Furniture poverty is a real problem, made worse as the cost of living crisis intensifies.
End Furniture Poverty, the campaigning arm of FRC Group, (a group of social businesses and registered charities based in Liverpool), have reported that living without essential furniture affects people’s mental and physical health, as well as their financial and social wellbeing. Further, the cost of furniture has said to have risen by over 30% since 2008. Yet, only 2% of social housing properties are let as furnished, compared to almost a third of homes in the private rented sector.
Research carried out by End Furniture Poverty suggests that furnished tenancies are a priority for social housing tenants when they have been asked how they would like landlords to help them tackle their financial problems. The cost of furniture is said to be the biggest cause of year one debt in a new tenancy. Tenants are often escaping homelessness or fleeing from domestic violence and will often have nothing by way of possessions. Furnished tenancies in social housing will provide all of the essential furniture items to tenants upon the commencement of their tenancies, making their property moves seamless and less stressful.
Commenting on the matter, Reverend Dr David Walker, Bishop of Manchester and Chair of Wythenshawe Housing Group, has previously commented as follows:-
“…The fact that some 29% of private tenancies are fully or partly furnished, compared with only 2% of social tenancies, should be in itself a clear indicator that we in the social housing sector are failing to tailor the services and products we offer to the needs of the types of households we are set up to serve.
“I commend it to senior executives, frontline workers and board members in social housing, and hope that together we can make an impact to reduce furniture poverty from the blight it is on so many lives.”
What are the advantages of furnished tenancies for tenants?
- Tenants would no longer have to furnish their homes, eliminating additional financial pressures.
- The cost of furniture can be included in the service charge element of tenants’ benefits, meaning that tenants would not need to budget high sums for essentials, such as washing machines, ovens, beds and sofas.
- Not having to furnish their properties would likely lead to more disposable income for tenants.
- Furnished tenancies would serve as a preventative measure to a number of tenants’ primary source of debt.
- Tenants will likely have more pride in their homes, potentially leading to more visitors, stronger relationships and increased engagement with third parties, such as support workers.
- Tenants will likely be more comfortable in their homes. They won’t just have a roof over their heads, but they will also be equipped with the necessary appliances to lead a stronger quality of life.
What are the advantages of furnished tenancies for landlords?
- More long lasting and sustainable tenancies, reducing the need to re-let properties.
- As tenants will likely have more disposable income, this will potentially lead to a reduction in rental arrears, leading to less possession proceedings, as well as time and court costs for social housing landlords.
- A generation of income as the service charge continues to be paid after the cost of the furniture is recouped, creating surpluses that can be reinvested into supporting tenants in other ways.
- Landlords will essentially be offering more support to tenants and enriching their lives, as well as that of overall communities.
- Landlords will be investing more into their housing stock and their tenants.
- Having furnished tenancies will set landlords apart from the rest, potentially attracting more tenants.
- Hard to let properties will potentially become more attractive to prospective tenants.
Notwithstanding the above, it is clear that the implementation of the campaign will provide a further burden on landlords as furnished tenancies will lead to more work, the modification of tenancy agreements, more policies, (relating to matters such as furniture replacement), potentially more visits to properties, the determination of furniture packages, as well as insurance implications. It is therefore up to social housing landlords to weigh up the pros and cons in deciding whether to adopt such a scheme.
End Furniture Poverty aims to provide support and guidance to social housing landlords who are considering creating furnished tenancies. Further, End Furniture Poverty are also set to publish new research this autumn, offering even more information and support, therefore this likely won’t be the last we hear of this interesting campaign.
