the recent rent increase imposed on ACHA's Sheltered Housing tenants.

Mr Reid was speaking after receiving a letter from the Council in which they admitted that the rent increase had been brought about because they withdrew Supporting People money from ACHA. Mr Reid has also received a letter from Scottish Housing Minister, Alex Neil, in which Mr Neil says that the Scottish Government had paid the Council Supporting People money this year. The Council failed to pass this money on to ACHA. This led to the rent increase. The increase is being phased in over three years. At the end of the three year period some elderly tenants will be faced with paying £40 a week more. They will not get Housing Benefit to cover this.Alan Reid MP: Argyll & Bute

The Council have refused to pay Housing Benefit to tenants on low incomes to cover the rent increase. This means that a tenant who receives only the basic state pension and pension credit will have to find £40 a week out of a weekly income of £130 just to pay this tent increase.

Mr Reid said,

"The Council have, up until now, always denied that they had withdrawn Supporting People money from ACHA. Now they have done a U-turn. They have admitted that they withdrew Supporting People money and that they cannot pay tenants Housing Benefit to cover the rent increase.

"The Council have a lot of explaining to do. The Scottish Government says they gave the Council Supporting People money. The Council failed to pass this on to ACHA. Now they're refusing to give tenants Housing Benefit because they can't pay Housing Benefit to cover rent increases brought about by cuts in Supporting People funding.

"Friday's summit meeting must result in the Council restoring ACHA's Supporting People funding and the £40 rent increase being scrapped. The Council's SNP/Independent Administration have behaved disgracefully, not using Supporting People money for the purpose for which it was given to them by the Scottish Government."

Notes:

The sheltered houses affected are at Caledonia Court, Ardrishaig -

Chalmers Court, Inveraray - Cragroy, Port Riddell, Dunoon - Dunmar Court, Oban - Elder Crescent, Bowmore - Ferfadd Court, Rothesay - Ford Spence Court, Benderloch - MacDougall Place, Bunessan - McCracken Court, Lochgilphead - Wallace Court, Sandbank and Lochgair Place, Tarbert.