Annual rent review 2022
The annual rent and service charge review is controlled by the Regulator of Social Housing. The Trust’s Board have approved the annual increase in your rent and service charge (if applicable), with effect from 4th April 2022, by Consumer Price Index (3.1% as at September 2021) plus 1%, an overall increase of 4.1%.
This increase is in line with the Rent standard set by the Regulator of Social Housing. No rent will change by more than the Consumer Price Index (CPI) plus 1%, this ensures your rent remains affordable and does not exceed 80% of a comparable market rent.
All customers will receive the annual rent increase letter (along with a support team leaflet which can also be read HERE), week beginning the 21st February 2022. If you haven't received your letter by 28th February 2022 please call our Income team on 0300 303 9848.
If you are struggling financially and are experiencing difficulties with your benefits, have debts or are finding it difficult to manage your money and pay your rent then we can help. Call our friendly Income Team on 0300 303 9848 or message us from this web page. We're here to listen and we can help.
Rent and service charges
Your 'dwelling tenancy' agreement gives you full details about your rent, service charges and any other charges. This section gives some background as to how they are set and reviewed annually.
The rent we charge
The rent we charge you covers the use and occupation of your home. The rent we collect is used to pay for the cost of managing and repairing your home together with cyclical such as gas servicing and major improvements to homes. We also provide a range of additional services, such as teams that can help you with money concerns, helping to find work, keeping open spaces clean and tidy. For more information about these services click here
How your rent is calculated
All housing associations and councils have a formula for calculating rents set by the Government. This means rents are set equitably, reflecting the size, condition and location of a property and local earnings, regardless of who the landlord is.
Every property has a target rent and the formula is based on the following factors:
- 30% of the rent is based on local property values in comparison with national averages
- 70% of the rent is based on county average manual earnings compared to national averages
- The average council and/or housing association rent level in the area
- Number of bedrooms and a tolerance of plus or minus 5% (10% for housing for older people). The Trust uses a tolerance of plus 5%.
All new lettings will have rent set at the target rent level. However, your current rent may be different to the target rent for your home.
Rents on properties not covered by target rents
The rents on some of our properties are worked out in a different way to that described above:
- Our Affordable Rent properties have their rents set by up to 80% of the equivalent market rent. Check your tenancy agreement to see if this applies to you.
- Shared ownership properties have their rent set in line with lease agreements
When you receive a service that is in addition to occupying your home then there will be a service charge to pay. They cover a wide range of services including: a lift in a block of flats, a door entry system, grounds maintenance, cleaning of communal areas, window cleaning, caretaking services and many more.
We will charge all new customers for all services they receive and these will be listed in your tenancy agreement. However, if your tenancy started before 2002 you may not be charged for any or all the services you receive.
Service charges will be calculated by us by using a fair proportion of the costs incurred or likely to be incurred in the delivery of the service. The charges will be fixed (meaning that they may not be reviewed annually) or variable (they will be reviewed annually), dependent on the circumstances of the charge.
Fixed service charges will be increased, at the same time as rents, by no more than CPI, for the previous September, plus 1%. Variable service charges will be increased or decreased following the review of annual expenditure.
More information on how your rents are set and increased can be found here https://www.gov.uk/government/organisations/regulator-of-social-housing
Homes Contents Insurance
If you are a member of the Home Contents Insurance scheme, the charge is not changing, and it is not included in the amounts in the rent increase letter.