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!