Tenants facing hardship due to COVID-19 will soon be able to apply for an interest-free government loan to cover up to nine months of rent.
The Tenant Hardship Loan Fund will give short-term support to tenants who are having trouble paying their rent because of the impact of COVID-19. A tenant hardship loan fund will open next week in Scotland.
Who can apply?
The interest-free loan will be available for private and social sector tenants who:
- Have the right to reside within in the UK
- Were not in rent arrears prior to 01 January 2020
Tenants can only apply for a loan once.
The loan scheme funding may be used to:
- clear rent arrears that have arisen since 01 January 2020 and/or;
- pay a maximum of 3 months future rent payments.
Tenants can apply for a loan to cover rent payments for up to 9 months in total. However, tenants cannot apply for more than 3 months of future rent payments.
The loan is repayable and may not be suitable for all tenants. Many tenants may be entitled to non-repayable support, for example through Universal Credit and Discretionary Housing Payments, which is a much better option.
How to apply?
For more information see the Tenant Hardship Loan Fund Portal