LISA0072

Written evidence submitted by My Safe Home Limited

LISA AND HOME OWNERSHIP FOR PEOPLE WITH DISABILITIES – THE CASE FOR EQUALITY

We, MySafeHome Limited, have been helping people with disabilities, who also rely on benefits for the majority or all of their income, to buy a home of their own, either through HOLD (Home Ownership for people with Long-term Disabilities) or Shared Ownership. To be able to buy a property people with disabilities usually require a deposit of at least £10,000 and money to cover the fees associated with their purchase (this is c. £7,000). For areas where property prices are higher they’ll obviously need a bigger deposit. Sadly, as things stand, people with disabilities who are willing and able to sacrifice some of their expenditure to save money to buy a home (just as those without a disability need to do) are ‘punished’ for doing so by having their benefits reduced (when their savings reach £6,000) or stopped altogether (when their savings hit £16,000+). To rectify this we’d like to make it possible for people with disabilities to use the LISA specifically to save enough money to pay the deposit and fees required to buy a home of their own, without losing their existing benefit entitlement.

THE BENEFITS OF HOME OWNERSHIP FOR PEOPLE WITH DISABILITIES

• The chance to choose where and how they live (subject to the availability and affordability of a suitable property of course).

• The security of tenure and peace of mind that only comes with having a financial stake in their home.

• The opportunity to integrate more effectively into their local community.

Owning a home of their own can make a huge difference to the mental and physical health of people with disabilities, in turn supporting their development and improving their independence. This can lower care and medical costs and even, in some cases, enable the individual to work part-time in paid employment.

THE BENEFITS OF HOME OWNERSHIP TO THE STATE

• Helps to solve the ‘move on’ crisis as Assessment and Treatment Units (ATUs), are phased out.
• Demonstrates a clear commitment to the personalisation agenda by providing disabled people with a much wider range of housing options.
• Can save more than £100,000 per person per year. 
• Provides opportunities for positive PR.

OTHER APPLICATIONS OF HOME OWNERSHIP FOR PEOPLE WITH DISABILITIES

As well as helping people move out of ATUs and back into their community home ownership for people with disabilities can also:

• Stop people from going into ATUs in the first place.

• Move people back into their local community from expensive out of area placements.

• House people in transition.

• Accommodate people who can live independently but require better security of tenure than private rental offers.

• Deliver bespoke housing solutions for people rather than group living arrangements.

• Provide an ideal solution for people who currently live with an older carer/s who may be struggling to cope, before this situation becomes a crisis. 

CONCLUSION

Allowing people with disabilities who, through no fault of their own, have to rely on benefits for their income to use LISA to save a relatively modest amount so they can buy a home of their own puts them on an equal footing with people who don’t have disabilities. This can make a huge difference to their lives and save the state a considerable sum of money too. What’s more SMI (Support for Mortgage Income), which pays a home owner’s special interest only mortgage, is repaid from any capital appreciation in the property’s value when it’s eventually sold so this money comes back to the state too. Compare this with private rental or residential care and the economic case for allowing people with disabilities to use LISA to save for a home is as compelling as the moral one.

January 2025