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1240/5/1(345)
WRITTEN QUESTION TO THE MINISTER FOR HOUSING BY DEPUTY G.P. SOUTHERN OF ST. HELIER
ANSWER TO BE TABLED ON TUESDAY 20TH JUNE 2017
Question
Will the Minister inform members what proportion of tenants of Andium's affordable' rental properties are in housing poverty' (that is, paying over 30 per cent of total household income for housing, whether through Income Support or other sources)?
Answer
The Housing Affordability Report for 2015 provides a breakdown of the number of households in Jersey, which are in the lower 40% of the household equivalised income distribution, who are paying more than 30 per cent of their gross income on rental payments, i.e. are classified as being in rental stress. The report shows that 45 per cent of social rented tenants (Andium Homes and the housing trusts) were classified as living in rental stress in 2015.
However, this figure does not indicate that these households are living in poverty. Many households will receive Income Support and the housing component of the benefit provides financial assistance towards the reasonable costs of renting a social housing property. Income Support will recognise the full rent charged for a social housing property, providing that the household is occupying a property appropriate to its need.
In these circumstances, the proportion of household income that goes towards the rent is not an indicator of poverty because the disposable income of the household is independent of the cost of rent.
Moreover, Andium Homes' refurbishment programme means that all tenants will benefit from improved insulation and energy efficiency on their properties, which decreases the amount of disposable income they will spend on energy costs.