Housing Minister cuts planned council rent increases in half

Housing Minister Margaret Beckett has today announced new support to help councils cut their planned rent increases for tenants in the current economic climate.

The average guideline rent increase for 2009/10 will be halved from 6.2% to 3.1 per cent for local authority tenants, to encourage councils to reduce the amount tenants would have to pay for the coming year.

Mrs Beckett announced that the Government would make funding available to support local authorities to make the changes, and revise their rents for 2009/10 accordingly.

The changes to the guideline rent increase means tenants should see a marked drop in their proposed average rent increase for the coming year from around £4 per week to approximately just under £2.

Mrs Beckett said: "We have listened to what councils and their tenants have said to us about the planned rent increases, and we are determined to help tenants get a fair and affordable deal.

"Ultimately, it is for each council to take up this offer of support, but I would expect them to ensure their tenants receive the full benefits."