The Government has published a consultation on a draft direction to the Regulator of Social Housing about social housing rents in England. The proposed direction would require the Regulator to set a new regulatory standard on rent, to apply from April 2020 onwards.
The consultation covers two areas in particular:
- bringing local authority registered providers within the scope of the Regulator of Social Housing’s rent standard; and
- permitting registered providers to increase their rents by up to CPI+1% each year for five years. This reflects their previous announcement in October 2017.
The Government has stated that the proposals are designed to recognise the need for a stable financial environment to support the delivery of new homes and the provision of good services to tenants, while also ensuring that tenants are protected from excessive real-terms rent increases.
The Government has invited views on the draft direction and the accompanying policy statement. You can find these documents, together with the consultation paper here.
The consultation will run for 8 weeks and will close on 8th November 2018.