12-07-2015, 12:56
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#181
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cf.mega poster
Join Date: Apr 2004
Location: Northampton
Services: Virgin Media TV&BB 350Mb,
V6 STB
Posts: 8,294
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Re: Crackdown on 'rich' council house tenants
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Originally Posted by martyh
In other words you have no facts ,you cannot show how rents are subsidised and your argument has no basis in fact .
For you information rent levels across the country ,in all LHA's use the same process to set their rent levels and that includes market value of the house ,average earnings in the area and number of rooms in the house ,also all housing associations use exactly the same method ,this method has been in use for some years now and was introduced to reduce the disparity between Council rents and private rents .I suggest the next time you feel the need to spout off you get off your backside and look for the facts first .
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Here's an example(one of MANY) from the Joseph Rowntree Foundation.
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3. The changed roles and patterns of social renting
This paper does not set out the changing finance and subsidy
arrangements in the sectors involved since 1989 (the key date in the
changing roles for the association sector) or even 1997 (the switch from
Conservative to New Labour government).
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March 2015 Financial Times
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In the last year of the Labour government nearly 54,000 government-subsidised homes were built, an annual study called the UK Housing Review has found. In 2013-14 this had dropped to 41,654, according to the review.
The coalition scrapped the longstanding system of funding new social rented housing in 2011, replacing it with a system in which landlords receive much smaller construction subsidies but are allowed to charge tenants up to 80 per cent of the local market rate, known as “affordable rents”.
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Quote:
The supply of affordable housing remains a high priority for the Scottish Government, which has made clear its commitment to deliver at least 30,000 affordable homes, of which at least two thirds will be for social rent including 5,000 council houses, during the lifetime of this Parliament.
We have boosted our budgets for new affordable homes considerably and with successive increases to the budget will now invest £970 million over the three-year period to March 2015.
In 2015-2016 we plan to invest a further £463 million. Over the current Parliamentary term the Government’s planned spending on affordable housing will therefore be more than £1.7 billion.
The remaining budget will be managed centrally and will include funding for the Low Cost Initiative for First Time buyers, the Home Owners Support Fund and increased subsidy for homes built to a higher greener standard.
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Quote:
One reason for high rents was that before 1919 no corporation dwellings received subsidy from central government.
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The Housing and Town Planning Act of 1919 (The Addison Act) was seen as a watershed in the provision of corporation (council) housing. Councils were thrust to the forefront as the providers and they began to plan their post-war housing programmes. Housing Committees were set up, working largely from recommendations from central government's advisory committee - the Tudor Walters Committee and encouraged to build through the provision of generous subsidies.
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The increased development of high rise blocks of flats during the 1950s and 60s can be directly attributed to a response to the Government's subsidy system. From 1956, subsidy was confined to new houses built to replace those lost to slum clearance and there was more money available for blocks of more than six storeys high.
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The majority new homes built on these estates were typical two story houses, but there was also a significant amount of high-rise building - mainly as a result of the higher subsidy available and also as a result of architectural fashion.
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