UK Parliament / Open data

Housing and Planning Bill

My Lords, I intervene seeking clarification. I am a little perturbed about some of the new rent levels. I am sure the Minister will correct me if I am wrong but as I understand it, when a house or flat is replaced, it is replaced by a house or flat at an affordable rent, but affordable rents can be 80% of the market rent. I referred the other day to a number of flats in Westminster: a one-bedroom flat at £113 a week, a two-bed at £128 a week, a three-bed at £142 a week and a four-bed at £157 a week. That is a council house or flat in central London, and that might be a low rent. What interests me, looking at it from the consumers’ point of view, is that, to take the two-bed flat at £128 a week, on the open market, when flats have been sold off, they command rent of £450 and £500 a week. So at 80%, the new rent will be £400, charged by a public sector provider, which is three times the existing rent. In other words, it might be like for like in terms of rooms, but it is certainly not like for like in terms of rent, because the rents within the public sector will triple.

I do not think that people out there in the country have really grasped that that is the case—if my figures are correct. Perhaps the Minister, when winding up, will clarify the position. Is what I am saying accurate: that rents in the public sector, on a replacement basis, will triple in many parts of London? It is a simple question.

About this proceeding contribution

Reference

769 c1418 

Session

2015-16

Chamber / Committee

House of Lords chamber

Subjects

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