Richard McCarthy, deputy to DCLG top mandarin Sir Bob Kerslake, is said to have told housing professionals at a private meeting that landlords would only be allowed to switch half their re-let properties to "affordable rents".
"Affordable rents" will be up to 80% of the market rent of an equivalent property and the housing minister told parliament that housing associations will be able to convert vacant properties to "affordable rent" where they have reached an investment agreement with the Home and Communities Agency about how additional rental income will be reinvested in the supply of new affordable housing.
Dale Meredith, development director for Southern Housing Group and chair of the G15’s development directors’ group, told Inside Housing:
‘There are good reasons not to have something as hard and fast as a 50 per cent limit. I could let half of my empty properties at 80 per cent or two thirds at 60 per cent and meet the same objectives. That might be a better solution.’