GLERA questions to CoL
At the August meeting with senior officers, GLERA asked whether the calculations for rent convergence (more info below) have been made for the Corporation’s properties (and GLE in particular) to give some context to the national consultation. Once the summary notes from that meeting are approved CoL response will be posted here.
rent convergence
Taken from the City of London website – Housing Services:
Understanding Rent Convergence: What It Means for You and Why Your Voice Matters
As a social housing tenant, you may have heard the term “rent convergence” mentioned in the media or online. But what does it actually mean, and how might it affect you?
Rent convergence is a plan from the government to make rents fairer for people living in social housing. This means that similar homes in the same area will have similar rent, whether they are owned by the council or a housing association.
To do this, the government uses a formula that looks at things like:
- how much the home is worth,
- how big it is,
- and how much people earn in the area.
This helps them work out a “target rent” for each home.
The government started this plan in 2002 but stopped it in 2015. Now, they want to bring it back from April 2026 as part of a new 10-year rent plan.
Under this plan, most rents will go up each year by Consumer Price Index (CPI, a measure of inflation) + 1%. The rent charge for homes that are currently below the target rent may go up a little more each year until they reach the target.
The government says this plan will:
- Help landlords (like councils and housing associations) fix and build more homes.
- Make rent fairer, so people in similar homes pay similar amounts.
- Avoid big rent rises for everyone by only increasing rents that are too low.
If your rent is already close to the target, it will likely only go up by the usual CPI + 1% each year.
If your rent is much lower than the target, it might go up a bit more, by £1 or £2 extra per week, until it reaches the target rent.
This is meant to be fairer than raising everyone’s rent the same amount.
Have Your Say – Take Part in the Rent Convergence Consultation
The government wants to hear what tenants think before they make final decisions. This is called a consultation.
They are asking for views on:
- Whether the extra rent increase should be £1 or £2 per week.
- How to keep rent affordable for tenants.
- How to protect people who may struggle to pay more.
You can:
This is your chance to help shape how rent is set in the future. Your opinion can help make sure the changes are fair and take into account what tenants really need.
Struggling with rent payments?
If you’re struggling with rent payments, contact your Income Recovery Officers or the Rents Team. You can also reach out to City Advice or check our online resources for help with heating, child care costs, and more.
