What is the above inflation percentage increase of rent charges for each registered social landlord for every year since the start of the fifth Senedd?
Welsh Government does not hold this data. Social landlords are responsible for setting their rents within the Welsh Government rent policy framework, and they are required to evidence to the Welsh Government that affordability for tenants is at the forefront of their rent setting policies.
The five year rental agreement from March 2015 to March 2019 allowed social landlords to uplift their rents by a maximum of the Consumer Price Index (CPI) +1.5%.
For the year March 2019 to March 2020 rents could be increased by up to CPI only while the outcome of the independent Affordable Housing Supply Review (AHSR) was expected.
The AHSR recommended a five year rent policy to provide stability for tenants and social landlords. The independent panel recommended a rent policy of CPI plus outcome. A five year rental agreement was agreed in December 2019, implemented in April 2020 and will run until 2025. The agreement allows landlords to increase rents up to a maximum of CPI+1%, this threshold is not to be exceeded and is not to be treated as a target.
There will always be tension between affordable rents for tenants and generating sufficient rental income required to maintain tenants’ homes and build the social homes of the future which is why the Government’s rent agreement puts in place a maximum ceiling on annual increases.