South Ayrshire Council News

The Deposit Guarantee Scheme (DGS) assists and supports people who need a home and want to secure private rented accommodation by providing a written guarantee in place of a deposit.

Councillor Tom Slider, Chair of the Council’s Housing Panel said: “Many people who are homeless, or threatened with homelessness, are unable to access suitable accommodation in the private sector as landlords usually require deposits equivalent to one months rent. People on low incomes and people on benefits often find it difficult to raise deposits and some landlords are reluctant to let to people in receipt of housing benefit without some form of assistance.

“This scheme helps people by providing them with a written guarantee that is normally valid for between six to twelve months. During this time tenants are expected to save to cover the cost of their own deposit.”

The Council fund the DGS from its homeless strategy fund, but it is actually provided by South Ayrshire Escape from Homelessness (SeAscape).

A registered charity SeAscape has been offering the DGS since 1999. It was part of a working group who launched ‘Deposit Guarantee Schemes In Scotland – A Sustainable Housing Option 2008’ in Edinburgh this year.

South Ayrshire’s DGS was noted as being one of the most successful schemes in Scotland. In 2006/2007 138 households were accommodated in the private sector by SeAscape and a further 485 were provided with advice and information.

Marie Conway, Volunteer Director of SeAscape said: “For many people renting in the private sector offers a practical solution to their housing needs. SeAscape helps people access suitable, affordable accommodation in the private rented sector and offers support and befriending to help them make a success of their tenancy. We have been providing rent deposit guarantees for over eight years and have considerable experience in all the issues relating to private tenancies. We were delighted to be part of the working group who prepared this Report and welcome the opportunity to increase awareness of the valuable service provided by rent deposit guarantee schemes throughout Scotland.”

The DGS brings benefits for many including:

Tenant: Good quality affordable accommodation.
Freedom to choose which area they live in.
Access to support, housing advice and mediation services.
Stable, long term housing option. 

Landlord: Free service that provides landlords with access to prospective tenants without costly advertising fees.
Written guarantee provides security to landlords. 

Council: Service offers people who are homeless or threatened with homelessness a genuine long term housing option.
An opportunity to engage with the private sector to enable private landlords to help meet housing need.
A cost effective service to prevent homelessness.