DRAFT City of York Tenancy Policy and Tenancy Strategy

Version:	v1.0 15/01/2025
Approval status:	Not approved – presented for approval at Executive Member Decision Session
Author:	Ian Taylor, Assistant Policy Officer Andrew Bebbington, Housing Strategy Officer
Review date:	No more than 2 years following approval

1. Introduction

1.1 What is the Tenancy Policy?

1.1.1 This sets out the tenancy types and their intended use across the stock owned by City of York Council.

1.1.2 It is influenced by the CYC allocations policy, the wider Tenancy Strategy, regulatory and legal frameworks including meeting the Regulator for Social Housing’s Tenancy Standard[1].

1.1.3 The following policies are outside of the cope of this Tenancy Policy and constitute separate policy documents:

· Antisocial Behaviour Policy

· Adaptations Policy

· Allocations Policy

· City of York Council Domestic Abuse Resident and Tenant Policy 2025 to 2028

1.2 What is the Tenancy Strategy?

1.2.1 The strategy is an expression of how the council expects the various tenancy types will be used across the city. It therefore extends across all Registered Providers in the city. The Localism Act 2011 sets a requirement for Local Authorities to have an updated Tenancy Strategy. The Act sets out some procedural requirements for producing the Strategy and defines its scope as guiding local Registered Providers on:

(a) the kinds of tenancies they grant,

(b) the circumstances in which they will grant a tenancy of a particular kind,

(d) the circumstances in which they will grant a further tenancy on the coming to an end of an existing tenancy (Localism Act 2011, paragraph 150).

1.2.2 Extensive consultation with stakeholders was undertaken in 2012 to develop the initial Tenancy Strategy, which reflected did the issues raised by the Localism Act 2011 which permitted the discharge of statutory homelessness in the private rented sector and the introduction of Fixed term and Flexible tenancies. Further consultation has been carried out with Registered Providers, and the council’s Tenant Scrutiny Panel, on this document draft during 2023-24. The table below (Section 2) sets out the core elements of the refreshed policy and strategy.

1.3 Tenancy Policy and Strategy Objectives

1.3.1 This refresh supports the council’s implementation of the 2024 Consumer Standards[2] set by the Regulator of Social Housing. . The document also anticipates changes in the Renters’ Rights Bill[3], expected to end fixed term tenancies in the Housing Association sector and to require that Housing Associations issue either full Assured tenancies, or ‘Periodic’ tenancies in place of Assured Shorthold Tenancies.

1.3.2 The Policy and Strategy is intended to make the best use of social housing stock, and to protect tenant wellbeing while enabling the Council and Registered Provider partners to apply flexibility in management of homes where needed. Effective use of social housing stock can deliver better outcomes for disabled residents with a need for accessible housing, supporting access to specialist and adapted homes where appropriate.

1.3.3 Principles of transparency, clear communication and either meeting, or balancing, needs of individual tenants and tenants as a whole will be embedded within deliver of the policy.

1.3.4 This supports the Housing Charter[4] vision of One Team, Healthy Homes, Better Lives and the principles We Think Forward, We Think Together and We Think Home.

1.3.5 Section 4 sets out expectations in respect of assignation, exchange, succession and fraud. These sections are part of the Tenancy Strategy and would also form the council’s Tenancy Policy.

1.3.6 Appendix A sets out the City of York Living Rent framework, implementing Affordable Rent tenure in the context of our local evidence base.

1.4 Regulator of Social Housing Tenancy Standard: Relevant Expectations

1.4.1 This Tenancy Policy addresses the Regulator’s Tenancy Standard[5] expectations as follows:

[1.3] Tenure [all provisions]

[1.4.1] Registered providers must support relevant tenants living in eligible housing to mutually exchange their homes.

[2.3.1] Registered providers shall publish clear and accessible policies which outline their approach to tenancy management, including interventions to sustain tenancies and prevent unnecessary evictions, and tackling tenancy fraud, and set out:

a) The type of tenancies they will grant.

b) Where they grant tenancies for a fixed term, the length of those terms.

c) The circumstances in which they will grant tenancies of a particular type.

d) Any exceptional circumstances in which they will grant fixed term tenancies for a term of less than five years in general needs housing following any probationary period.

e) The circumstances in which they may or may not grant another tenancy on the expiry of the fixed term, in the same property or in a different property.

f) The way in which a tenant or prospective tenant may appeal against or complain about the length of fixed term tenancy offered and the type of tenancy offered, and against a decision not to grant another tenancy on the expiry of the fixed term.

g) Their policy on taking into account the needs of those households who are vulnerable by reason of age, disability or illness, and households with children, including through the provision of tenancies which provide a reasonable degree of stability.

h) The advice and assistance they will give to tenants on finding alternative accommodation in the event that they decide not to grant another tenancy.

i) Their policy on granting discretionary succession rights, taking account of the needs of vulnerable household members.

1.4.2 The provisions of 2.3.2 – 2.3.6 will also be embedded in landlord service delivery and 2.4.1 – 2.4.4.

2. Tenancy Policy and Strategy Overview

	Decision for Tenancy Policy only
	Tenancy Strategy Only
	Tenancy Policy & Strategy

Issue	Relevance: Tenancy Policy and/or Strategy	Policy / Strategy Approach
Introductory Tenancies	Tenancy Policy City of York Council (CYC)	City of York Council continues to offer Introductory Tenancies to all new tenants as a probationary arrangement. Introductory Tenancies should not be extended beyond 18 months. There should be clarity on whether to offer a Secure tenancy or in rare cases, to pursue eviction by that point.
Discretionary succession to Introductory or Secure Tenancies	Tenancy Policy (CYC) and Tenancy Strategy	Detailed consideration in 3.1 and 4.1 below.

Notice Required from the tenant to terminate a Secure tenancy and Prisoner Protocol	Tenancy Policy (CYC)	That CYC can consider a request from a tenant to terminate their tenancy with less than the standard 28 days, if exceptional circumstances apply. Granting the request would be at the council’s discretion. That CYC continues to offer the Prisoner Protocol, where an imprisoned person, who surrenders their CYC tenancy on imprisonment, is reallocated a suitable home on their release (subject to the terms and conditions of scheme).
Mutual exchanges	Tenancy Policy (CYC) and Tenancy Strategy	That RPs recognise the statutory grounds for refusing a mutual exchange request as per 3.1 below. Mutual exchange is a valuable tool for meeting housing need and RPs should use reasonable discretion to facilitate mutual exchange where appropriate as per 3.1 below
Affordable Rent	Tenancy Policy (CYC) and Tenancy Strategy	That CYC and other RPs participate in the government’s Affordable Rent scheme only when this contributes to meeting housing need in the city. In these circumstances, Affordable Rents must be at a level which is genuinely affordable for low income residents. Where Affordable Rent is used, it must be demonstrated that the % figure of market rent used to calculate the level of Affordable Rent, considers the needs of lower paid working households. York has an expensive housing market and it is anticipated that Affordable Rents will not generally exceed 60% of market rent. Compliance with Rent Standard and Guidance must be ensured in all cases[6]. This Policy introduces the York Living Rent for Affordable Rent properties, set out in Appendix A alongside additional analysis of this tenure in the City of York local context.
Demoted tenancies Family Intervention Tenancies (FITs)	Tenancy Policy (CYC) and Tenancy Strategy	That CYC and other RPs in the city retain the ability to demote secure and assured tenancies for the better management of Anti-Social Behaviour. RPs may also consider the use of FITs, which originated with the Housing and Regeneration Act 2008. These are an alternative to Eviction for families who are facing an Eviction warrant for Anti Social Behaviour. The household’s tenancy is demoted to the status of a Licence, allowing intensive support to be provided, with the tenant’s consent. Should the support be ineffective, repossession would be secured under the Licence, without having to go to court.
Secure and Assured Tenancies	Tenancy Policy (CYC) and Tenancy Strategy	That the standard post probationary social tenancies in the City are Secure (CYC) and Assured (other RPs) unless Fixed term, Flexible or Equitable tenancy are in use (see below)
Flexible (5 year) and Fixed term (2 year) tenancies	Tenancy Policy (CYC) and Tenancy Strategy	CYC will consider issuing new Flexible and Fixed term tenancies in exceptional circumstances only in accordance with section 3.6 below, and government guidance. Tenancies would be CYC does not intend to issue Flexible or Fixed term tenancies for all new tenants. All RPs can consider incentivising existing tenants to move, to better meet housing need, in circumstances such as under-occupation or accommodation with adaptations which are no longer required.
Licences	Tenancy Policy (CYC) and Tenancy Strategy	Licences have a limited range of uses in social housing as they offer the tenant very limited security in their home: a) Licences can be used by Housing Associations to create a probationary arrangement for new tenants. b) Licences can be used by all RPs in the city. Usually, this will be for residents needing support in the ‘Exempt Accommodation’ sector or where this is agreed as part of a delivery plan for multidisciplinary support provision such as through the ‘Housing First’ programme A probationary arrangement should not be extended beyond 18 months as above.
Equitable tenancies (16- and 17-year olds)	Tenancy Policy (CYC) and Tenancy Strategy	Minors cannot legally have any form of direct social tenancy. Where a minor needs social housing it is required that appropriate provision such as Equitable Tenancies (tenancies in trust) or an alternative suitable method are used.
Assured Shorthold Tenancies (ASTs) and the Renters’ Rights Bill	Tenancy Strategy	It is acceptable for ASTs to be used by Housing Associations for purposes of creating a probationary arrangement or providing and ‘Exempt Accommodation’ service to people needing support. CYC will issue Introductory Tenancies for new tenants as above as Local Authorities cannot issue ASTs. ASTs are expected to become a legacy arrangement if the provisions of the former Renters’ Rights Bill become law. Periodic tenancies are expected to be required in place of ASTs.
New rented social housing: includes Social Rent and Affordable Rent homes provided under s106 or similar future arrangement	Tenancy Strategy	New social and affordable rent housing will be made available through the City’s housing register when it is first released and either wholly or predominantly when re-let. Requirements will be set in a section 106 agreement or other nominations agreement with the council’s standard terms applied. Historic developments will be subject to the original nomination arrangements with RPs encouraged to provide nominations in excess of original arrangements where appropriate, in recognition of the high levels of housing need in the City.
Shared Ownership and Discounted Sale	Tenancy Strategy	There will be a single point of access for registering interest in each of these services. These products are for households with stable employment, access to savings and the ability to secure a mortgage but would experience difficulty in affording ‘open market’ prices.
Discharge of statutory homeless duty in private rented sector (PRS)	Tenancy Strategy	This is an acceptable option, provided there is a realistic chance of tenancy sustainment and that the property identified has been vetted by CYC. If the customer is subject to ‘no fault eviction’, within 12 months of duty discharge through this route, then that household must be recategorised as statutorily homeless.

3. Tenancy Strategy: Further consideration on key policy areas

The council’s website provides advice on key areas of tenancy policy, for example:

https://www.york.gov.uk/council-homes/change-tenancy

3.1 Succession, Termination and Exchange

3.1.1 This Strategy includes within its scope the terms for succession, termination, assignation and mutual exchange (swap) of social housing tenancies.

3.1.2 Registered Providers (RPs) in the City are expected to apply the following approaches:

1. Where RPs in the city are considering a mutual exchange, they can refuse an exchange if such an exchange would entail adaptations to the property or properties that would entail major and unreasonable expense, for example installation of a through floor lift. This is expressed in the current allocations policy for the city[7].

2. Discretionary Succession to a social tenancy can be considered on request, where survivorship, statutory or contractual succession do not apply. Whilst at the discretion of the landlord, fairness towards applicants on the city’s housing register must be considered.

3. It is anticipated that discretionary succession will not be awarded if the applicant has unreasonably given up suitable accommodation elsewhere.

4. Where an applicant who is seeking to succeed to a social tenancy does have a legal or contractual right of succession, then the RP can consider an alternative offer of accommodation if the succession proposed would be unsustainable or unaffordable for the applicant. If the applicant is not willing to accept a suitable offer, then the RP will use its legal powers to recover the property.

3.2 Grounds for refusing a Mutual Exchange

3.2.1 The grounds for refusal for mutual exchange requests which RPs must give consideration to are set out in Schedule 14 of the Localism Act 2011[8], summarised in Appendix B below.

3.2.2 As noted above, mutual exchange is recognised as a useful and affordable means of meeting need. It is strongly supported that RPs in the city to facilitate mutual exchange where this would help meet housing need. For example, this may be assistance in helping one of the parties obtain a minor accessibility adaptation. It is expected that all RPs allow free access to approved online mutual exchange services, for the council’s tenants this is https://www.homeswapper.co.uk/.

3.3 Deceased tenant

3.3.1 The council would expect all RPs to obtain a death certificate for any of their deceased tenants and not to terminate the tenancy until it is determined that there is no legal successor or survivor under the terms of Housing Acts 1985, 1988,1996 as appropriate.

3.4 Fraud

3.4.1 Where a tenant of any RP in the city has obtained a tenancy by providing false information in a wilful, negligent or deliberate manner then there are grounds for repossession under the relevant Housing Acts and it is entirely reasonable for a RP to pursue that route.

3.4.2 Obtaining a tenancy fraudulently is covered by the council’s existing allocations policy. Provision of fraudulent information by an applicant or tenant is further penalised by exclusion from the housing register for a period of five years and a fine of £5,000 can be imposed, based on the current allocations policy.

3.4.3 Where a criminal inducement is used to obtain or attempt to obtain a RP tenancy within the city, then it is expected that this would be referred to the Police in addition to action under any tenancy agreement.

3.5 Joint Tenancies

3.5.1 RPs will issue new joint tenancies where the parties have been accepted as joint application through the allocations and/or statutory homelessness process and are aged over 18, providing that no refusal criteria apply.

3.5.2 RPs will have discretion to refuse a request to add a non-dependent person to an existing tenancy. These requests will be considered on a case-by-case basis. An application for someone to join a tenancy may be refused if they have been previously evicted from any accommodation or have a proven history of relevant criminal activity, anti‐social behaviour or outstanding housing related debt (such as rent arrears or repair recharges) with any landlord. Arrears would not be taken into consideration where the applicant was subject to Domestic Abuse in the tenancy which the arrears relate to.

3.5.3 City of York Council tenancies will be issued and amended in accordance with the council’s policies and procedures. The council would not normally agree to add anyone to the tenancy unless they were the spouse or partner of the tenant.

3.6 Flexible Tenancies

3.6.1 The 2011 Localism Act permits local authority landlords to issue flexible tenancies for a fixed term period, which are reviewed at the end of the term. The fixed term is expected usually to be a minimum of 5 years but with a minimum 2 years in exceptional circumstances.

3.6.2 Registered Providers are expected to take into account community sustainability and the needs of tenants in developing policies on the use of fixed term tenancies, alongside, promoting the best use of stock to meet the needs of residents.

4. CYC landlord Tenancy Policy: Additional provisions

4.1 Succession, including discretionary succession

4.1.1 The council will offer tenancies by succession in accordance with the appropriate legal right to succession provided in tenancy law.

4.1.2 Where an applicant who is seeking to succeed to a social tenancy has a legal right of succession, or is offered a discretionary succession, then the council will consider an alternative offer of accommodation if the succession proposed would be unsustainable or unaffordable for the applicant.

4.1.3 This would include under-occupation of a family home, and non-eligibility for an age-restricted property. If the applicant is not willing to accept a suitable offer, then the council will carry out the legal process to recover possession of the property by applying to court.

4.1.4 Applications for discretionary succession will be considered where there is no legal right to succeed. This could be offered in cases where it is proven that the circumstances are exceptional, taking into account the vulnerability of the customer as set out in 4.1.5 below.

4.1.5 A tenancy would be offered in discretionary succession cases where the customer is eligible to join the Housing Register, and a) or b) below applies:

a) Following assessment with reference to statutory homelessness obligations, it is identified that the occupier is likely to be eligible, in priority need and unintentionally homeless if a tenancy is not offered, and as a result the council would be likely to have the main homelessness duty to rehouse the occupier.

b) Other exceptional circumstances are identified where the occupier’s vulnerability justifies the offer of a tenancy, even though these fall short of homelessness priority need.

4.1.6 If there is no legal right to succession and a discretionary succession is not offered, the council’s Housing Options team will provide support to access alternative accommodation where necessary, through personalised homelessness prevention services.

4.1.7 Where necessary the council will carry out the legal process to recover possession of the property by applying to court.

4.2 Mutual exchange

4.2.1 The council supports tenants to access alternative accommodation through mutual exchange, subject to checks and statutory and published eligibility criteria. Advice will be provided about the implications for tenure, rent and service charges, where relevant. The council offers mutual exchange opportunities via the home swapper website https://www.homeswapper.co.uk/

4.2.2 The council’s permission is required to carry out a mutual exchange. If tenants move without written approval they will usually be expected to move back, and in extreme cases this may be assessed as a tenancy breach.

4.2.3 Customers with any form of probationary tenancy will not have any rights of assignation, exchange or transfer.

4.2.4 Tenants in breach of their tenancy, or subject to demotion or Notice of Seeking Possession, may not seek a transfer or exchange.

4.2.5 The statutory grounds for refusal for mutual exchange requests which RPs must give consideration to are set out in Schedule 14 of the Localism Act 2011, summarised in Appendix B below.

4.3 Fraud

4.3.1 It is a criminal offence for a tenant to rent council home to someone else; this is sometimes known as 'subletting'. Under the Fraud Act 2006 and the Housing Act 1996, it is also a criminal offence for a tenant to falsely apply for a council property, falsely claim they are entitled to take over tenancy of a council property from a relative, or falsely apply for a Right to Buy discount.

4.3.2 The council carries out regular fraud prevention and data matching exercises to protect ourselves against fraud. Tenancy fraud can also be reported to the council’s independent auditor for investigation.

4.4 Joint Tenancies and Adding Additional Tenants

4.4.1 Persons on any form of probationary tenancy will not have any rights of assignation, exchange or transfer. Succession rights still apply.

4.4.2 Breach of tenancy would also be considered when assessing assignation.

4.4.3 City of York Council tenancies will be issued and amended in accordance with the council’s policies and procedures. The council would not normally agree to add anyone to the tenancy unless they were the spouse or partner of the tenant.

4.5 Fixed term tenancies – also known as flexible tenancies

4.5.1 The council’s policy is to officer fixed term tenancies in defined exceptional circumstances only, as set out in 4.5.4 below, otherwise secure tenancies would follow from the initial introductory tenancy. Fixed term tenancies will only be implemented by the council once available resources and systems are in place to do this. This will be determined through an appropriate Senior Officer decision.

4.5.2 Fixed term tenancies will be used for the purposes of effective stock management to meet tenant needs as a whole. Prior to the commencement of a fixed term tenancy an introductory tenancy would be offered.

4.5.3 Where a fixed tern tenancy is not renewed, tenants will be offered an alternative suitable property provided they are not in breach of their existing tenancy. Where a renewed or alternative tenancy is not offered, advice will be provided on access to alternative accommodation.

Fixed term tenancies allocation criteria

4.5.4 The council will allocate flexible tenancies on a fixed term basis in circumstances as follows:

Circumstance for offering Flexible Tenancy	Likely fixed term period
1. Significant accessibility adaptations are carried out or already present in a property, which meet a tenant’s needs at the point of allocation.	5 years
2. Tenants with a history of significant Antisocial Behaviour and/or arrears where recurrence is considered a potential risk.	2 years
3. Tenancies with significant needs that may present challenges in tenancy sustainment. A suitable support package would usually be expected to have been identified prior to tenancy commencement.	2 years – at the end of the period, if a renewed tenancy is not considered appropriate alternative “step down” accommodation with extra support should be sought
4. Tenants allocated a property following award of high priority due to a being a foster carer, or being approved to adopt prior to the adoption taking place.	2 years – at the end of this period a Secure tenancy would be expected providing the household continues to need the property type allocated
5. Tenant allocated a property of exceptional type in high need example, very large homes.	5 years
6. Other exceptional circumstances where a Flexible tenancy would meet the needs of stock management and tenant needs as a whole.	5 years unless there is exceptional justification for 2-4 years

4.5.5 Outside of these circumstances, new tenants will be allocated an introductory tenancy with provision to become secure and existing tenants will be allocated a secure tenancy at a new property.

4.5.6 Prior to the end of the fixed tern a review will be carried out. This will be informed by the considerations of 4.5.4 above and the council may decide to:

· Offer another fixed term tenancy at the same property

· Offer a secure tenancy at the same property

· End the tenancy and offer an alternative, more suitable property, on either a fixed term or secure tenancy basis

· In cases where there is a tenancy breach, the council may end the tenancy without offering an alternative property, but would offer support to access alternative housing options if needed

4.5.7 The principles of this Tenancy Policy and the Allocations Policy will be applied in making this decision. In accordance with the Tenancy Standard[9] 2.3.1, this policy aims to meet the needs of those households who are vulnerable by reason of age, disability or illness, and households with children, including through the provision of tenancies which provide a reasonable degree of stability, and to make best use of high demand social housing stock in doing this.

4.5.8 The communication and decision making process will ensure the expectations of Tenancy Standard[10] 2.3.3 are met:

“Before a fixed term tenancy ends, registered providers shall provide notice in writing to the tenant stating either that they propose to grant another tenancy on the expiry of the existing fixed term or that they propose to end the tenancy.”

Appeals and complaints

4.5.8 Tenants or prospective tenants have a right to appeal against the length of fixed term tenancy offered and the type of tenancy offered, and against a decision not to grant another tenancy on the expiry of the fixed term. The appeal should be made in writing within 21 days of the decision being issues.

4.5.9 A service manager, head of service or other senior manager within the service will consider the appeal and issue a decision within 8 weeks.

4.5.10 Complaints can be made through the council’s complaints process https://www.york.gov.uk/contact-us/raise-comment-compliment-complaint-concern

Fixed term tenancies implementation

4.5.11 Fixed term tenancies will only be implemented by the council once available resources and systems are in place to do this. This will be determined through an appropriate Senior Officer decision.

4.5.12 Where appropriate under defined support schemes such as “Housing First” to meet exceptional needs, licenses may be offered for an initial period. This would only be in circumstances where a tenancy offer would not be appropriate.

4.5.13 Except where tenants choose to move to accommodation let on Affordable Rent terms, the council will at all times grant those who were social housing tenants on the day on which section 154 of the Localism Act 2011 comes into force, and have remained social housing tenants since that date, a tenancy with no less security where they choose to move to another social rented home, whether with the same or another landlord.

4.5.14 The council will grant tenants who have been moved into alternative accommodation during any redevelopment or other works a tenancy with no less security of tenure on their return to settled accommodation.

5. Review of Tenancy Policy and Strategy

5.1 Impacts of the Tenancy Policy and Strategy will be monitored against the objectives.

5.2 A review will be carried out no later than 2 years from the approval of the policy. Earlier review may be implemented if impacts are identified supporting this.

Appendix A: City of York Living Rent

A1 City of York Living Rent Summary

Affordable Rents should in all cases meet City of York Living Rent expectations that:

c) Rents are set in accordance with the government’s Rent Standard and National Planning Policy Framework definitions, at up to 80% of market rent inclusive of service charge (for a new tenant)

d) Rents are set at up to Local Housing Allowance rates as provided by central government, or

e) In exceptional cases where robust viability evidence demonstrates that Local Housing Allowance levels would not be viable for a housing development, rents are set up a maximum of 35% of local low income levels for a relevant household (see A3 below)

A2 Evidence Review: Rents and Incomes

The Affordable Rent[11] tenure enables higher rates to be charged to support expansion in delivery of social housing. Homes provided under the scheme by Registered Providers, including the council, are fully eligible for Housing Benefit/Universal Credit Housing Element. The data that comprises the evidence base in this Appendix and reference figures for decision making will be indexed to relevant measures on an annual basis.

Affordable Rent levels are set up to a maximum of 80% of market rent, which can be significantly higher than traditional Social Rents, calculated via the Target Rents system. Affordable Rents must include any service charges. It is proposed to use a lower level in the City of York, taking into account local incomes and market rent levels.

Social Rent is used as the required rented tenure for most Section 106 affordable housing through the planning process. In cases where there are exceptions to this, for example when national policy requires the use of Affordable Private Rent[12] which is a similar tenure to Affordable Rent, a similar evidence based policy approach is applied alongside viability and planning law considerations.

In the City of York it is recommended to use Affordable Rent for additional affordable supply only where it is clearly demonstrated that additional affordable homes are provided as a result. This is in view both of the exceptional need for affordable homes locally, and the estimated 60-65% of social housing tenants who will be in receipt of Housing Benefit / Universal Credit Housing Element.

There are a number of considerations to take into account in utilising Affordable Rent:

· An affordable rent may create financial challenges for households in lower paid employment if they are not entitled to Housing Benefit / Universal Credit Housing Element or in receipt of benefits and subject to a non-dependent deduction.

· If an Affordable Rent investment plan is agreed with Homes England, a certain number of re-lets across the landlord’s entire stock may be expected to be re-let at the Affordable Rent level. There is no such agreement in place by the council currently however local RPs may be required to do this.

· Affordable rent is unlikely to be affordable to the lowest quartile of incomes unless in receipt of Housing Benefit / Universal Credit Housing Element.

In York, with its expensive private rentals market, a rent level set at 80% of market is not likely to be genuinely affordable. and any social landlord in York using Affordable Rent would need to utilise a lower percentage of market rent.

This is shown in the table below using recent market evidence, and a reference household earnings amount of £41,606, reference income: this is 1.5x the 2025 Lower Quartile full-time earnings for the City, of £27,737 as provided by the Office of National Statistics (using the Work Geography measure to represent lower paid employment in the City)[13]. A typical affordability benchmark is that housing cost below 30% or 35% of gross earnings.

A review of individual Rightmove lettings carried out recurrently and last updated during October 2024, provided evidence for the typical advertised market rent average for the York area. Lower end market rents for 3-bed properties were identified between £1,095/month and £1,400/month, or from 32% to 41% of reference income. Of relevant for new build develop rent setting however, new build examples range from £1,650/month to £1,990/month (48%-58% of reference income).

Property / rent type: advertised rents in York	Average rent	% of reference household earnings	Comments
3 bed average private rent property in York @ 100% of advertised market price Source: home.co.uk average advertised rent, March 2025	£1,812/month	53%	Most Affordable Rent homes will be new build. This may be higher still albeit there is significant variability within the whole-market advertised average. The dataset of new build only private rent properties in the City is too small to provide a meaningful reference point.
3 bed @ 80% of market price	£1,450/month	42%	Maximum permitted within tenure type however this is not recommended for the City of York.
3 bed @ 65% of market price	£1,178/month	34%	Approximately double equivalent social rent, but potentially affordable for lower income working households in many circumstances
3 bed @ 45% of market price	£815/month	24%	Likely to achieve sustainable affordability for higher value properties
City of York Local Housing Allowance (LHA) for a 3 bed property[14]	£824.99/month	24%	Local Housing Allowance is here for comparison only as ‘Affordable Rent’ homes are still a form of social housing.

A3 Affordable Rent: evidence review summary

Affordable Rent within the City of York may be considered against three affordability thresholds, dependent on the property type and its individual valuation, as this can vary significantly between properties and schemes.

· 65% of typical market rent: risk of unaffordability, in particular for higher market value homes

· 45% of typical market rent: reduced potential for unaffordability

· Local Housing Allowance currently at 46% of typical market rent: wider affordability, and significantly below 35% of Reference Income

A3 Reference Income table by bedroom need as at February 2025

Bedroom need	Example lower income house type	Reference income (RI)	Monthly Rent: 35% of RI	Monthly Rent: LHA
1-bed	Single full-time Lower Quartile earnings	£27,737	£809	£674.99
2-bed	1.25 full-time Lower Quartile earnings	£34,671	£1,011	£775.02
3-bed	1.5x full-time Lower Quartile earnings	£41,606	£1,213	£824.99
4-bed	2x full-time Lower Quartile earnings	£55,474	£1,618	£1,199.98

Source: ONS Work based geography, annual full-time income for York https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/earningsandworkinghours/datasets/placeofworkbylocalauthorityashetable7

Number in Act	Ground for refusing consent to the exchange[15]
1	When any rent lawfully due from a tenant under one of the existing tenancies has not been paid.
2	When an obligation under one of the existing tenancies has been broken or not performed.
3	A court order for possession or a suspended possession order has been made for either property.
4 & 5	The landlord has served a notice of seeking possession and the notice is still in force, or possession proceedings have commenced
6	An injunction order under section 153 of the Housing Act 1996 or an anti-social behaviour order or a Demotion Order or a possession order under Ground 2 for secure tenancies or Ground 14 for assured tenancies is in force or an application for one of those is pending either against the tenant, the proposed assignee or a person who resides with either of them.
7	The property is substantially larger than is reasonably needed by the proposed assignee.
8	The property is not reasonably suitable to the needs of the proposed assignee and their household.
9	The property is part of or close to a building that is held for non-housing purposes, or it is situated in a cemetery and was let in connection with employment with the landlord or with a local authority, a new town corporation, housing action trust, an urban development corporation, or the governors of a grant-aided school.
10	The landlord is a charity and the proposed assignee’s occupation of the property would conflict with the objects of the charity.
11	The property has been substantially adapted for occupation by a physically disabled person, and if the assignment went ahead a physically disabled person would not be living there.
12	The landlord lets properties to people in difficult circumstances (other than merely financial circumstances) and the proposed assignee would not fulfil these criteria.
13	The property is let to people with special needs and there is a social service or special facility nearby to the properties to assist people with those special needs, and if the assignment was to go ahead no person with those special needs would be living there.
14	The dwelling is the subject of a management agreement where the manager is a housing association of which at least half the members are tenants subject to the agreement and at least half of the tenants of the dwellings are members of the association, and also that the proposed assignee is not such a member nor is willing to become one.

[1] https://www.gov.uk/government/publications/tenancy-standard - this is part of the Consumer Standards which are currently subject to consultation for revised and expanded standards.

[9] https://www.gov.uk/government/publications/tenancy-standard

[10] https://www.gov.uk/government/publications/tenancy-standard

[12] https://www.gov.uk/guidance/build-to-rent this is comparable to Affordable Rent in some respects, for Build to Rent purpose built private rental schemes

[13] https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/earningsandworkinghours/datasets/placeofworkbylocalauthorityashetable7