Merton set to pass on rent reductions to tenants

Following the government’s recent announcement that it would review current guidelines for average housing rental increases for 2009-10, Merton council is proposing to reduce the average rent increase for tenants for the coming year.
Councillors will be recommended to agree a revised overall average rent increase for council housing at cabinet on Monday 27 April, with a proposed reduction from 6.29% to 3.18% backdated to 1 April 2009.
Councillor Linda Scott, cabinet member for housing, adult care and health at Merton Council said, “We are pleased the government has responded to calls from local authorities across the country to review its guidelines.
“Like many other councils Merton had already set its rent increase for 2009-10 back in January, in order to meet our statutory obligations and we only received detail of the revised guidance from government earlier this month.
“Council officers have been putting in extra effort to crunch the numbers and revise the existing rent increase arrangements so we that we’re able to transfer these savings on to tenants as soon as possible.
“We understand that times are particularly difficult for residents in the current financial climate. Every little counts and we’re sure that this reduction in the rent increase will be warmly welcomed by Merton’s council tenants.
Merton Council will be writing to all tenants in due course to inform them of the reduction and when they can expect to start benefiting from it.