Setting the Rents of Social Housing: The Impact and Implications of Rent Restructuring in England

Abstract

The question of how the rents of social housing should be set has been a matter of debate in many European countries. This paper draws on research into the probable impacts of the UK government's policy to restructure rents in England to explore some of the issues involved in determining the rents of social housing. The paper discusses why social rent setting is a particular issue in the UK and how the government is seeking to address it through the rent restructuring policy that is currently being implemented. Then, after outlining the nature of the study on which the paper is based, the local effects of the policy on social housing rents are examined. An assessment is made of whether the policy is likely to fulfil its explicit objectives and it is concluded that only some of these are likely to be met. It is also concluded that the current direction of UK policy raises some questions that are likely to be of concern beyond the UK.