Pay to Stay – What it means to Council Tenants
From April 2017
If your household income is more than £30,000 your rent will go up and could go up to as far as market rent.
How income thresholds should operate have currently not been set but could for example be through the use of a simple taper / multiple thresholds that increase the amount of rent as income increases.
Will the extra rent income be used in Northampton?
No local authorities like Northampton will ONLY be allowed to recover any reasonable administrative costs before they are required to return additional income from increased rents to the exchequer
How will the council know how much my family get paid at work?
HM Revenue and Customs will share income information with social landlords to help them implement the government’s Pay to Stay rules, a new bill has revealed.
The Housing and Planning Bill, which was published 13th October, says that while social landlords will have responsibility for ensuring tenants declare their incomes, HMRC will be given new powers to disclose data in order to allow landlords to verify the information and ensure they are charging the correct rents.
Some rental detail for Northampton
The average rent of a three bed roomed council property in Northampton is currently £417pcm and will decrease by 1% for the next 4 years
The average market rent for three bedrooms in Northampton is £841pcm
Market Property Rents in Northampton by Number of Bedrooms
|One bedroom||£723 pcm|
|Two bedrooms||£718 pcm|
|Three bedrooms||£841 pcm|
|Four bedrooms||£1,133 pcm|
|Five bedrooms||£1,535 pcm|
Council Property Rents in Northampton by Number of Bedrooms
|One bedroom||£324 pcm|
|Two bedrooms||£375 pcm|
|Three bedrooms||£417 pcm|
|Four bedrooms||£456 pcm|