The Housing Revenue Account Subsidy 2011-2012

The Housing Revenue Account Subsidy and the Item 8 Credit and Item 8 Debit (General) Determinations 2011-2012 together with supporting papers and explanatory notes. In a letter to local authority officers, Ann Williams from DCLG outlined the following:
*Ministers have confirmed the proposals within the November consultation.
Inflation Factors
*In calculating formula rents and setting actual rents for tenants, authorities are reminded that “caps” on formula rents will increase by RPI + 1% where RPI is the all-items increase as at September of the preceding year. For 2011-2012, the September 2010 figure of 4.6% should be used for RPI. The same rate of 4.6% also applies for 2011-2012 to the limit on individual rent changes of RPI + 1/2% + £2.
*Ministers had decided to maintain the rent convergence policy and to use the existing formula to determine the average guideline rent increase for 2011-2012.
*The Determination is based on convergence within 5 years
Documents are only available online, download from the CLG website.