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Rent Restructuring Explained

From 2002 social landlords have adopted a single approach to setting rents that is based on the same rent formula (the formula is referred to as 'rent restructuring'). This is to ensure that all social landlords' rents stay affordable, aren't confusing, reflect the size, location and condition of your home, and are based on a 'like-for-like' basis, no matter who the landlord is.

Previously, each social landlord had a different system for deciding what rents to charge.

What is rent restructuring?

The new formula is based on the property size (the number of bedrooms), the average earnings in your local area, and the size, location and condition of your home.

Will rent restructuring affect me?

Yes. The rent formula affects all L&Q residents, except those living in shared ownership homes and temporary accommodation.

Will my rent go up?

It depends on where you live. Because your rent is based on the property value of your home and the average earnings for the area where you live, where your home is located will determine whether rents go up or not. The higher the property value of your home and the higher the earnings of the people in your area, the higher the restructured rent is - likewise if earnings and property values in your area are low, the restructured rent is lower. How this will affect you depends on where you live and the average earnings of your area.

How much will my rent change?

To protect residents from large rent increases, the government has limited any rent increase to no more than the rate of inflation plus 0.5%; plus £2.00 per week. If it decreases, any reduction is limited to the rate of inflation plus 0.5%, minus £2.00.