Social Rents Have Increased Faster Than Earnings

Social housing rents have increased faster than earnings over the last 15 years, according to a National Audit Office (NAO) report. The report into the housing market and policy in England said between 2001/02 and 2014/15 typical full-time earnings increased by 33% but typical rents for council properties increased by 79% and housing association rents increased by 72% in the same period. The NAO said different government departments can have “conflicting objectives”. An example was the introduction of the 1% rent reduction, announced by the Treasury, which reduced the ability of housing associations to scale up their development plans and might impact the Department for Communities and Local Government’s plan to build one million homes by 2020. Download the report from the NAO website.