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Scottish Charity Register No. SC043760

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Families in Wales lose out

July 10 2009
Funding stops for a scheme that slashed B&B payments Hundreds of families in Wales could be made homeless after a Government decision to halt funding for a successful landlord scheme. The families, who were originally living in temporary B&B accommodation, were given secure housing as part of an initiative where councils obtained properties from private landlords. On the Welsh island of Anglesey alone, the project managed to reduce the amount councils were paying for B&Bs by more than £300,000 and housed 207 families thanks to a £1million subsidy. But the Treasury suddenly withdrew the funding at a time when the recession was fuelling the homelessness problem. Cashstrapped councils have been left the choice of a massive overspend or of a rent hike that could force people out the properties. Anglesey Council leader Phil Fowlie has written to the Assembly calling the withdrawal of the Private Sector Leasing subsidy (PSLS) "scandalous". He said: "The consequences for those vulnerable households living in PSLS properties and future clients are far reaching. As the recession continues to deepen, added burdens will inevitably be placed on the homelessness service and social renting sector." The Welsh Assembly said the withdrawal of funding was a "surprise" and that they would do all they could to ease the financial burden on local authorities.
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