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Social sector rents increase by six times more than private sector

Social sector rents increase by six times more than private sector

New analysis by the Residential Landlords’ Association (RLA) has revealed that rents in local authority controlled homes have increased six times more than in the private sector over the past eight years.

Figures published by the Department for Communities and Local Government show that in the eight year period between 2005/06 and 2012/13, local authority housing average weekly rents in England increased from £55.27 to £78.78, an increase of 42.5%.

By contrast, figures from the Office for National Statistics have shown that in the eight years between August 2005 and August 2013, rents in the private rented sector in England increased by just 7.2%. This compares with an RPI increase of 30.3% over the same period, meaning that private sector rents actually fell in real terms.

Commenting on the findings, Alan Ward, chairman of the RLA said: “These figures burst the myth that it is private sector rents that are spiralling out of control, when it is tenants in local authority controlled housing who are facing far steeper increases in rents.”