Supported housing providers will still be able to raise
their rents on re-lets by up to 10%, despite the 1% social rent cut, a local
government minister has confirmed. While landlords will still be forced to cut
their rents by 1% a year over four years, they will be able to implement a
one-off rent rise of up to 10% on supported and sheltered housing re-lets. They
will only be able to do this once for each property. The concession could
mitigate some of the effects of the annual rent reduction for supported housing
providers, which the National Housing Federation says will cost housing
associations £3.9bn over four years. However, it will not offset the problems
set to be caused by the decision to cap housing benefit for new social tenants
at Local Housing Allowance rates. Read more on Inside Housing.
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