Council house advice MIL can’t afford rent.

[velvetcandy]

Does anyone know anything about the old style council house system?
My MIL is in a three bedroom house with the old style agreement back in the 80s she says it’s a house for life unlike the contract you would get today? She’s also on her own, her partner died last year. She’s complaining she can’t afford the £700 rent a month but doesn’t want to downsize does anyone know if they reduce rent? Just to clarify I think she should move to a flat but it’s not my business, what is my business is her asking us for money so I need to get the right information on this, cheers x

@20 mum you have got to be one of the most unpleasant posters I have ever had the misfortune to read. What you write says an awful lot about you, you know.

That's not true. I knew in 1996 that my state pension age was increasing from 60 to 65 - we had quite a few meetings at work about it as they increased the private pension age for women in line with it.

It is true for women born in the 1950s. My pension age only increased by a year in 1995, it went up by another three years in 2011 - giving me three years notice. The whole thing was a shambles, particularly for women born 1953-55.

If she's been in since the 80's I'd seriously look at the RTB on it. You could make an absolute fortune.

@Svalberg 1996 until
Now still isn't 30
Years and more was added in 2011, not everyone had work advice either and 9 years since last change doesn't give you much time.
Also many people didn't have a work pension to also rely on or private and if you only just make ends meet you have no way of saving
My dh only had a pension for last 5 years he is 47.

@Coldwinterahead1 only the tenant can buy and there are stricter rules in selling and paying back etc as there should be , so people cannot make profits via family members as had been done years ago
Rtb is for a tenant to be able to own there own home and get on ladder not a way for family to make a profit

@Coldwinterahead1

If she's been in since the 80's I'd seriously look at the RTB on it. You could make an absolute fortune.

Nope.

As well as being morally disgusting. See my op about this. My close relative did this for a job as a surveyor for a local authority. They do extensive checks. It's well known that this is something family members try to do. So the check where the money has come from etc.

@Coldwinterahead1

If she's been in since the 80's I'd seriously look at the RTB on it. You could make an absolute fortune.

If she can’t afford the rent how will she be approved for a repayment mortgage?

She's only 60. She's chosen to work part time and not to make any provisions for retirement. Her financial irresponsibility is not your problem.

If she can't afford the rent and won't get a lodger or work longer hours, then she will get kicked out.

A lodger seems the simplest solution to me. I’m only 51 and don’t want to work full time. However I earn enough part time to pay everything, so I have that luxury. Point being I can understand why someone in their 60s doesn’t want to work full time. But she does need to make a choice. She can’t rely on others to pay the rent for her. So it is either lodger or work more. They are really the only 2 options to enable her to stay in her home.

As I said earlier, retirement isn’t the issue. Given her circumstances she will likely get all her rent paid via benefits (rightly or wrongly). But she needs to sort something else in the interim.

Would she see an IFA who could go through her finances and tell her plans are unrealistic?

IFAs offer financial advice to people with money, not to people who can't afford the rent!

I think 20 means Stepchange that is a charity that gives free budgeting and debt advice.

Your DMIL may also be able to get financial help from Thames Water Trust Fund. They'll give free budgeting advice too

Are you allowed to have a lodger in a council property? You can't sublet, maybe there's rules on lodgers too

Are you allowed to have a lodger in a council property? You can't sublet, maybe there's rules on lodgers too.

I hadn't thought about that until after I'd posted yesterday. I think the OP's DMIL would probably need to check her tenancy agreement.

If she can't afford her rent while working, how will she be able to afford it once she retires ?
Unless she's got a very generous pension, which I'm doubting as that would probably be a company pension and they usually let you start taking the pension at 55

She needs to downsize now to spend less on rent

You're allowed lodgers in council housing

LizB62A Mon 28-Dec-20 14:29:11
If she can't afford her rent while working, how will she be able to afford it once she retires ?

Once retired, ie. in receipt at age 66, of a State Pension.

1. She will be able to claim Pension Credit, and thus have her rent and Council Tax paid by Housing Benefit/Council Tax Benefit.

You're allowed lodgers in council housing. Sorry, I hadn't realised.

@turnthebiglightoff "My dad pays £800 for a 2 bed council flat in London. He's 68 and only received state pension. No savings, no work pension (self employed all his life). It's terrifying."

Your Dad can claim Housing Benefit and Pension Credit in his situation. The Housing Benefit Cap ('bedroom tax') will not apply as he is of pension age. Get him to use one of the links in this post to claim what he is entitled to.

I think she planned to retire at 60 then they moved the pension age

The state pension age for women of your MIL's age was changed 25 years ago!

@80sMum

I think she planned to retire at 60 then they moved the pension age

The state pension age for women of your MIL's age was changed 25 years ago!

24 actually and not by much at that stage.

I have sympathy for your MIL. She's been recently bereaved end believed in good faith that she would have her 3 bed house for life in the way that someone who took out a mortgage in the 80s to buy a house probably would now.
I don't think there is anything that the public purse will do to help her until she reaches 66/67 which is her retirement age. She's now going through the painful process of realising that these expectations are not realistic unless she works more hours, takes a lodger, downsizes or finds a way of buying the house or gets her relatives to contribute.
I think you are right to hold the line and not pay, unless of course you can afford to and make this choice.
Most Local Authorities are desperate for single people to vacate family housing stock so she may find an affordable one bed Council
or Housing Association property quite easily. Of course it means she leaves memories and maybe old friends/neighbours and having lost her partner so recently it may be very difficult.
You MIL may get a large discount under Right To Buy but as the house is in SW London even the maximum discount may not make it affordable. The people here saying you could buy the house for her under the scheme are wrong, as she lives alone only she can buy it. You would have to be cautious even about contributing.
I hope she finds a way through this.

@AldiAisleofCrap

Pensioners are exempt from bedroom tax.Also too old for UC. Does she not get pension credit and housing benefit?

She’s 61.

She should be giving up that house to a family who are trapped in a tiny flat where it’s overcrowded. My grandma was exactly the same though and refused to move from a 3 bed and rattled around in it for 25 years after grandpa died. No amount of explaining how selfish she was being would make her budge though 🤷‍♀️

Love the way people who presumably it doesn't effect just want to allocate other people's homes to those they deem more worthy

Be a different story if it affected them.

*affect