Agenda item

To receive the report of Eloise Shepherd, Housing Improvement Programme Director.

RECEIVED the report updating the Panel on the strategy to reduce Temporary Accommodation and Empty Homes in Enfield.

NOTED

1.    Eloise Shepherd (Housing Transformation Programme Director) said that following discussion at the November Housing Scrutiny Panel meeting regarding reconsidering modular supply as a potential partial solution to increasing homelessness, the report provides an overview of other schemes and issues for LBE in consideration of the possibility.

2.    The last viability review was conducted in 2019, and since then the market for modular homes and the delivery environment for development has shifted in a variety of ways.

3.    Enfield Council is now considering using modular homes – buildings that are manufactured quickly and affordably off site – as a way of relieving homelessness in the borough. The review has now commenced, and Eloise took Members through the presentation which detailed some key considerations at play and work undertaken by other boroughs.

4.    Eight sites are being considered for viability assessments. They would need to be available post completion for 5-10 years (ideally 7+) and fit 25-50 units and other principles for assessment included limited site clearance, no leasehold interests to resolve and the availability of parking/play nearby or sufficient room to provide onsite.

5.    In response to a question from Cllr Abey regarding the location of the eight sites being considered, Eloise agreed to circulate this information to Members following the meeting. Action: Eloise Shepherd

6.    In response to further questions regarding the cost for these units Officers advised that this is still being looked at as costs vary greatly.

7.    Following the assessment of sites, a decision will then be made as to whether any of the proposals are viable and stack up financially, after which there will be a procurement process and a full planning application to progress. Therefore, starts on sites would be unlikely until 2024.

8.    The report further summarised the increasing homelessness pressures across London and provided and update on the progress of the Empty Homes Strategy, which is another supply initiative to reduce homelessness demand.

9.    Officers highlighted further key issues, and the success of the Housing Advisory Service with focus on prevention of households moving into temporary accommodation. Shortage of supply of privately rented properties and a rise in rent levels had led to increased pressure on the service.

10. In response to Members’ enquiries, Richard Sorensen, Head of the Housing Advisory Service said that there had been a surge in the number of landlords who lease homes to the council asking for their properties to be returned to them, therefore the council had renegotiated with landlords to lease their properties at a higher rate. Joanne Drew, Director, Housing & Regeneration advised that for landlords who want to stay in the market, the council offers a range of different solutions to support them and, although it is a challenging market, the council is a very safe place for landlords if they want to continue renting their homes.

11. Richard added that over the past two years there had been a 90% decrease in the supply of affordable private rented accommodation in Enfield, and this was still on a downward trend in the market. He further explained that this is driven by landlords exiting the market. People are selling and for the first time since the post-war period, the private sector is shrinking. This has led to higher rents being charged for the remaining homes and a surge in evictions.

12. Under further questioning from Members, Richard said Enfield was competing against other local authorities and the Home Office to procure temporary accommodation in the borough, which was also pushing up costs.

13. In response to further discussions, Officers clarified that landlords were exiting the market and their properties were being bought by first time buyers. This was having a knock-on impact on low-income households dependent on the private rented sector. The use of residential properties across Enfield had been researched. Around 3,000 privately-owned empty homes had been identified, and promotions sent to the home-owners offering support as landlords, to bring homes back into use. 41 properties had been brought back into use so far.

14. In response to questions from the Chair and Cllr Gyosheva regarding empty homes, Officers advised that investigations are ongoing into the reasons for the overall significant reduction which is thought to be down to increase in the resolution of probate cases and the disincentive arising from Council tax policy which impacts on empty homes.

15.   Although a factor, Officers did not consider that Enfield’s landlord registration scheme had been the main cause of landlords exiting the market, as the cost was low in comparison to other changes at the national level in respect of tax, rent reform, and energy efficiency requirements.

16. In response to Members’ concerns, it was advised that original aims in respect of temporary accommodation use had to be re-looked at in the present circumstances, but that use of temporary accommodation should be seen as a stop-gap and should not be long term.