Government to raise council rents in Cambridge

3.00.00pm GMT Mon 9th Jan 2006

Executive City Councillor for Housing, Catherine Smart, has today commented, ahead of tonight's Housing Management Board meeting, on Council rent rises inflicted by central Government.

In 2000, the Government decided that all Council housing, and Housing Association, rents had to rise to a pre-determined level by 2010. As part of this process, Cambridge City Council has been forced to raise rents from 3 April 2006. Rents on Council dwellings are now calculated centrally in Westminster using a formula with 70% based on the average wage of a manual worker in the county and 30% based on the value of the house or flat.

Commenting, Cllr Smart said:

"Since local government has lost control of the level of Council rents to Westminster, we have been unable to avoid this above inflation increase.

"Not only do the Government not allow the City Council to determine the level of Council rent but they then use their own rent calculations for Cambridge to decide how much money to take back from the Cambridge housing budget. They consider this to be 'excess' money but in reality it is anything but."