Social housing after the budget

Sweetpea53

Hi all

Just wondering if anyone can shed any light on the situation for social housing tenants after the Budget.


Is the rent increase to paying market rent for those who have a household income of over £30,000 likely to be gradually phased in over a period of months/years, or will families be required go from what they are paying now to market rent almost overnight?


Thanks

WestonDave

The exact details on this are yet to be announced (possibly pending consultation with social housing providers. The figures published with the budget predict a hefty income from this "pay to stay" policy from 2017/18 which looks at present like they envisage it coming in, in full in April of 2017 with nothing before then.

elliesmemory1

Didn't it say in the budget that social housing rent was to fall by 1% a year for next 4 years? Or did I misunderstand?

poppy10_2

This is the official announcement

The government will reduce rents in social housing in England by 1% a year for 4 years, requiring Housing Associations and Local Authorities to deliver efficiency savings, making better use of the £13 billion annual subsidy they receive from the taxpayer. Rents in the social sector increased by 20% over the 3 years from 2010-11. This will allow social landlords to play their part in reducing the welfare bill. This will mean a 12% reduction in average rents by 2020-21 compared to current forecasts.

Housing_Benefit_Officer

What powers will Social Housing providers be given and what information will they need to see to know what their non benefit claiming tenants are earning?

specialboy

Does the £30,000 income figure include tax credits, housing benefit etc etc?

HappyMJ

specialboy wrote: »

Does the £30,000 income figure include tax credits, housing benefit etc etc?

No it's earned income only. From a job.

HappyMJ

Sweetpea53 wrote: »

Hi all

Just wondering if anyone can shed any light on the situation for social housing tenants after the Budget.


Is the rent increase to paying market rent for those who have a household income of over £30,000 likely to be gradually phased in over a period of months/years, or will families be required go from what they are paying now to market rent almost overnight?


Thanks

It'll be phased in slowly.

Don't forget the rent for a housing association/council owned house will always be less than if the same house were privately owned.

specialboy

HappyMJ wrote: »

No it's earned income only. From a job.

So you can have one family earning say £35k who will have to pay extra but a family on benefits bringing in £35k won't be affected?

nannytone_2

two neighbours. both have a household income of 35k.
first household has 2 children and one parent work full time the other stays at home with the kids.
second household has 2 children and both parents work full time, they have considerable childcare costs.

will both households have to pay the same 'top up' to the rent?

tomtontom

specialboy wrote: »

So you can have one family earning say £35k who will have to pay extra but a family on benefits bringing in £35k won't be affected?

Crazy isn't it - another well thought out policy on "fairness"