A huge rent increase has left one single mum scared she could end up without a home. Charlotte Hall reports.(Image: Manchester Evening News)
Rachael’s two-year old is causing mayhem with an ice lolly. The 39-year-old mum of three coaxes her into washing her hands with a gentle cooing and ready laughter.
Away from her toddler, she finds it harder to keep the fear out of her voice. It cracks and waivers when she tells the Manchester Evening News that she’s worried she and her kids ‘could end up on the streets’.
“When they go to bed, I sit downstairs on my own and I think: What do I do?” Rachael said. “How am I supposed to look after the kids if I don’t even know if I’m going to be safe in this house? I’ve nowhere to turn.”
Napier Street in Shaw, where several tenants with assured tenancies are facing a 20pc rent increase.(Image: Manchester Evening News)
When Racheal fled an abusive relationship several years ago, all she wanted was somewhere secure and stable to live with her young kids. And in 2018, after several moves between social housing properties through the council bidding system, she thought she’d found the family’s ‘forever home’ on a quiet residential street in Shaw.
Rachael lived there comfortably with her two-year-old daughter and 13-year-old son (her third and eldest has now moved out) for almost seven years.
But after her housing association, Places for People, suddenly announced a 20 per cent rent increase, her sense of security shattered. For Rachael, the rise amounts to £130 extra each month.
“If that had come directly from my account, I would have been left with nought,” Rachael said. “I’d have nothing to pay the bills with. I’m struggling as it is.”
Rachael Jelley, 39, is one of more than 30 residents on Gilderdale Close and Napier Street facing the huge increase. The rise came as a huge shock to the community.
Rachael Jelley is worried she won’t be able to afford her home if she’s classed as a private tenant. (Image: Manchester Evening News)
As far as they know, they have always been social housing tenants, which means rent increases should be severely limited.
But Places for People now maintain the group have always been private tenants. Even though Rachael’s tenancy agreement explicitly states that her landlord is ‘registered with the Homes and Communities Agency’, a regulator that was specifically for social housing before it was absorbed into Homes England, the governmental housing body.
“I never thought a housing association could do something like this,” Rachael said. “I’m worried I’ll be kicked out on the streets. What am I going to do about the kids?”
Rachael’s rent is covered by Universal Credit. But she claims when she went to the Department for Work and Pensions (DWP) to register the rent increase, the department was equally confused. For a short period, they stopped her rental payments entirely.
The DWP refused to comment on specific cases, but noted Rachael’s rent increase has now been applied to her claim.
Flats on Napier Street, Shaw. (Image: Manchester Evening News)
“I’m really stressed,” Rachael told the M.E.N. “The council help me out at the minute, but how long are they going to help me with the rent? What if they put it up by 20 per cent again next year?”
Rachael is worried that if she is officially classed as a private tenant, she will become subject to Local Housing Allowance rules. These would likely mean she has to start paying a portion of her rent – something she couldn’t afford as she is unable to work due to health reasons and childcare responsibilities.
Under LHA rules, Rachael estimates she would be facing around £350 of debt each month. The DWP would not comment on specific cases but noted that any tenant whose landlord is a ‘registered provider of social housing’ or ‘registered social landlord’ is not subject to LHA rules.
“Who do we turn to?” Rachael asked. “Where am I meant to go with my two kids?”
The stress is affecting her sleep and her mental state. Though she’s trying to hide the extent of her stress from her kids, she joked that her 13-year-old son keeps asking her why she’s ‘so moody’.
“I don’t want it to affect them, it’s not fair. I can suffer, but not my kids,” she said.
Rachael is not the only tenant affected. A group of around 30 tenants are fighting against the increase.(Image: Manchester Evening News)
But Rachael and her neighbours refuse to go down without a fight. Together with the Greater Manchester Law Centre, they are preparing to mount a judicial review against PfP.
Solicitor Oliver Edwards has issued a threat letter accusing the PfP of an ‘unlawful rent increase over and above the amount set by the Regulator of Social Housing’.
PfP maintains the residents are private tenants – but recently stated they would be ‘undertaking a full review of all affected tenancy agreements’ after pressure from the residents, solicitors and the press.
A spokesperson said: “We remain in the position that these properties have never been designated or treated as social housing. Despite this, we have always worked hard to keep rents as low as possible.
“However, we have listened to the concerns of our Customers and are undertaking a full review of all affected tenancy agreements and how these properties have been managed. Whilst the review is undertaken, we cannot comment on individual cases, and Customers should continue to pay their rent at the new rate.
“Following completion of our review, if the increase of rent needs to be changed and if any refunds are due, we will promptly credit Customers for any overpayment they may have made. Regardless of the outcome of the review, we will support all Customers to ensure any solution is workable for them and all will be treated fairly. We urge anyone struggling with current rents to contact us.
“As part of this process we have been providing documents to Customers on their tenancies and we can see in this case there has been a printing error which we apologise for, and we will reprint and reissue the documents as soon as possible.”