Good work from Joe Halewood here:

The Tories think social landlords deserve 4 times the increase of a police officer, nurse or teacher as that is what they announced.

How nice of the Conservatives to announce … that social tenants rent will increase by £4.64 billion? What? You missed this and thought yesterday was about the Tories and more council housing?

UPDATE: To avoid any confusion the £4.64 billion social tenant rent increase figure is the cost in 2024/25 and for that year only. The cumulative cost over the 5 year period is £13.56 billion more in social rent from £858m more in 2020/21; £1.75bn more in 2021/22; £2.68bn more in 2022/23; £3.64bn in 2023/24 and £4.64bn more in 2024/25 – £13.56 billion in social housing rent increases the Tories announced yesterday!

That council housing won’t happen by the way but there is little doubt about the £4.64 billion that social tenants will be shafted for in 2025.

 

The CPI+1% rent rises based on current CPI will see the social housing rent roll increase from £22 billion to £26.64 billion an increase of 21% or so.

Note too that these are cautiously low figures (a) ignore any average rent rises between 2016 and 2020 and (b) any increased percentage of affordable (sic) rent properties and (c) assume no overall increase in the numbers of social housing properties from 2016 to 2020 – yet all things being equal:

• It means the overall Housing Benefit bill will increase by £3.47 billion
• This rental increase of £4.64 billion far outweighs the £2 billion that Theresa May allegedly made available yesterday
• This 21% rent increase will mean that many more of the 385,000 prospective social housing tenants will be refused social housing as they will be hit by the overall benefit cap policy and the LHA Maxima Cap policy and go straight to the homeless queue
• Supported housing will close altogether unless the Tories give 21% more to local councils in the LHA Maxima Cap pot
• Bedroom Tax will increase 21%
• Many more existing tenants will also find their Housing Benefit cut as they too will be hit by the stagnating overall benefit cap figure of £20,000 per year.
• DHP demand will easily double and local council tax levels will have to rocket to pay for massively increased homelessness costs
• Homelessness will rocket even further because of this inflation busting rent increase as will rough sleeping.

Source: Tories sneak out announcement of £4.64 billion social rent increase – Speye Joe