The proposed doubling and tripling of Bank of Ireland's (BoI) base rate tracker from May has caused shock and outrage among its 13,500 mortgage customers in the UK. Tracker mortgage rates are meant to track the Bank of England's base rate, which hasn't moved in four years. As many consumers get to grips with how they will find the many hundreds of unexpected pounds needed each month to stave off repossession, is BoI entitled to do this? GLC's Mike Dailly believes the bank appears to be acting oppressively and may not be entitled to do this. In a guest column for MoneySavingExpert.com, he urges victims to fight back.
Showing posts with label govan law centre. Show all posts
Showing posts with label govan law centre. Show all posts
Are UK mortgage lenders entitled to triple their tracker rates?
The proposed doubling and tripling of Bank of Ireland's (BoI) base rate tracker from May has caused shock and outrage among its 13,500 mortgage customers in the UK. Tracker mortgage rates are meant to track the Bank of England's base rate, which hasn't moved in four years. As many consumers get to grips with how they will find the many hundreds of unexpected pounds needed each month to stave off repossession, is BoI entitled to do this? GLC's Mike Dailly believes the bank appears to be acting oppressively and may not be entitled to do this. In a guest column for MoneySavingExpert.com, he urges victims to fight back.Scottish Government provide flawed reasoning and no evidence to reject the principle of 'No evictions for bedroom tax arrears'
Addressing a packed roundtable meeting of Scottish community groups, trade unionists and representatives of civic Scotland bodies organised by the Scottish Trade Union Congress (STUC) tonight, Govan Law Centre set out why it believed the Scottish Government had based its decision to reject the 'No evictions for bedroom tax arrears' campaign on flawed reasoning and without any evidence.The Scottish Government set out its position on why it would not amend section 16 of the 2001 Housing (Scotland) Act to prevent evictions caused by under-occupancy deductions to housing benefit during General Question Time in the Scottish Parliament today (the BBC Scotland video of GQT is below).
Govan Law Centre's analysis of the reasoning put forward by the Scottish Government today can be read here, and these points were discussed at the STUC this evening, where all participants very strongly rallied around the principle of 'No evictions for bedroom tax arrears' in Scotland.
GLC hopes that the Scottish Government will reconsider its position here, and take the opportunity to ingather empirical evidence, as well as taking evidence on the proposal from Scottish community representatives, trade unions, disability rights campaigners, advice agencies and civic Scotland.
Sheriff Principal rules on proper approach to section 16(3) factors in Scottish eviction case callings
Sitting at Glasgow Sheriff Court today, Sheriff Principal Bowen QC has recalled a sheriff's decree for ejection and payment in an action of recovery of hertiable possession upon the basis that the court had taken the wrong approach to section 16(3) of the Housing (Scotland) Act 2001, and did not have a sufficient factual basis to determine the question of whether it was reasonable to evict the tenant. In the case of Glenoaks Housing Association v. DF the sheriff had granted decree after a sist was recalled on the hearing of an incidental application by the landlord, and the pursuers had advised that arrears had risen to almost £3,000. The defender had sought to continue the cause to resolve a housing benefit application and the pursuer had argued that housing benefit was not particulary relevant because the tenant had failed to provide relevant information to enable the claim to be determined. This was disputed by the tenant's solicitor who requested a continuation to resolve this key issue.
The sheriff at first instance had refused to grant a continuation or fix a proof and held that the facts were 'sufficiently agreed' in terms of SCR 8.3 to enable him to dispose of the case on the merits at the hearing of the incidental application. At the appeal hearing, the defender and appellant had argued that sheriff had failed to properly have regard to the factors set out in section 16(3) of the 2001 Act and was wrong in law to have held the facts were 'sufficiently agreed'.
The Sheriff Principal held that there was substance in the appellant's arguments in terms of the proper approach to the evidential factors in section 16(3) and questioned whether the facts had been sufficient agreed, and doubted there was a sufficient factual basis to determine the reasonableness of granting decree; and therefore recalled the decree, allow 14 days for a Supplementary Note of Defence and fixed a diet of proof, reserving the question of expenses.
The cases of City of Edinburgh Council v. Forbes 2002 Hous LR 61, Northern Rock (AM) plc v. Youngson 2012 Hous LR 100 and Henderson v. Nova Scotia Limited (2006) UKHL 21 were considered. The pursuers' were represented by Mr Bauld of TC Young in the appeal hearing, and the defender by GLC's Mike Dailly and Laura Simpson.
Bedroom tax facts, myth and legends: why evicting households for bedroom tax arrears makes poor financial sense in Scotland
The debate on whether Scotland should introduce a 'No evictions for bedroom tax' policy is gaining widespread public support, with many councillors, some councils, MSPs and MEPs now backing the principle of GLC's Scottish Parliamentary petition. GLC is aware, however, that some people and politicians remain undecided about the workability of not evicting tenants for bedroom tax arrears, and that a number of assumptions and assertions are circulating against the principle of the petition, which can be summarised as follows:
- Not evicting someone for bedroom tax arrears will mean many people who can pay won’t pay, which is unfair for those tenants who choose to pay, or are unable to do so.
- It would take several years to build up a sufficient level of arrears before a social landlord considered going for eviction, so what is all the fuss about?
- It would be unworkable for a social landlord to separate ‘bedroom tax arrears’ from other rent arrears, and therefore not evicting people for bedroom tax arrears cannot be practical.
- Not evicting tenants for the bedroom tax will damage the revenue streams of social landlords, make their business operations unsustainable, and ultimately damage the interests of other tenants who do pay.
Civic Scotland organisations unite for law reform to protect tenants against bedroom tax evictions
Oxfam, Govan Law Centre, Shelter Scotland, Money Advice Scotland, the Carrington Dean Group and Glasgow Central Citizens Advice Bureaux have come together to support a campaign film calling on the Scottish Government and Parliament to prevent Scottish tenants being evicted for bedroom tax arrears.The campaigners are calling for section 16 of the Housing (Scotland) Act 2001 to be amended so that bedroom tax arrears are treated as an ordinary debt in law, and not as rent arrears which would constitute grounds or evidence for eviction. The new campaign film explains the expected impact of the 'bedroom tax', and the concerns that advice agencies and anti-poverty charities in Scotland have in relation to increased evictions and homelessness in Scotland.
The campaign film asks for people to sign and support the 'No evictions for bedroom tax' petition in the Scottish Parliament - which is online here: http://www.scottish.parliament.uk/GettingInvolved/Petitions/bedroomtax (anyone, anywhere can sign this, and you do not have to be in Scotland or the UK to do so). The 'Amend section 16' campaign film can be watched below.
Oxfam Scotland backs 'No evictions for bedroom tax' campaign in Scotland
Oxfam Scotland is backing a change in the law that will help tenants affected by the controversial cuts to housing benefit stay in their homes in Scotland. The charity, which works with partners in Scotland to fight poverty and create sustainable livelihoods, is supporting a petition to the Scottish Parliament by Govan Law Centre (GLC), calling for an amendment to existing housing law.The amendment will mean that rent arrears caused by the so-called 'Bedroom Tax' can't be used as grounds for eviction by social landlords like councils or housing associations. Government changes to housing benefit mean that, from April, people who are judged to have a 'spare room' will face a massive 14% cut in the support they get to keep a roof over their heads. Those with two 'spare rooms' will face a 25% cut.
Judith Robertson, Head of Oxfam Scotland, said: "Last year our Humankind Index for Scotland found that an affordable, decent and safe home is the top priority for Scots across the country. But housing benefit cuts will put thousands of people at risk of losing their homes. People on low incomes are already struggling.
"We recognise that social landlords are being placed in a difficult situation by these housing benefit cuts, but our priority surely has to be to keep families in their homes. The change in the law proposed by Govan Law Centre will help make sure that happens.
"We hope MSPs will support the petition, and we hope the UK Government realises the enormous damage these cuts will have on people."
GLC's Principal Solicitor, Mike Dailly, said: "We are delighted that a leading global anti-poverty charity has decided to back our 'No Evictions for Bedroom Tax' petition in the Scottish Parliament. "Oxfam's support for our Scottish campaign underlines the seriousness of the situation, with the prospect of tens of thousands of low income households in Scotland being threatened with homelessness unless they can find extra money for rent, and many families being pushed into destitution and poverty.
"We believe the Scottish Parliament has devolved powers which could be used to significantly mitigate the adverse impact of these changes to housing benefit, and hope that MSPs will join civic Scotland in supporting our No Evictions campaign".
Money Advice Scotland back 'No evictions for bedroom tax'in Scotland' campaign
GLC is delighted to announce that Money Advice Scotland has agreed to back the 'No evictions for bedroom tax in Scotland' petition and campaign. The petition to the Scottish Parliament now has 1,066 signatures since going live at the weekend, and is growing every day. You can sign the petition here.Money Advice Scotland (MAS) is the national umbrella organisation in Scotland which promotes the development of free, independent, impartial, confidential money (debt) advice and financial inclusion.
MAS serves a membership of over 200 members organisations and individuals drawn from local authorities, CABx, and other voluntary projects, who all provide money advice. Other members who are supportive of our objectives include Insolvency Practitioners, creditor and debt collection organisations.
GLC believes that the bedroom tax is the new poll tax in Scotland, and that bedroom tax arrears of rent should be treated as an ordinary debt in Scots law, so that tenants do not have to suffer the pain, suffering and indignity of bring evicted from their home because of the bedroom tax.
GLC calls for action on 'Bedroom tax' from Holyrood
The Scottish Parliament has been asked to change the law to prevent tenants being evicted because of changes to housing benefit. Speaking on BBC 1's Sunday Politics Scotland show, Mike Dailly of the Govan Law Centre said that people could be homeless because of the UK government reforms. He said Holyrood should act to minimise the consequences of the change. But, talking on the same programme, SNP MSP Linda Fabiani claimed little could be done until the Scottish parliament has more powers. The changes to housing benefit are intended to encourage mobility by discouraging tenants from staying in homes deemed too large for their needs. Mr Dailly said: "This is the new poll tax in Scotland. It's a vicious attack on the low paid and poor."
The law on benefits is a reserved matter, controlled by the UK parliament at Westminster, but Mr Dailly said Holyrood could change the law in areas that it does control. "The Scottish government can do a lot to prevent people from being evicted. We are calling on is for the Scottish Government to change housing law so that if you incur 'bedroom tax' arrears that should be treated as an ordinary debt but not allow you to be evicted," he suggested.You can sign GLC's Scottish Parliament petition for 'No eviction for bedroom tax' here. Almost 500 people have signed the petition within 48 hours of the petition going live on the Parliament website. The Sunday Politics Scotland show is available on the iPlayer here (41 mins in). Read more on this story from the BBC.
We can stop evictions for bedroom tax if you sign this petition
GLC's petition in the Scottish Parliament for 'No evictions for bedroom tax arrears' is now online, and we would be grateful if you would consider supporting same by adding your signature here: http://www.scottish.parliament.uk/GettingInvolved/Petitions/bedroomtax Please circulate this link to your friends, family and colleagues and ask them to sign too. The bedroom tax is the new poll tax, but it is much worse than that.
Housing benefit under-occupancy provisions - 'the bedroom tax' for tenants in the social rented sector are introduced by section 69 of the Welfare Reform Act 2012 and the (draft) Housing Benefit (Amendment) Regulations 2012, from April 2013. These provisions will see tenants of councils and RSLs in Scotland lose on average £ l12 per week, with some tenants losing as much as £22 per week in housing benefit. There is widespread concern in Scotland that these changes will cause major detriment to thousands of households in Scotland.The DWP estimate 660,000 claimants will be affected across the UK, and the Chartered Institute of Housing in Scotland suggest as many as 95,000 tenants could be affected in Scotland.[1]
When it comes to Scottish rent arrears eviction actions in sheriff courts, often the success or failure of a tenant in preventing eviction will turn on a few pounds per week, for example the standard payment for arrears direct is £3.55 per week. Accordingly, the prospect of £12 to £22 per week being deducted from rent payments under the bedroom tax from next April means Scotland's law centres and advice sector will be unable to defend many eviction cases in practice.
We are suggesting a minor amendment to section 16 of the Housing (Scotland) Act 2001 (as follows) which would prevent 'bedroom tax rent arrears' being used to establish or justify a crave for eviction, and instead the landlord could obtain a payment decree for these 'type of arrears', and pursue them an ordinary debt.
We do not believe the bedroom tax is fair or morally justifiable for the following reasons:
• Arrears accrued by tenants due to the ‘bedroom tax’ from April 2013 are not the ‘fault’ of social rented sector tenants, and therefore using such arrears to establish or make out a case for eviction must be unfair and unreasonable as matter of principle and social policy.• The DWP’s Impact Assessment accepts there are insufficient smaller properties for tenants to downsize to, and therefore many tenants will have no realistic alternatives other than to accrue rent arrears from the bedroom tax.
• The public cost to accommodate a family made homelessness is on average £24,000 per case , which would place major pressure on local authorities and the NHS in Scotland in a time of budget cuts, and therefore the need to prevent eviction from the bedroom tax is in the wider public interest.
• Given the imminent nature of the cuts, and the lack of practical solutions available to tenants, there is a cogent case for providing social tenants with a longer transitional period, and a guarantee that they will not be evicted due to these reforms in the short to medium term.
• Ultimately, many social landlords in Scotland are already taking proactive action to mitigate against these forthcoming housing benefit cuts, and have no desire to evict tenants because of the cuts. However, RSLs and councils are subject to public audit and have a duty to pursue rent arrears as a matter of law, and in terms of their regulatory supervision. Accordingly, this amendment would assist social landlords, by ensuring they could only pursue bedroom tax arrears by way of ordinary debt recovery (payment actions, followed by ordinary diligence).
[1] http://www.cih.org/resources/PDF/Scotland%20Policy%20Pdfs/Bedroom%20Tax/Bedroom%20Tax%20Final.pdf
GLC calls for Scottish Government to deploy its powers to mitigate the scourge of payday lending in Scotland
GLC has prepared a Scottish Parliamentary briefing for all MSPs in advance of this afternoon's debate on payday lending in Scotland ('Cost of Living' debate). Our briefing is available here as a PDF. We believe that the UK payday loan market is predatory, usury, dysfunctional and immoral. In our briefing we address the powers that the new Financial Conduct Authority will have, which we think will be central to tackling the undisputed serious consumer detriment caused by payday lending in the UK. However, the Scottish Government and Scottish Parliament have a number of powerful levers at their disposal which we believe are equally central to tackling the scourge of payday lending in Scotland.
GLC has made the following recommendations to improve consumer protection against payday lending in Scotland:
> Investment in Scottish credit unions to enable them to offer equivalent products to ‘payday loans’ on a fair and affordable rate of interest. HM Treasury is currently consulting on raising the 2% per month interest cap on credit unions, and we support an increase to enable credit unions to offer a fairer alternative to payday loans in Scotland.[1]
> Improving our debt relief remedies so that Scots entrapped in a cycle of dysfunctional payday loan interest and charges can be untangled swiftly and fairly – Govan Law Centre has proposed a Fast Track or enhanced Debt Arrangement Scheme for this purpose.[2] This could be done quickly by Scottish statutory instrument under existing legislative powers.
> Education is a key part of the solution, and we believe the Scottish Government should deploy resources to mount an educational campaign to help Scots avoid the pitfalls of payday loans. Such a campaign could be tied in to awareness raising of alternative forms of short-term credit (e.g. through credit union products) and the availability of enhanced forms of debt relief.
> We would conclude by noting that if no action is taken on these issues in Scotland, then the consumer detriment caused by payday loans will escalate from April 2013 with the introduction of the bedroom tax. Scottish tenants faced with eviction from the effect of UK Government under-occupancy charges to housing benefit will turn to payday loans, which will exacerbate their problems. Govan Law Centre has advocated a ‘no eviction for bedroom tax arrears’policy, with bedroom tax arrears being treated as an ordinary debt. This could be achieved by a minor amendment to the Housing (Scotland) Act 2001.[3]
New GLC prevention of homelessness report published online
GLC's Prevention of Homelessness Project (POHP) has prevented 1,200 people in the Southside of Glasgow becoming homeless in the last two years. Govan Law Centre has run the Prevention of Homelessness Project in the city's South West based upon the belief that early intervention and holistic multidisciplinary services, tailored to each individual, can help prevent unnecessary evictions.In our new POHP progress report for the Oak Foundation - which is published online here: 'Download GLC POHP report as PDF' - we explain how our new project has prevented 1,200 people from becoming homeless, saving about £25.5million in public money from December 2010 to December 2012. We believe if the approach of our scheme was extended nationwide it could potentially save the Scottish Government as much as £320m.
Mike Dailly, GLC's principal solicitor, said: "With our project, we show that early intervention works, but also that it has to be co-ordinated. Often people who are in these difficult situations will not go for help early on. We provide not just very fast specialist legal and money advice services, but we can also connect the person with any other services he or she may need."
The project employs a partnership between the centre, Govan Money Matters Advice Centre and Glasgow City Council's Southside Social Work Department, as well as different voluntary organisations, such as the Scottish Association For Mental Health.
It is designed to highlight that eviction and repossession are usually the tip of a whole range of social and associated problems for those who are vulnerable to the risk of homelessness.
The project recognises there are important indicators that could result in problems leading to eviction and homelessness. These could include those in rent arrears or living in poverty, or those with social worries, such as health or mental health problems.People who look vulnerable are flagged up by the partnership to the Law Centre early on, which can then intervene or refer them to the appropriate support.
Alistair Sharp, GLC's senior project coordinator, said: "We are looking at savings to the public purse and preventing people facing the trauma of eviction and homelessness. Court action can be avoided by early intervention."
Recruitment: temporary solicitor position at Govan Law Centre
You must have experience in the field of civil litigation and court experience; knowledge of housing or employment law, and social welfare law would be an advantage.
This is a short term, temporary position. Salary negotiable. If you meet our criteria, please apply in writing with an up-to-date CV to Candy Walker, Service Manager at Govan Law Centre by e-mail to CWalker @govanlc.com. Closing date is 4pm, Friday, 25 January 2013. No applications will be considered after the closing date. No agency applications please.
Free places for local people to attend Prevention of Homelessness report launch
Two years ago Govan law Centre was awarded three years funding by the Oak Foundation to develop our 'Your Home Your Rights’ Prevention of Homelessness project. We have produced a bi-annual progress report describing how we have expanded our homelessness prevention work, and stopped people and their families from losing their homes through eviction or repossession. Over 1,200 people have received GLC's free, independent and confidential prevention of homelessness services during the last two years in Glasgow, and our report describes –
* how we have achieved this;
* how we have achieved this;* how we have developed our innovative service to be more effective;
* improvements to our early intervention work;
* access to our money and benefits advice services and other support; and
* how we have provided the much needed expert legal advice and representation when people come to us in crisis with their housing problems.
We are holding an event to launch our report on 29th January 2013, 10:30 (with lunch at 12:00) at The Victory Centre, 285 Langlands Road, Govan, Glasgow, G51 4AS.
There are 10 free places available for anyone living or working in the Greater Govan or Pollok areas.
If you would like to book a free place then please phone Anne-Marie O’Brien at Govan Law Centre on 0141 440 2503. Please apply early as places are limited. We look forward to seeing you there.
An end to homelessness in Scotland?
Hogmanay marks the abolition of the priority need test in homelessness law, and the crystallisation of the Scottish Government’s promise to 'end homelessness' in Scotland. Any individual who becomes homeless unintentionally has been promised the right to a home. What does this promise mean in practice? Will people really have the right to a permanent home in Scotland?In practice, local authorities already side step statutory homelessness duties by turning single homeless people away, telling them there is no available temporary accommodation. This is unlawful but it happens every day in Scotland, and can be very difficult to detect or prove. Why don’t councils have sufficient temporary accommodation?
Ultimately, it’s the lack of a joined-up national housing policy, whereby the specific policy of large-scale stock transfer has meant that many local authorities have no houses at all. Add this to the fact the 2001 Housing (Scotland) Act contains no power for councils to require housing associations to accommodate homeless persons on a temporary or interim basis, and you have a bottle neck in a system where demand always outstrips supply.
Of course living in a temporary furnished flat, or more typically a homeless hotel or bed and breakfast room, is not the same thing as the promise of a permanent home. Much of Scotland’s private sector temporary accommodation ranges from low quality to shockingly bad, if you are lucky enough to get it.
The reality is we don’t have enough good quality social housing in Scotland; we need to build more, and giving people legal rights to such homes is meaningless unless they are available to let. Indeed it could be argued that raising expectations of access to good quality, decent homes is unfair and unhelpful if many people may never get one.
Our homelessness laws look fantastic on paper but we have a stretched and broken system on the ground, with a lack of infrastructure. And that system will be unable to cope with the additional homelessness caused by the bedroom tax cuts from April, and thereafter the hideous problems created by the universal credit system in October.
If we want to end homelessness in Scotland there is no better starting point than doing much more to prevent it. The Scottish Government has the power to prevent increased homelessness from the bedroom tax cuts, which will adversely affect 95,000 Scottish households from April.
Govan Law Centre (GLC), the STUC and Shelter Scotland are calling for a change in the law to prevent evictions based on bedroom tax arrears, by instead treating such arrears as an ordinary debt. GLC has already drafted a simple solution which the Scottish Government has agreed to look at.
Local authorities must be allowed to build or acquire more homes, or at least be empowered to formally require housing associations to assist them in meeting their emergency homelessness duties, particularly so with the Homelessness (Abolition of Priority Need Test) (Scotland) Order 2012 coming into force on 31 December.
Unless we act now to prevent the expected evictions from next year’s welfare reform cuts, and recognise the need to improve our social housing infrastructure in Scotland, the right to a home may become nothing more than a promise which cannot be honoured.
Shelter Scotland and STUC endorse 'No eviction for bedroom tax' campaign
GLC is delighted that Shelter Scotland and the STUC have endorsed the principles of the 'No eviction for bedroom tax' campaign, which is already supported by local tenants and residents in Glasgow, following two public meetings in Govan.GLC had suggested the need for urgent minor law reform amendment to implement a 'No eviction for bedroom tax' policy in Scotland, upon the basis the bedroom tax cuts would be affecting tenants within 4 months or so, and Scotland needed a new safety net otherwise we would be unable to prevent evictions based on rent arrears caused by the bedroom tax.
Many defended eviction actions in court can often turn on £3.55 per week payments to arrears, and with £12 to £22 per week being deducted from housing benefit it could become almost impossible to defend such eviction actions in the near future.
GLC has suggested bedroom tax rent arrears could be pursued as an ordinary debt, and should not be founded upon as a ground of eviction or to establish the reasonableness of local authority and housing association evictions. Such a policy could either be considered on a permanent or transitional basis with a sunset clause.
The support from Shelter Scotland and the STUC to this proposal is very welcome and will help forge much wider civic Scottish support to the 'No eviction for bedroom tax' campaign.
GLC encourages Scottish homeowners to reclaim millions of pounds in unfair legal expenses
Many of the several thousand Scottish homeowners taken to court for mortgage repossession over the last few years, have had their cases dismissed and then re-raised for technical reasons.Govan Law Centre believes they may have been unfairly charged twice for their lender's legal expenses along with additional administrative charges.
GLC will be launching a straight forward campaign and website to help consumers reclaim the 'repeat' legal expenses and charges added to their mortgage accounts, at a Scottish repossession conference hosted in Glasgow on Monday 3 December 2012 by Carrington Dean.
GLC's Principal Solicitor, Mike Dailly said: "Where a lender has raised incompetent proceedings, or deserts those proceedings to re-raise again, how can they reasonably expect their customers to pay for being taken to court twice? We think passing on these repeat or double charges to Scottish consumers is clearly unfair in relation to the Financial Services Authority's (FSA) Principles of Business. The extra costs involved here add up to many millions of pounds which Scottish homeowners should not have to bear".
The reclaim mini-site is available online here.
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