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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 4 May 2021
  6. Current session: 13 May 2021 to 16 January 2026
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Displaying 1741 contributions

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Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

I just want to clarify what I said earlier. As I said, the maximum subsidy that councils can receive is set at 90 per cent of LHA rates, but the rates that are used are those from 2011, as Sheila Haig said, and average rents have increased by 60 per cent since then. I recognise that councils are carrying the rising cost of temporary accommodation.

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

The paper says that the estimated cost of unfreezing was £2.4 billion or £2.5 billion, or something like that.

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

That is great.

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

I have a couple of points on which I seek clarification. The Crisis paper, which is helpful, says:

“42% of Scottish households face a gap between their LHA and actual rent”.

Can you confirm that figure?

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

You mentioned new lets—is that data different?

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

You also break down the figures by local authority. I am surprised that Glasgow’s percentage is quite small, while the percentage in places such as East Ayrshire is quite high. Can you talk me through that? I do not know whether this is correct, but under

“% of recipients where LHA (UC) does not cover rent”

you say that the figure in Glasgow is 24 per cent.

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

Could efficiencies be made within the current system that would free up some resources?

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

My final question concerns the calls for the 30 per cent level to be increased. When it was initially introduced, the level was 50 per cent but it has been at 30 per cent for more than 10 years. In 2024, it was unfrozen and reset at 30 per cent, and, subsequently, it has been frozen again.

There is an argument that, if it were to be increased, there could be unintended consequences. There could be behavioural changes on the part of landlords, who would increase rents. We are looking at introducing rent controls in Scotland and there is a concern that, while we are waiting for those rent controls, there is an opportunity for landlords to increase rents again so that they creep up before we get the controls. What are your thoughts on that?

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

The witnesses here this morning have called for an increase in LHA from the 30th percentile. Could that have unintended consequences through behavioural changes? If the percentile was increased, would landlords just increase the rent? We have rent control coming in in Scotland, but not until 2028. There are some concerns that, while we wait for the rent control to be introduced to deal with the issue, landlords might push up rents. Could there be behavioural changes that would have unintended consequences and therefore increase the pressure on the sector?

Social Justice and Social Security Committee [Draft]

Local Housing Allowance

Meeting date: 8 January 2026

Claire Baker

It is about temporary accommodation. Les Robertson said that the situation is “patently unfair”. This might not be correct, but I think that 90 per cent of the cost is paid by the DWP and local authorities pick up the rest. I am sorry—I have been trying to find the figure in my papers.

However, surely the problem is that we have increased the number of people living in temporary accommodation. For example, we now have 10,000 children in such accommodation. We have seen a spike in the number, which is due to a shortage of housing to move them to. It is the housing crisis that is creating the bulk of the temporary accommodation issue, because we cannot move people into other properties.

We heard from the previous panel that people are reluctant to move to the private sector, because they feel that there is a lack of security. They are waiting for social housing, but we are not building enough social houses to enable us to move people out of temporary accommodation. That is why local authorities are having to carry the burden of people in temporary accommodation.