‘We’ll end up living in a tent at this rate’: Pensioner’s anger over social housing landlord’s rent and service charge hike
Date published: 18 March 2021
Photo: Google, DigitalGlobe
Millbeck Gardens, Middleton
A housing association’s inflation-busting rent and service charge hike will force people to choose between eating and heating, an angry tenant has claimed.
People living in apartments off Wood Street, in Langley, Middleton, will see a near 10% rise in their bills from April.
Social housing provider Riverside is increasing service charges – which include cleaning, maintenance and electricity supply – by 8.2% (£1.34) per week.
Meanwhile rents are set to go up by 1.5% per week (£1.23), in line with the new limit set by the government.
Bosses say the move will help it continue to ‘deliver quality services’, reclaim historic costs from previous ‘undercharging’ and cover a forecast increase in expenses.
It is the 13th consecutive year that tenants at Millbeck Gardens and Rydal Gardens have seen rent and service charges go up.
But with people struggling more than ever after 12 months of the pandemic, tenant Tony Ettenfield believes it could prove a tipping point for some people.
“We’re going to end up living in a tent on Wood Street if they keep this up,” said the 74-year-old.
Riverside has scaled down its original proposals, which would have seen an overall charge of nearer 20%.
But Tony, who lives at Millbeck Gardens, remains unimpressed.
He points to the rate of inflation – which the government calculated at 0.5% for 2021/22 for rent-cap purposes – in comparison to the increase to be imposed by Riverside.
“I don’t think anything of it, really, because whichever way you look at it, it’s 10% – that’s way over inflation,” he said.
Tony says it could hit pensioners like himself particularly hard.
“If we have got 2.5% off the government for the state pension, then somewhere along the line we have to make up the difference.
“Do we turn the heating off and sit in the cold, cut back on food or a bit of both? Something has to give somewhere.”
“This is the problem with Riverside when they put the charges up like this.”
The retired IT and logistics worker also questions whether Riverside lives up to its claims of ‘offering affordable housing and support to people of all ages and circumstances’.
“This is supposed to be social housing and on their website they talk about ‘affordable rents’ – we keep wondering every year where these ‘affordable rents’ are,” he said.
“They might be affordable for Riverside but they are not affordable for the tenants.
“I’m like the other tenants – I’m not happy at all about it, but there’s very little we can do.”
Tony has also previously challenged Riverside for charging tenants for services they do not provide to them – such as heating and phones.
He added: “This is the 13th year in this building. Every year but one I have had to go and sit round the table and fight like buggery to get them to bring it down.”
Sarah Paton, Riverside’s Regional Director for the North, said the landlord understood it was a ‘challenging time’ for many of its customers.
She added: “It was with careful consideration that we decided to increase rents by 1.5% (£1.23 per week) for the majority of customers in line with the new limit allowed under government rules, so we can continue to deliver quality services and invest in new and existing homes.
“In making the decision we compared our rents to other social housing providers and looked at typical local incomes to ensure the rents we charge are affordable.
“Service charges are set separately and cover the cost of looking after communal areas with cleaning, electricity supply and building safety. Unlike rents, they are set to meet the costs incurred on a scheme by scheme basis, initially based on estimates, but with future charges adjusted to reflect any under or overpayments.
“The increase of £1.34 per week (8.2%) is to reclaim historic costs where we have undercharged in previous years, as well as forecast increases in expenses such as wages and materials.
Ms Paton added: “We have a formal complaints procedure and Mr Ettenfield’s complaint is currently going through this process. He has been given a breakdown of all the costs from the annual accounts and we will continue to work with him through his complaint.
“We sincerely apologise for any mistakes made in the past which have been investigated and rectified.”
Nick Statham, Local Democracy Reporter
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