Penarth: Hundreds across the Vale still falling behind on rent

By Jack Wynn

8th Apr 2022 | Local News

Since the pandemic began, unpaid rent owed to the council has jumped from £367,000 to now more than £695,000. (Image credit: Jack Wynn)
Since the pandemic began, unpaid rent owed to the council has jumped from £367,000 to now more than £695,000. (Image credit: Jack Wynn)

Hundreds more people in the Vale of Glamorgan have fallen behind on paying their rent since the pandemic started.

A "bleak and depressing picture" was painted by council officers who said the amount of unpaid rent owed to the council has almost doubled and is expected to increase further.

Since the pandemic began, the amount of unpaid rent owed to the council has jumped from £367,000 to now more than £695,000.

The number of council house tenants claiming Universal Credit has also doubled, increasing from 452 in March 2020 to 1,093 last month. A few tenants in the Vale have racked up debts of more than £5,000 in unpaid rent.

As people struggled with money after being placed on furlough, working reduced hours, or losing their jobs, increasingly more have been placed on Universal Credit in the Vale.

Due to the way universal credit is paid, some claimants find it difficult to pay their rent on time, leading to unpaid debts stacking up. This can eventually lead to evictions.

Nick Jones, team leader of Housing Strategic Projects, said: "Importantly, universal credit is paid directly to the claimant, not the landlord, and that's a significant change.

"The idea is that universal credit mimics a salary and encourages financial responsibility. But over the last two years, it's been a challenging time in terms of collecting rent.

"Covid has had an impact on a lot of people living in the Vale, especially council tenants. Some of the impacts include furlough, reduced hours during the lockdown, jobs coming to an end, and it's speeded up the migration of people onto universal credit."

After a pause during the pandemic, landlords including councils are now legally allowed again to evict tenants who persistently don't pay their rent. Mr Jones said this was a last resort in the Vale and doesn't happen "very often".

Overall, the Vale council receives more than £21 million a year in rent from council housing.

     

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