SOCIAL housing tenants may feel the squeeze this year after rent is set to increase by seven per cent.
Worthing Homes has increased its rent rates to fall in line with government requirements, which are set each year.
The basis used by the government is the previous year’s September inflation percentage, plus further amounts if a tenant’s rent is below the rent level set for their home and other similar-sized properties.
Using this calculation, the proposed increase for 2012/13 would be an average 8.5 per cent.
However, Worthing Homes has decided to cap its increase to help their tenants in the current economic climate.
A spokesperson for the housing association said: “Given the current financial and economic situation, we recognise that an 8.5 per cent increase could be a struggle to afford. So, we have decided we should restrict this to a maximum average of seven per cent.”
Adur council tenants are also facing higher rent payments after Adur District Council cabinet approved an increase of 7.7 per cent at a meeting earlier this month.
Councillors said they had “sympathy” with residents over the increase but added it would allow the council to go back to a nought per cent increase in future years. In their report, Sarah Gobey, executive head of financial services, and David Pannell, executive head of Adur Homes, said the change was largely due to the move to self-financing council housing.