Older home owners in the UK living in large family homes whose adult children no longer live with them are set to get incentives to downsize.
In a bid to increase the supply of housing for first time buyers and families, the Government is set to announce in its long awaited Housing White Paper that it will also make it easier for pensioners to move into sheltered accommodation.
Housing Minister Gavin Barwell has confirmed that there will be incentives but the details will have to wait until the White Paper is published, which is expected to be tomorrow (Tuesday 07 February).
He told ITV’s political programme that freeing up more family homes will form part of the Government’s strategy which will also include more to help people rent better quality homes, signalling a move away from the idea that everyone should aspire to own their own home.
Barwell confirmed that there will incentives for older people ‘to sell big family homes they’re no longer using’. He said; ‘We’ve got a lot of demographic change in the country and an increasing elderly population, so it’s not just about how many houses you build, but are you building the right kind of houses? If we can make it easier for elderly people to move it releases family homes that we’re desperate for. It’s a really interesting idea’.
But afterwards officials were quick to point out that no one would be forced to sell their home. ‘The white paper will explore ways to stimulate the market. We want to make sure older people have a good choice of accommodation to help them to live independently for longer, and help reduce costs to social care and health systems,’ said a spokesman for the Department of Communities and Local Government (DCLG).
What is not clear is how such an incentives scheme will work. Barwell hinted on the TV programme that pensioners would be encouraged to move into sheltered style accommodation. There was no mention of how this might work or if there would be incentives for those wishing to move from a large detached home into a smaller terraced home.
Some councils have already introduced incentives at a local level. For example, in Redbridge, north-east London, the council helps elderly residents who wanted to move to sheltered accommodation by offering financial advice and covering the cost of moving and renovations.
Barwell hinted that planning laws will be rewritten to focus on family friendly policies and the rental sector is set for change. This could include a ban on landlords whose properties are substandard, action on excessive charges by lettings agencies and the introduction of guaranteed three year tenancies.
‘Housing has become more and more unaffordable for people who are trying to buy or trying to rent because governments for 30 or 40 years have not built enough homes. We want to see more housing built in this country of every kind. At the moment we are far too dependent on a small number of large developers building our homes,’ Barwell explained.
