Wile E Coyote explains the bedroom tax to landlords…and not before time!

Last Updated: October 31, 2013By

One Comment

  1. PendanticGeek November 1, 2013 at 10:17 am - Reply

    It is naive to think HAs aren’t aware of what is being done by this government. They are well aware and run predictive models based on their business and the proposed legislation They know very well what is happening and are taking what steps they can to reverse and mitigate the effects on their tenants. It is not in an HAs interest to undermine their own business.
    The main problem HAs have is that they have loans made to the value of their stock. If they change the classification of a building from a 3 to a 2 bedroom house then they undermine the loans already underwritten by that building.
    HAs are REQUIRED to report on their stock and if they don’t the council tax band is used to set the bedroom tax.
    I have and will continue to advocate that an HA introduce a second classification of buildings to allow a differentiation between the designed and modified purpose of a house. The stock value of a house for loan to value can be based on it’s potential sale value and the rental purpose can be accurately reported to the Local authority for HB purposes.
    I can’t leave this comment on SPeye’s blog because I refuse logging in with an FB account.

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