This project examined the affordability of rents set as percentages of open-market prices, as proposed in the HCA's Affordable Rents Framework. The project reviewed the literature on affordability, and looked at data on recent trends in new lettings in the social sector.
JNational survey data were combined with local benefits and income data to create a set of estimated working propensities and income distributions for the local working-age population in five districts. These were compared to different possible rent levels to estimate total numbers who would be able to afford those rents with and without Housing Benefit.
Market-pegged social rents & local income distributions
This report looks at whether higher 'affordable rents', pegged to market rents, for social housing will be affordable to different households in different locations. It discusses definitions of affordability, and recommends and employs a combined residual-income and rent-income-ratio measure. It draws on administrative data from CORE to describe recent trends in affordability measures in new social housing lettings.
Market-pegged social rents & local income distributions - Read More…