Responding to the launch of a consultation inviting views from social housing tenants and landlords on a proposed rent cap in response to the rising cost of living, Cllr James Jamieson, Chairman of the Local Government Association and Kate Henderson, chief executive of the National Housing Federation, said:

“Councils and not-for-profit housing associations are very concerned about the impact rising living costs are having on social housing residents.

“Housing providers have been carefully considering their approach to next year’s rents and will do all they can to keep increases low where possible. Working with partners, councils and housing associations will continue to do what they can to protect people from hardship, targeting help at people facing the most complex and acute challenges.

“We are glad to have the opportunity to respond to the Government’s consultation and will be talking to members over the coming weeks before responding in more detail.

“However, we are very concerned that a new cap on social housing rent increases will significantly impact on housing providers’ ability to provide critical services for residents and invest in new and existing homes.

“Decisions on the level of rent increases for tenants need to be made by housing providers within the existing government rent policy commitment, ensuring that there is a careful balance between affordability for tenants and investment in the homes that they live in.

“If the Government does take forward a lower cap, then it should provide additional funding for 2023/24 and for future years so that housing providers can continue to safeguard services and meet the country’s future housing needs.”