Housing body warns of ‘subsidy junkies’

The Chartered Institute of Housing has warned
the government that its proposals for reforms of local authority
rents will make councils even more dependent on central government
subsidies.

The government wants councils and housing
associations to reform their rents so that the price tenants pay
for their housing relates more closely to the quality of the
accommodation on offer.

However current proposals contained in the
government’s consultation document mean that the rent increases
made by local authorities would ignore the differences in the
levels of service offered by councils.

CIH believes that councils should be able to
retain more of any increases in rent levels to reflect improvements
in services to tenants, rather than rents being dictated by central
government.