Under most construction contracts, the contractor takes on the ground conditions risk. However, a recent case has demonstrated that the risk can fall on the employer.
"Twelve pilot schemes have been taking place across the UK in order to judge the effectiveness of the Government's proposed Universal Credit scheme. Whereas previously benefits have been paid directly to social landlords, housing benefit payments will now be paid directly to the tenant as part of universal credit.
The intention behind the new system is to give claimants responsibility for their own income. Whilst in theory this is a positive move, local authorities and housing associations need to ensure that tenants are appropriately equipped to manage their finances and are not thrown in at the deep end. The pilots do unfortunately seem to confirm the predictions that there will be a dramatic increase in the level of rent arrears for housing providers.
In the South Wales pilot 50 per cent of the people in rent arrears have never been in debt in this way before, which indicates that many tenants are simply not ready for the transition. With the shortfall estimated to be around £14 million in some areas, this change will have a serious impact, not only on individuals but also across whole communities.
Housing providers have been planning for these changes since the concept of universal credit was introduced and liaising with tenants to minimise the impact of the changes where possible. However the conclusions of the pilot scheme suggest that only once the changes are fully implemented, with the ‘bedroom tax’ taking effect on 1 April and universal credit starting from October, will tenants and housing providers start to see the real impact. Perhaps the challenge is greater than feared …”
The UK Government has been consulting on how it should promote social value in its procurements. Here is our response that we submitted to the consultation...
The Tenant Fees Act 2019 came into force on 1 June 2019.
A recent case in the Court of Appeal will no doubt bring a sigh of relief for employers, but a corresponding sigh of disappointment may be uttered for equality and gender balance in the workplace.
This briefing assists response to the consultation paper by outlining the consultation questions, providing some background information and prompting some thoughts and potential answers.
A report published on 29 May by the Institute for Fiscal Studies (IFS) has found that since 2009-10, local government spending on services has fallen on average by 21% in real terms.
A long-awaited decision of the Court of Appeal has clarified that a lower standard of proof should apply than previously thought before an Inquest can return a conclusion of suicide.
New regulations come into force on 1 June 2019, amending the Section 21 (s21) prescribed form template for use with assured shorthold tenancies.
In a challenging economic climate with continuing budget cuts and increasing expectations of staff, sickness absence remains an ongoing problem that is important to address.
Social housing providers will routinely have a number of construction projects underway at any one time. It is essential for client teams to understand and avoid key contract management pitfalls.
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