My Lords, I thank the noble Baroness, Lady Burt, for raising this issue.
We would expect local authorities, when offering a tenancy under this Bill, to ensure that, wherever possible, this does not result in the tenant underoccupying the property. Let me make that very clear first of all—I am grateful for the opportunity to do so—that it would not be in the interest of either the tenant or the landlord. Not only would the tenant be subject to the housing benefit adjustment, whose object is to remove the spare room subsidy, but it would also not be the best use of scarce social housing.
Our 2012 statutory allocations guidance clearly recognises that local authorities, when framing the rules that determine the size of property to allocate to different households and in different circumstances, will want to take account of the removal of the spare room subsidy. However, I recognise that there may be some rare cases—it has been indicated that such cases are rare—where, for whatever reason, the local authority allocates a property that has more bedrooms than the
tenant needs. In such cases, which, as I say, I would expect to be very few, it would be open to the tenant to apply for a discretionary housing payment to cover any shortfall.
In 2016, the Supreme Court dismissed a challenge to the removal of the spare room subsidy brought by a victim of domestic abuse on the grounds that it amounted to unlawful sex discrimination. That case involved a victim who was being provided with protection under a sanctuary scheme. In that case, the Supreme Court upheld the Government’s policy, which is not to deal with personal circumstances unrelated to the size of the property by the inclusion of general exemptions in the regulations but rather to take account of a person’s individual circumstances separately through the process for discretionary housing payments. The noble Baroness referred to some instances of which she is aware. I would be grateful to have a look at them just to make sure that everything has been done appropriately in those cases.
Since 2011, the Government have provided £900 million to local authorities in funding for discretionary housing payments to support vulnerable claimants, including victims of domestic abuse. There are no plans to withdraw funding for discretionary housing payments; funding for 2018 to 2021 was set out in the Summer Budget 2015. Funding for next year, 2018-19, will be £153 million for England and Wales.
The removal of the spare room subsidy was introduced to bring parity in treatment between the social and private rented sectors, encourage mobility, strengthen work incentives and make better use of available social housing. The rules on the removal of the spare room subsidy already include an exception for victims of domestic abuse in refuges. We do not intend to provide for any further exceptions, but I would be grateful to look at the cases to which the noble Baroness, Lady Burt, referred, to ensure that correct process has been followed.
That said, I have been asked to ensure that this issue is put in the general domestic violence pot, as was referred to, and I am very happy to give that undertaking. I appreciate that there may be a small minority of cases that deserve particular attention, and it is for that reason that I want to look at those cases and pass on any information to the Department for Work and Pensions, which leads on this issue, as the noble Baroness on the Front Bench and the noble Baroness, Lady Lister, will know.
With that, I am grateful to the noble Baroness for bringing this issue forward. We want to ensure that vulnerable people are not taken advantage of in this regard and that local authorities are doing what they should be doing in relation to the allocation of housing stock. I would therefore be grateful for that further evidence. I respectfully ask the noble Baroness to withdraw the amendment.