Reply To: Rent increases 2024

Peter Barker

That is correct, the CPI + 1% limit is part of the rent standard policy statement, and the policy statement does not apply to certain types of housing including SSH. SSH is defined for that purpose as follows:

‘specialised supported housing’ means supported housing (as defined in chapter 2):

(a) which is designed, structurally altered, refurbished or designated for occupation by, and made available to, residents who require specialised services or support in order to enable them to live, or to adjust to living, independently within the community;

(b) which offers a high level of support, which approximates to the services or support which would be provided in a care home, for residents for whom the only acceptable alternative would be a care home;

(c) which is provided by a private registered provider under an agreement or arrangement with a local authority or a health service (within the meaning of the National Health Service Act 2006);

(d) for which the rent charged, or to be charged, complies with the agreement or arrangement mentioned in paragraph (c); and

(e) in respect of which at least one of the following conditions is satisfied:

i. there was no, or negligible, public assistance, or

ii. there was public assistance by means of a loan (secured by means of a charge or a mortgage against a property).

If all of those boxes are ticked, they don’t have to comply with the policy statement. Whether using RPI instead of CPI would be enough to justify restricting the rent increase under Reg 13ZA in an exempt accommodation case is debateable; and whether it would be enough to trigger RO referral and restriction to the LRR in a “managed” case is also debateable. But those are options you have.