Tory cuts mean London tenants will need to earn nearly £40,000 to gain access to ‘affordable’ homes

Government plans to slash subsidies to social housing will mean new tenants for affordable housing in the centre of London will need a household income of up to £39,000 a year – enough for a single earner to pay 40 per cent tax – to get a three bedroom home.

by David Hencke
Wednesday, September 28th, 2011

Tory flagship Westminster council has revealed what the new allowances – to start next year – will mean for people applying for the few new build and acquired homes built by social landlords in Notting Hill, Westminster and Maida Vale.

According to the council the new income levels will be: £25,000-£32,000 for a one bedroom (gross rent level of £135-£172 per week), £27,500-£36,000 for a two bedroom (gross rent level of £148-£194 per week) and £29,000-£39,000 for a three plus bedroom (gross rent level of £156-£210 per week).

The document admits: “It is acknowledged that these rents are not currently affordable to many households with priority, without housing benefit. Income analysis indicates that in the main their incomes are low and significant proportions are benefit dependant. However as the rent levels are based around real incomes of households priced out of market housing…  it is expected working households with priority will be able to afford them at some point in the future.”

At the same time, the council is changing its points system for people wanting existing council housing – so that people with two years employment in Westminster get priority over the unemployed, homeless and those with medical conditions. Family connections are also no longer to count.

Westminster councillor Guthrie McKie, the opposition Labour group’s housing spokesperson said: “The council is shifting its housing failures on to the most vulnerable people in our community. Due to its failure to provide sufficient social housing, the council is doctoring its allocation policy. At the same time, there are nearly 300 empty council properties in Westminster – some have been empty for over four years. The council is hell bent on turning Westminster into a “no go” area for the poor and low-income families. These new policies will just add more misery to the lives of thousands of our residents.”

Westminster council’s cabinet member for housing and corporate property, Jonathan Glanz said: “This attack fails to understand the concept of the new affordable rent model and

preys on fears of some of the most vulnerable people. Affordable rent is not a replacement for social housing. It is an entirely separate product for households that are in employment but would otherwise struggle to afford housing at market rents.

“We are committed to supporting mixed communities. Affordable rents will ensure that those on lower quartile incomes will be able to remain in Westminster and continue to contribute to our diverse community.”

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About The Author

David Hencke is Tribune's Westminster Correspondent
  • Anonymous

    Yes and you will need a Job or be a member of an elite to get a council home under labour, not much different really is it.