Wednesday, 1 April 2009

Cutting Council rents

I've received dozens of complaints from Council tenants these past few weeks upset about the huge rent increase the Conservatives have brought in.

Despite it's low tax image, Wandsworth in fact has the second highest council rents in London and year after year increases them by inflation-busting amounts. In fact it's increasing charges for communal heating systems by a shocking 15.6% this year.

I find it perverse that the Conservatives are cranking up rents for council tenants - many of whom are on fixed and low incomes - while at the same time demanding more help from Government.

That's why I hoped Wandsworth would leap at the news that our Labour government is providing funds to halve the rent increases being proposed nationwide. The average rent increase in England this year is 6.2% - with Labour the increase will be reduced to 3.1%.

But Wandsworth Conservatives don't seem to want to pass this money onto tenants. When I wrote to the council in February to check that they would be taking the money and cutting rents for local residents the best I could get was a "we're waiting for more information."

What an incredibly underwhelming response, that will be of very little comfort to hard-pressed council tenants. The facts are these:

Each autumn, after consultation, the Government publishes formal guideline rents so that Local Authorities know where they stand on Government subsidy on the housing funding system. Authorities are then free to make their own decisions on the actual rent level to set in their particular circumstances. Many authorities choose to set actual rents below the guideline figure. Wandsworth is never among them.

Last year, the Government was pressed to give authorities greater financial certainty and responded by giving guidance for two years rather than one ? which authorities appeared to welcome. However, since recent major changes in the economic situation, the Government has agreed to reconsider the 2 year deal. And this is the result.

I want Wandsworth Conservatives to stop squeezing Council tenants until the pips squeek. It's time to pass on Labour's rent cut.

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