The cost of inflation

Graham_Devon

Theres another cost to this.

My rent part of my house goes up in line with RPI + 2% each year. Also based on September figures. Although they do this twice a year and take the average of Feb(?) and September. So mine will be something like 6-7% increase I'm guessing. My wage increase was 0% and a pay banding freeze. Has been 0% for 2 years, though did get a banding increase the year before. So that's all lovely. But hey ho, same boat as loads of others.

This will put the cost up of housing benefit for the many people in housing association type properties who get their rents paid for by housing benefit. Not sure what's going to happen about reducing housing benefits, though I'm betting on another extension.

If other associations base it on September, which many will, and follow the +1-2% rule, thats an increase in rent of 6.6-7.6% which housing benefit will have to cover.

IveSeenTheLight

Graham_Devon wrote: »

Theres another cost to this.

My rent part of my house goes up in line with RPI + 2% each year. Also based on September figures. Although they do this twice a year and take the average of Feb(?) and September. So mine will be something like 6-7% increase I'm guessing.

Ouch, would you have faired better renting on the open rental market.

Good tenants can with good landlords canget very good deals.

I have one tenant for nearly 5 years (will be come January) and I have not increased their rent in all that time.

They are getting a property below market rent, I am getting my property looked after and they are rapidly repaying the mortgage.

Graham_Devon

IveSeenTheLight wrote: »

Ouch, would you have faired better renting on the open rental market.

No is the simple answer.

I couldn't rent the equivalent house without paying £150 more each month (than my rent and mortgage combined).

Do want to get out though. Desperate to get out if the truth be told. Over the last year or two the whole place is going downhill thanks to recent tenants. Think you also see things differently when you have a child and someones decided to shatter glass all over the toddlers playground for a bit of fun. Of course, the owner occupiers are then charged for the cleanup. Starting to get very very bitter about the whole benefits thing too, as it's in my face every single day, and seeminly, getting worse with the inequality.

Mallotum_X

In terms of tax received, i'm sure they said business rates go up by this rate as well. So there are some tax benefits to the increase.

undetterred

Graham_Devon wrote: »

Theres another cost to this.

My rent part of my house goes up in line with RPI + 2% each year. Also based on September figures. Although they do this twice a year and take the average of Feb(?) and September. So mine will be something like 6-7% increase I'm guessing. My wage increase was 0% and a pay banding freeze. Has been 0% for 2 years, though did get a banding increase the year before. So that's all lovely. But hey ho, same boat as loads of others.

This will put the cost up of housing benefit for the many people in housing association type properties who get their rents paid for by housing benefit. Not sure what's going to happen about reducing housing benefits, though I'm betting on another extension.

If other associations base it on September, which many will, and follow the +1-2% rule, thats an increase in rent of 6.6-7.6% which housing benefit will have to cover.

SO?? no wonder your always p+ssed about stuff,even brit knows to steer clear of that scam.

IveSeenTheLight

Graham_Devon wrote: »

No is the simple answer.

I couldn't rent the equivalent house without paying £150 more each month (than my rent and mortgage combined).

Do want to get out though. Desperate to get out if the truth be told. Over the last year or two the whole place is going downhill thanks to recent tenants. Think you also see things differently when you have a child and someones decided to shatter glass all over the toddlers playground for a bit of fun. Of course, the owner occupiers are then charged for the cleanup. Starting to get very very bitter about the whole benefits thing too, as it's in my face every single day, and seeminly, getting worse with the inequality.

I can understand that can't be nice.

One point to consider though. if it costs you £150 more to currently rent and your rent is increasing RPI + 1-2%, then the difference will slowly close.
Could you find a better area to rent?

Another consideration could be to set up a local community watch scheme. The peoplice I understand are keen on this and could help the playpark issue if your community does a rota walk around the playpark.

The problem is of course the "youth" and maybe it's boredom with them, but I would wager that having regular adult patrols, linking with the police would soon move them on to another location.

Graham_Devon

IveSeenTheLight wrote: »

I can understand that can't be nice.

One point to consider though. if it costs you £150 more to currently rent and your rent is increasing RPI + 1-2%, then the difference will slowly close.
Could you find a better area to rent?

Another consideration could be to set up a local community watch scheme. The peoplice I understand are keen on this and could help the playpark issue if your community does a rota walk around the playpark.

The problem is of course the "youth" and maybe it's boredom with them, but I would wager that having regular adult patrols, linking with the police would soon move them on to another location.

Theres already a very active community watch scheme.

But it's exactly as it says on the tin. Watch.

You simply get to watch whats happening. Not kidding, the whole thing is a farce and a complete waste of money and time, though I have to give it to the house (one on benefits) that do try very hard to keep it going. There are just no resources to actually do anything. All you can do is call the police, who simply suggest it's the housing associations problem, who then encourage more neighbourhood schemes.

It's the same people living here as are doing the damage.

Graham_Devon

undetterred wrote: »

SO?? no wonder your always p+ssed about stuff,even brit knows to steer clear of that scam.

Not much choice fella.

It's easy slamming it, but when you need somewhere to live, and want somewhere secure, what choice do many have? I'm lucky to have the choice, rather than be on the merrygo round of 6 month tenancies.

Really2

Graham_Devon wrote: »

Theres already a very active community watch scheme.

But it's exactly as it says on the tin. Watch.

You simply get to watch whats happening. Not kidding, the whole thing is a farce and a complete waste of money and time, though I have to give it to the house (one on benefits) that do try very hard to keep it going. There are just no resources to actually do anything. All you can do is call the police, who simply suggest it's the housing associations problem, who then encourage more neighbourhood schemes.

It's the same people living here as are doing the damage.

What about involving the youth with the HA to put forward proposals to curb it, youth club etc.
There are numbers of community funds and grants.
It is more likely bad stewardship than the youth that are really the issue.

StevieJ

ILW wrote: »

I have my doubts about inflation dropping back next year. This is based purely on the fact that Mervyn King said it will and he has been completely wrong for the last few years.

You have your doubts and I will act on the expectation that King is correct this time, let us see who is more successful