Reply To: 2023/24 rent increases

#282650
liffe
Participant

I have an RP who offer extra care (similar to sheltered accommodation for those independent enough not to require a care home), they have staff on site but the elderly tenants live in their own flats. Their April 2023 increases ranges from between 18% to a whopping 32% increase.

Do LA’s need to start digging into whether the core rent has increased by more than 7% or whether it is due to the service costs increasing (this isn’t shown on any rent models I’ve come across). I thought, possibly incorrectly, the overall gross rent will be restricted to 7%, otherwise the enforced 7% cap would be pointless should a Landlord could circumnavigate and increase their service charges to counteract….

I believe that restricting only core rent to 7%/11.1% is defeating the intention of the govt. IMHO the restriction applies to the gross rent incl service charges but you would need to argue the case or get some steering from the minister