Appendix A 1. Introduction and Aims Tenancy Policy The Trust is required by The Homes and Communities Agency, under the Tenancy Standard,to publish a Tenancy policy which sets out clearly to our customers The Trust s approach to Tenancy Management, including: how we make best use of our stock the types of tenancy to be granted interventions to sustain tenancies and avoid unnecessary evictions our approach to tenancy fraud and the granting of any discretionary succession rights. The Tenancy Standard sets out the following required outcome for all Registered providers: Registered providers shall issue tenancies which are compatible with the purpose of the accommodation, the needs of individual households, the sustainability of the community and the efficient use of their housing stock In developing this policy the Trust has also, as required under The Localism Act, had regard to Cheshire West & Chester s Tenancy Strategy which was published in June 2012. 2. Scope Elements of this this policy cover all existing and new customers to The Trust who are offered an Assured Shorthold Tenancy (Starter Tenancy), an Assured Tenancy, (Lifetime Tenancy) and customers who are offered a Licence Agreement in our temporary or hostel accommodation. There are a significant number of existing customers who already have an Assured Tenancy (Lifetime Tenancy) or an Assured Tenancy (Lifetime Tenancy) with Protected Rights: those customers who transferred from Vale Royal Borough Council in 2002 as part of the Large Scale Voluntary Transfer. These customers retain their current security of tenure and other rights as set out in their Tenancy Agreement. The policy does not cover customers who rent a garage, garage plot, shop premises or any other building or land where The Trust considers a lease, licence or other form of Agreement to be more appropriate. 1
3. Principles 3.1 Making Best Use Of Our Stock 3.1.1 The Trust HomeChoice Common Allocation policy ensures that new customers to The Trust from the housing register are offered appropriately-sized accommodation which meets their current housing needs. The policy also gives priority to existing Trust customers whose circumstances change over time and they need to transfer to smaller or larger accommodation. The Trust actively identifies such households and helps to support them to transfer to more suitable accommodation. The Trust has a separate Down-sizing policy which is effective in freeing up much needed family accommodation. Increasingly customers are expressing a number of reasons why they wish to downsize, most recently the impact of Welfare Reform, but it must be acknowledged that The Trust is limited as to how far it can make best use of its stock in this way as its supply of smaller accommodation is relatively low. However, one of the advantages of being a partner in the Trust HomeChoice Choice-Based Lettings scheme is that customers can bid for and move more easily to other social housing in the wider West Cheshire area, who have a supply of smaller homes. 3.1.2 The Trust subscribes to Homeswapper and promotes and facilitates mutual exchanges as an efficient way in which to make best use of its stock and at the same time meet the changing housing needs of our customers. The Trust also welcomes mutual exchanges which involve customers living in accommodation owned and managed by other registered social housing providers, in addition to having the facility to help customers in our Local offices access Homeswapper. The Trust also has a leaflet promoting the advantages of a mutual exchange and regularly produces articles in Your Home. 3.1.3 Each year the Trust makes a substantial investment in adapting a significant number of its properties. Whenever an adapted property becomes available to re-let then every effort is made to allocate that property to a customer who needs the adaptation. The Trust jointly funds with Cheshire West and Chester an occupational therapist to determine the urgency of applications. 3.2 Types Of Tenancy To Be Granted 3.2.1 The Localism Act, 2011 introduced the ability for Social Landlords to offer Fixed Term Tenancies, usually for a fixed period of 5 years, but at the present time The Trust does not intend to introduce such tenancies. The main reasons are because The Trust is committed to helping build stable and sustainable neighbourhoods and feels that the potential instability and uncertainty for customers around Fixed Term Tenancies 2
would have an adverse effect on the sustainability of its neighbourhoods. In addition the evidence, locally, is that current and prospective customers on a low income in mid Cheshire would have difficulty securing alternative accommodation in the private sector. As such The Trust will continue to offer an Assured Shorthold Tenancy (Starter Tenancy) to the majority of new customers which then, if the Tenancy has been conducted satisfactorily, automatically converts to an Assured Tenancy ( Lifetime Tenancy ). 3.2.2 The Trust will issue its customers with a Tenancy Agreement which is a Legal Agreement setting out both the rights and responsibilities of both The Trust and customers. A full explanation is given at sign-up, together with A Tenant handbook and The Trust has a range of leaflets outlining the importance of different aspects of its Tenancy Agreements. If the Trust decides to terminate a Starter Tenancy then a customer can appeal against the decision. The Appeals procedure is clearly set out in the Trust s Starter Tenancy policy. The type of Tenancies offered will be: Assured Shorthold (Starter Tenancy) The majority of new customers will be offered an Assured Shorthold Tenancy (Starter Tenancy) which will normally run for 12 months and no longer than 18 months should there be a need to extend the period of the Starter Tenancy period. Provided that there has been no to terminate it then the Starter Tenancy will automatically convert to an Assured Tenancy (Lifetime Tenancy) and there will be no need for the customer to sign a new Tenancy Agreement. Assured Tenancy (Lifetime Tenancy) As outlined above the vast majority of Assured Shorthold Tenancies (Starter Tenancies) will automatically convert to an Assured Tenancy (Lifetime Tenancy) after 12 months. Customers who are transferring from another Trust property or from another Social Landlord where they already hold an Assured Tenancy (Lifetime Tenancy) will NOT be offered an Assured Shorthold Tenancy (Starter Tenancy) but will be offered an Assured Tenancy (Lifetime Tenancy) as soon as they move into their new home. Affordable Rent Tenancy During the period 2011 2015 the Trust will be building 21 new homes and purchasing at least 1 new home from its Buy Back receipts as part of The Homes and Communities Affordable Homes programme. In order to comply with the requirements of the Affordable Homes Programme all of these homes will be let at an Affordable Rent. An Affordable rent is set at a rate which is up to 80% 3
of the market rent in the local area. The Trust will obtain an independent valuation for the Affordable rent for each property. In addition to the 22 homes under the Affordable Homes Programme a further 25 homes which become available to re-let over the same period must be let at an Affordable Rent. Given issues around demand, turnover and rent levels in different areas then the Trust has discretion to identify which re-let properties will be appropriate to convert to an Affordable Rent. Under this policy the Trust will only convert 2, 3, or 4 bedroom homes to an Affordable Rent and select them from across its stock but NOT from Over, Greenfields Park,Crook Lane and Wharton Gardens in Winsford. In addition it will not convert to an Affordable rent those 2, 3 or 4 bedroom properties where priority is given to applicants in Employment, Education or Training. Affordable Rent Tenancies will be advertised through the usual Choice-Based Lettings process but the advert will make it clear that the rent is an Affordable Rent. Customers moving into an Affordable Rent Tenancy will still be offered an Assured Shorthold (Starter Tenancy) which will automatically convert to an Assured (Lifetime) Tenancy as outlined above. Licence Agreement Customers moving into The Trust s hostel or shared supported accommodation will be offered a Licence Agreement. 3.3 Interventions to Sustain Tenancies and Unnecessary Evictions 3.3.1 All customers are provided with clear information regarding their Tenancy Agreement when they are made an offer of a Trust home. The rights and responsibilities of both customers and The Trust, and the consequences for customers should they fail to keep to the terms of their tenancy, are discussed as part of the sign-up process. The Starter Tenancy policy and procedures ensure that the overall conduct of a customer s tenancy is proactively monitored and early intervention in relation to any breach of tenancy and/or identifying the need for additional support prevents a problem from escalating and potentially leading to legal action to recover possession of a customer s home. 3.3.2 The Trust will deal with any breach of tenancy in accordance with a range of Trust policies and procedures and take appropriate action. A Race and Diversity Impact Assessment is carried out in relation to all Trust policies thereby ensuring that equality issues are taken into account when dealing with individual customers. The Trust will offer customers who are in breach of their tenancy appropriate support and advice to comply with their tenancy conditions e.g. customers falling into arrears with their rent will be offered Benefit and Debt advice from The Money Matters Team, other support is available from the Floating Support, Careline and Neighbourhood teams. Eviction for rent arrears 4
or any other breach of tenancy e.g. anti-social behaviour is not taken lightly and will only be taken after other possible interventions have been considered and in accordance with the relevant Trust policies. 3.3.3 There are many vulnerable customers who are not in breach of their tenancy but require appropriate help and support to continue living in their home. Customers living in sheltered housing receive the 24hr Careline Service and an individual Support Plan which is reviewed regularly ensures that they receive the appropriate level of support to meet their needs.vulnerable customers can also be referred to The Trust s Floating Support service and/or sign-posted to other appropriate support services. Intervention will include sign posting to social services, advice agencies, training, education schemes and voluntary groups. 3.4 The Trust s Approach to Tenancy Fraud 3.4.1 The Trust s Tenancy Agreements and The Common Allocation policy clearly set out the rights and responsibilities for customers in relation to fraudulent applications, unlawful occupation and illegal sub-letting. The Trust will take firm action to both prevent and address any tenancy or application fraud. The Trust has recently joined The Chartered Institute of Housing s Tenancy Fraud Forum and is learning from Best Practice in the Housing Sector. The Trust is also currently carrying out a pilot Tenancy Audit and one of the aims is to detect Tenancy Fraud. This is an area for development for The Trust as the impact of Welfare reform affects customers and the demand for social housing increases. 3.4.2 The Trust follows a rigorous verification process before a prospective customer is offered a Trust home involving a detailed interview and an Experian check which may highlight a potential fraudulent housing application. Under the Common Allocation policy any prospective customers found to have made false statements may receive a Reduced Preference banding. However, should a fraudulent housing application come to light after a customer has signed a Tenancy Agreement and moved into a Trust home then appropriate action, which may involve legal action will be taken to terminate that tenancy. 3.4.3 The Trust will take appropriate action to effectively investigate and manage any cases of possible unlawful occupation or sub-letting. The aim will always be to recover possession of any property when unlawful occupation or sub-letting is found to be the case so that the property can then be allocated fairly to an applicant in accordance with The Common Allocation policy. The Trust needs help from existing customers to make it aware of such cases therefore regular articles in Your Home will be published to raise awareness of unlawful occupation and sub-letting. In addition The Trust is working with Cheshire West and Chester Council in relation to the investigation of suspected tenancy fraud. 5
3.5 Succession Rights 3.5.1 The Trust has a separate Succession and Assignment policy and this Tenancy policy does not change the existing rights of succession for customers which are clearly set out in their Tenancy Agreement. Customers with Licence Agreement have no succession rights. 4. Responsibility The Directors are responsible to The Chief Executive and The Board for ensuring the effective implementation, monitoring and review of this policy. 5. Consultation and Review The Trust has consulted applicants, customers, The Tenant Consultative Committee and Cheshire West and Chester Council in the development of this policy which links to a number of other Trust policies which are supported by detailed procedures for their effective delivery. Given the amount of change and government legislation affecting The Trust and its customers then this policy should be reviewed in 2 years time. Author of Policy Date of Review Approved by Board Review Date Jackie Hodgson November 2012 November 2014 6