Labour housing policy dismantles the Welfare State and £200 pcm rent rises

A 1 bed social housing flat in London will increase in rent by over £2,400 a year under plans set out by Labour yesterday. This is the genuinely affordable rent (GAR) that John Healey mentions repeatedly in his Green Paper. 

We only have the figures for London and not for the rest of England of this so-called genuinely affordable rent or GAR model as this is the only place it is currently operated in the Mayor of London housing plan I discussed in July 2017 here and which contain the figures.

GAR is a sham today and will always be a sham as Labour housing policy under John Healey favours the landlord not the tenant and Corbyn must do the right thing and replace him as Shadow Housing Minister.

It means 345,150 social housing tenants in England will face rent increases each year as all new tenancies become the GAR which becomes the target rent and this is of huge significance as it means never again will we see the social rent or SR model that has always been the norm in social housing.

A Labour housing policy is doing away with the 1948 Welfare State housing provision and principle!

The Tory AR conversion policy that social landlords have been practising (102,000 in 5 years) sees the tenant leaving a property who was paying the social rent level (SR) leave for whatever reason and the following week the exact same property has a new tenant but is charged 44% more in rent by having the property ‘converted’ to the affordable rent or AR level. A practice that incentivises the so-called social landlord to evict for financial gain.

John Healey was rightly aghast at this practice yet he has replaced it with something that is worse as all new tenancies issued by social landlords are at the genuinely affordable rent as his GAR becomes the target rent.

The average tenure in a social housing property is 11.3 years for a churn of 8.85% (see EHS 1.17) the churn being the percentage of new tenants per year. The 3.9 million social housing properties in England thus see 345,150 new tenants per year and who will all be charged this genuinely affordable rent level. Labour will thus increase rents for 345,150 social tenants each year

Genuinely affordable rent John Healey?

You are either a bigger buffoon or bigger charlatan than any and every Tory housing minister in living memory.

You are a shame to the Labour movement and proved your ultra right-wing leanings go further than Blairism and as far as dismantling the 1948 Welfare State.

Truly, truly offensive!  

4 thoughts on “Labour housing policy dismantles the Welfare State and £200 pcm rent rises”

  1. “A 1 bed social housing flat in London will increase in rent by over £2,400 a year under plans set out by Labour yesterday.”

    Reality
    You talking about a London housing development being made under Conservative government rules. Where rents up to 80% of market rent are classified as affordable.

    “This is the genuinely affordable rent (GAR) that John Healey mentions repeatedly in his Green Paper. ”

    Reality
    No it is not. Affordable rents are defined in the Green paper as rents no more than a third of average local incomes

    “We only have the figures for London and not for the rest of England of this so-called genuinely affordable rent or GAR model as this is the only place it is currently operated in the Mayor of London housing plan I discussed in July 2017 here and which contain the figures.”

    Reality
    No the development is not using Labour’s GAR model. It is a housing development being built under the Conservative government using Conservative government rules and definitions.

    “GAR is a sham today and will always be a sham as Labour housing policy under John Healey favours the landlord not the tenant and Corbyn must do the right thing and replace him as Shadow Housing Minister. It means 345,150 social housing tenants in England will face rent increases each year as all new tenancies become the GAR which becomes the target rent and this is of huge significance as it means never again will we see the social rent or SR model that has always been the norm in social housing.”

    Reality
    No. Affordable rents are not target rents for existing social housing tenants rents.
    And Labour policy as set out in the green paper is to maintain having social housing with rents lower than the affordable rents definition. By continuing to have social rents calculated as now based on local incomes and house prices which gives rents at about 50% of market rent.
    Affordable housing is separate and broader category of housing. Currently affordable is defined as rents up to 80% of market rent. Labour policy is to change the definition to rents no more than a third of average local incomes. Which results in lower affordable rents.

    “A Labour housing policy is doing away with the 1948 Welfare State housing provision and principle!”
    “The Tory AR conversion policy that social landlords have been practising (102,000 in 5 years) sees the tenant leaving a property who was paying the social rent level (SR) leave for whatever reason and the following week the exact same property has a new tenant but is charged 44% more in rent by having the property ‘converted’ to the affordable rent or AR level. A practice that incentivises the so-called social landlord to evict for financial gain.”
    “John Healey was rightly aghast at this practice yet he has replaced it with something that is worse as all new tenancies issued by social landlords are at the genuinely affordable rent as his GAR becomes the target rent.”
    “The average tenure in a social housing property is 11.3 years for a churn of 8.85% (see EHS 1.17) the churn being the percentage of new tenants per year. The 3.9 million social housing properties in England thus see 345,150 new tenants per year and who will all be charged this genuinely affordable rent level. Labour will thus increase rents for 345,150 social tenants each year”

    Reality.
    No. Labour policy as set out in the green paper is to end the conversion of low-cost social rent to affordable rent. So retaining social rented housing with social rents as now at about 50% of market rent. Labour policy is also to build more social rented.

    “Genuinely affordable rent John Healey?”

    Yes rents that are a third or less of local average income are affordable. Unlike now where the Conservative government defines affordable as up to 80% market rent.
    And for those on very low incomes unable to afford that there will be as now social rented. But, unlike now social rented will be retained not sold via right to buy, and not converted to affordable rented on a change of tenant, and the government will also build more social rented.

    “You are either a bigger buffoon or bigger charlatan than any and every Tory housing minister in living memory.”
    “You are a shame to the Labour movement and proved your ultra right-wing leanings go further than Blairism and as far as dismantling the 1948 Welfare State.”
    “Truly, truly offensive!”

    Your should read or re-read the green paper.

    Liked by 1 person

  2. Mark Jones (if that is your real name) you are very mistaken and you wholly misquote and selective quote what I have written.

    I have read and re-read Labour’s Green Paper and it is a sham and John Healey’s so-called “genuinely affordable rent” is set at approximately 65% of market rent yet will become the new social rent for the 400,000 new social housing tenancies per year in the UK – The Tories AR is set at 80% yet affects circa 40,000 new social housing tenancies each year.

    The same John Healey first used the term “genuinely affordable rent” (GAR) to describe the London rent levels set by Sadiq Khan which are up to 52% higher than the ‘social rent’ level back in 2017.

    My beef is not political but it is how tenants get shafted and the Labour (John Healey) policy will see a great many more social housing rents increase each year (and why it was so welcomed bu council and housing association landlords!)

    Like

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