How is my rent calculated?

In 2002 the Government introduced a new way for public sector landlords to work out rents so that that two people living in identical properties in the same area will pay a similar rent, regardless of whether they are a housing association or council tenant. At the moment, this is not always the case.

To achieve this, the Government introduced a formula that sets a target rent for all public sector properties.

The formula is made up of the following elements:

• property values within the Borough
• average weekly manual wages in the area
• the number of bedrooms you have.

It means that:

• 70 per cent of your rent will be based on local earnings
• 30 per cent of your rent will be based on property values
• a bedroom factor will ensure that larger properties cost more to rent.

To avoid making extreme changes to the rent in any one year, the formula is being implemented over a ten year period, ending in 2012.

The Government has set 'caps and limits' to make sure tenants are protected from sudden rent increases.

Rent Increases

All tenants will be given a least one month's notice of any rent increase.

Rents for assured tenants go up every year in April (or May for some tenants). For secure tenancies the Rent Officer is asked to increase the rent every two years in line with the latest rent values. The Rent Officer may set a different rent to that which we have asked for. In some cases we may also need to phase the Rent Officer's proposed rent increase over two years, in order to comply with guidance from our regulator (the Homes and Communities Agency). In these cases we will increase the rents for secure tenants annually.

If you receive Housing Benefit you need to notify them of the increase so that they can adjust your benefit accordingly.

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