Your rent will increase on 1st April 2022

Your rent is going to increase by 4.1% on 1st April 2022. Here’s what you need to know about the increase, why it’s happening, how it will affect you and the help available to you if you’re struggling.

We will increase our rents in line with government legislation at Consumer Price Index rate (CPI) +1%. The CPI inflation rate for September 2021 was announced by the Government as 3.1% so this means your rent will increase by 4.1%.

We have given the rent increase a lot of thought and have discussed the issue with our Board. To deliver our commitments as set out in our business plan, we need to maximise the money we receive from rents and apply the increase of 4.1%.

The additional rent will allow us to continue investment in our 1200+ existing homes and make our homes more energy efficient.

What do I need to do to?

What you need to do depends on your circumstances and how you pay your rent. This might be through your Universal Credit, by Standing Order, Direct Debit or via Housing Benefit.

Full details can be found in the FAQ section below.

I’m struggling to pay my rent

If you’re struggling to pay your rent, or anticipate that the rent increase will cause you to fall into arrears, please don’t let the problem get out of control. Contact your Housing Officer on 0161 272 6094. They will be able to help you make a plan to keep on top of your rent, can provide benefits advice, and can also point you in the direction of further sources of support, such as Foodbanks and utility guidance, who can help you make the most of your money.

Q: What will my new rent be?

From 1 April 2022, your rent will rise by CPI (Consumer Price Index) plus 1%. The CPI for September 2021 was announced by the Government as 3.1% so this means your rent will increase by 4.1%.

Example:

If your rent is currently £100 per week, then your rent will increase to £104.10 per week, a difference of £4.10 per week.

We will write to you soon to confirm how this will affect your rent payments.

NB: there will be a small percentage of tenants whose rents will not rise by the full 4.1% due to the type of tenancy. We will let you know if this applies to you when you receive your letter at the end of February.

Q: Why is my rent increasing?

Like every housing association, we review rents every year in line with inflation using Consumer Price Index (CPI). We have discussed with our Board what the extra will money will pay for i.e. investing in your home and delivering community investment activities.

In 2022/23 we will spend approximately £1million on repairs and maintenance of our

existing homes. We’ll also spend around £1million on investment works, including over

£500k on window and door upgrades and £120k on new kitchens. We’re also investing in research to make our properties more eco-friendly and energy efficient, part of our long- term challenge to become a net zero carbon housing association by 2050.

Q: What is the Consumer Price Index?

The Consumer Price Index (CPI) is a measure used by the government to estimate the average cost of typical household consumer goods and services and how that cost increases over time with inflation. The CPI rate varies and was 3.1% at September 2021.

Find out more about CPI

Q: Do you have to increase my rent?

We need to increase your rent by at least CPI otherwise we simply can’t deliver what we need to. The increase means we will be able to invest more in your homes and community, including making your homes more energy efficient through our de-carbonisation plans.

Q: What do I need to do to stay in credit?

What you need to do depends on your circumstances and how you pay your rent. This might be through your Universal Credit, by Standing Order, Direct Debit or via Housing Benefit.

Universal Credit

If you receive Universal Credit, it is your responsibility to notify the Department for Work and Pensions (DWP) of the changes to your rent and service charge if applicable.

To do this follow the instructions below:

1. Log in to your online Universal Credit account
2. Tap on the ‘To do’ button
3. Complete the Confirm your housing costs to do on the date shown below (do not use the change of circumstances to do to report your rent increase)

This should be done by:

• 1 April 2022 for those that pay rent monthly
• 4 April 2022 for all other rent payment frequencies

If you don’t do this, you will be underpaid your housing costs which will result in arrears on your rent account.

Standing Order

If you pay by standing order, you will need to contact your bank to change your standing order to reflect your new rent payments.

Direct Debit

If you pay by Direct Debit we will contact you to amend your mandate. If we are unable to make contact, then we will amend it on your behalf. Alternatively, give us a call on 0161 272 6094 to speak to us about amending your Direct Debit payment.

Housing Benefit

If you receive housing benefit, you do not need to do anything as we will inform the Local Authority of the change.

Q: I pay service charges – will the same increases apply?

Your service charge may increase but this will vary for each household as it will depend on what type of service charge you pay.

Please be assured that we will only set service charges in line with our policy. Your rent letter will let you know how much your service charge will increase by.

Q: Can I appeal the rent increase?

Contact us and we can talk to you about why this rent has been applied. If you are still not satisfied, we can refer you to an independent body who will consider your dissatisfaction.

Not paying your increase will result in rent arrears building up on your account and we will have to take action to recover the unpaid rent that is due.

We want to avoid this unpleasant and unnecessary situation as it may end up with you facing more debt and possibly legal fees which would only make your financial circumstances more difficult.