Welfare reforms could leave some tenants struggling to
pay higher rents once they begin rising in 2020, experts have warned, tempering
some of the optimism about the recent rent deal. The announcement that social
landlords will be able to raise rents by Consumer Price Index plus 1% for five
years from 2020 was widely welcomed by the sector as a generous deal. However,
some have warned that the forthcoming cap on benefits at Local Housing
Allowance (LHA) levels, which is due to be imposed from April 2019, could
create a shortfall between housing benefit and rents, leaving tenants having to
cover the difference themselves. Read more on Inside Housing.
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