Massive rent hike for thousands of Tottenham tenants 12/01/04

Thousands of Haringey Council tenants face rent increases 3 to 4 times the rate of inflation in the coming year, local Conservatives have revealed. 2280 tenants face rent increases of more than 7.5% as part of the Government's plan "to align rents more closely with market values". A further, 5404 tenants face rent increases ranging from 5% to 7.5%, bringing the total number of tenants facing swingeing increases to well over 7,000 (more than 43% of all tenants in the Borough).

The increases, in year 2 of a 10 year 'rent alignment' plan, mean that many Council tenants will see their rents nearly double over the life of the plan.

Peter Forrest, Conservative GLA Member for Enfield-Haringey, is highly critical of the Government plan:

"These massive rent hikes really have nothing to do with ironing out the problem of subsidised rents in public sector housing. Furthermore, Haringey does not get to keep the increased money to spend on better maintenance or to build new housing: it's creamed off into Gordon Brown's coffers.

These rent increases are part of a Government plan to arm-twist Council tenants into voting for housing stock transfers, in favour of either Housing Associations or Arm's Length Management Organisations (ALMOs). The Government has been increasingly frustrated at many tenants wish to stay put and has hit upon the plan of inflicting huge increases in rent in order to soften up tenants in future stock transfer votes.

I have often been critical of the Council's stewardship of its housing stock. But a programme to near double rents, coming on top of huge hikes in Council tax and increases in National Insurance ceiling, will hit low earners very hard. There has to be a better way."

ENDS.