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What is Social Housing

What is social housing?

Social housing is let at low rents on a secure basis to those who are most in need or struggling with their housing costs. Normally councils and not-for-profit organisations (such as housing associations) are the ones to provide social housing.

Social housing is affordable housing

A key function of social housing is to provide accommodation that is affordable to people on low incomes. Limits to rent increases set by law mean that rents are kept affordable.

Social housing is allocated on the basis of need

Unlike in the private rented sector, where tenancies are offered by the landlord and letting agent to whomever they choose, social housing is distributed according to the local council’s allocation scheme. Since the Localism Act 2011, councils can decide who is or isn’t eligible to go on the waiting list for social housing. Out of those who meet the council’s criteria, legislation requires that certain groups be given ‘reasonable preference’.

Social housing is owned and managed by registered providers

Registered providers (often known as social landlords) are the bodies that own and manage social housing. They tend to be non-commercial organisations such as local authorities or housing associations. Housing associations are independent, not-for-profit organisations that can use any profit they make to maintain existing homes and help finance new ones.

It is now possible for commercial organisations to build and manage social housing, although this is not yet common practice.

Social housing is regulated

Registered providers are financially regulated and funded by the government through the Homes and Communities Agency, which is responsible for the construction of new social homes. The government department currently responsible for overseeing the social housing sector is the Department for Communities and Local Government (CLG).

Who gets social housing?

Social housing provides stable, affordable homes for those at the sharp end of the housing crisis. In England, social housing accounts for 17% of all households.

Because there isn’t enough social housing to go around, more and more people who would benefit from this type of housing have to rent privately instead. For the first time in decades, private renters outnumber those living in social housing.

How is social housing allocated?

The main factors are:

  • Whether the individual is eligible to apply
  • Whether there is enough social housing to go around in their area

The amount of social housing varies from place to place. For example, in London and the South East the demand is much higher than in most other parts of the country. If people are subject to immigration control – that is, if they need permission to enter or stay in the UK – they won’t be able to join a council housing list. This also applies to those who have returned to live in the UK after spending a long time abroad – even if they have a right to live here.

A person may also be ineligible if they haven’t lived in the area for long enough, or if the local authority believes that they (or any other members of the household) are guilty of unacceptable behaviour.

Some people are deemed ineligible because they have breached a previous tenancy – for example, because they were in arrears with their rent. This can happen even if the council has agreed they are eligible and should have priority.

Housing allocation policies

All local authorities are free to set their own housing allocation policy as long as they agree to certain rules.

By law, local authorities must clearly set out procedures and priorities by which social housing will be allocated, and must make sure that information on these policies is made available to the public. Local authorities must also give the following groups ‘reasonable preference’:

  • people who are legally classed as homeless (or threatened with homelessness): the law classes a person as homeless when they have no home that is available and reasonable to occupy
  • people living in unsanitary, overcrowded or otherwise unsatisfactory housing
  • people who need to move for medical or welfare reasons
  • people who need to move to a particular location (for example, to be nearer to special medical facilities) and who would suffer hardship if they were unable to do so

Most local authorities operate points-based or band-based systems. These take into account how long applicants have been on the waiting list for social housing, their level of housing need, and other priorities

Housing associations also operate their own waiting lists and lettings policies, although they are expected to make a proportion of their lettings available to applicants approved by local authorities.

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