The Housing and Planning Bill 2015 includes new laws that will require tenants of social housing earning over a specified income to pay higher rents. DCLG consulted on "tapers" to tie rent to income and the administrative cost of the "pay to stay" policy.
The LGA responded to the consultation recommending that:
Councils should be able to retain the additional income from high earning tenants so that it can be reinvested locally for the benefit of tenants
Pay to Stay should be voluntary and encouraged through guidance rather than made mandatory
Salary thresholds should either be increased substantially at the national level, or set by councils for their own areas in response to the local conditions
The policy will create a significant cost and administrative burden for councils. This must be fully understood and properly resourced.
Read the full response now -