## Council launches financial support to encourage downsizing in social housing

Manchester City Council has introduced a scheme offering financial assistance to social renters living in council or housing association properties that have more bedrooms than required or have become difficult to maintain. The initiative aims to encourage tenants to move into smaller, more manageable homes, thereby releasing larger family properties for those on lengthy waiting lists.

The council highlights that ‘rightsizing’ can reduce energy bills, lower rent payments, and simplify day-to-day upkeep for tenants. This approach addresses the growing demand for larger family homes while supporting tenants to reduce their living costs.

## Rightsizing benefits tenants and the wider community

Coun Gavin White, the council’s executive member for housing and development, emphasised the potential advantages for older tenants who may have spare rooms or find maintaining a larger property challenging. He said: “Rightsizing could be a brilliant option for older people who are renting a council home who may have spare rooms they don’t need or would benefit from looking after a smaller property.”

He acknowledged that moving costs often deter tenants from relocating but assured that the council would cover these expenses to ease the financial burden. Coun White added: “The benefit for the city is that we can free up more larger homes for people who are waiting for a property that properly meets their needs.”

The council estimates that around one third of council tenants may be underoccupying their homes, potentially paying more than necessary or being affected by the bedroom tax.

## High demand for larger family homes in Manchester

Currently, approximately 20,000 households in Manchester are on the housing register, with the demand for larger homes among the slowest to be met. Officials estimate that about a third of social rented family properties may be underoccupied, highlighting the importance of encouraging tenants to move to appropriately sized homes.

Over the past year, 109 households have successfully relocated with the help of the council’s Rightsizing Incentive Scheme, which covers moving costs and provides a £2,500 cash payment to eligible residents. Interest in the scheme is increasing, with 432 households making enquiries about the process.

## Flexibility and local community retention

Tenants participating in the scheme can choose to remain within their current neighbourhood to stay close to friends and family, although moving to other parts of Manchester is also an option. The council stresses that the service is advisory rather than compulsory, allowing residents to explore their options without any obligation to move.

This flexibility ensures tenants retain control over their housing decisions while contributing to the efficient use of social housing stock.

## What this means for landlords and agents

For landlords and letting agents managing social housing, the council’s rightsizing scheme may lead to increased availability of larger family homes, potentially reducing waiting times for families in need. Supporting tenants through such initiatives can improve tenant satisfaction and help maintain balanced occupancy levels across housing stock.

Moreover, the financial incentives and advisory support provided by the council can facilitate smoother tenant transitions, reducing void periods and associated costs.

Suggested internal link anchors

– social renters
– council housing properties
– housing association tenants
– underoccupying tenants
– bedroom tax impact
– housing waiting lists
– tenant relocation support
– energy bill reduction
– managing smaller properties
– social housing demand
– tenant moving costs
– rightsizing incentive scheme

TLA update

TLA is launching a new Trusted Partners Hub in Q1 2026, featuring verified and approved service providers selected to support landlords, tenants, and property management businesses. We are inviting legal, trades, insurance, financial, mortgage, tenant screening, and other service providers to register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/