NEWS ON RENTS

25 January 2010

Each year the Tenant Services Authority (TSA) publishes guidance advising housing associations on the percentage increase that can be made to target rents, which is a nationally set level of rent based on the average earnings in Yorkshire, bedroom size and property value. As you may have seen in the press though, this year is different because the guidance recommends a reduction in target rents of 0.9%.
So, for an average rent of £260 per month, this would work out as a reduction of £2.34 a month. Some tenants are currently charged rents lower than target rent, such as secure tenants.

At all times, we have to consider the financial viability of the association to make sure funds are always available for maintenance related improvements to properties. For this reason, the association will be implementing the rent plan which enables us to keep anyone’s rent which is above target rent static. The result will be that most tenants should experience no changes to their current rent levels in 2010.