Although further details are yet to be released, our understanding of the Social Housing related elements to Rachel Reeve's 2024 budget are the following:
Rent settlement – CPI + 1% for 5 years – not sure yet of this is beyond the CPI + 1% for 2025-26 or inclusive
RTB discounts to be reduced, but as yet we don’t know what this means in real figures or what the limits will be, or indeed when they will apply from for tenants
Pooling of RTB receipts to end and you will be able to retain all receipts (if there are generated) – however as this was said to be reinvest in housing, then what we need to see is what the restriction will be on spending the receipts. As we know at the moment, certain parts of the current RTB receipts can be used for any capital purpose, not just development / acquisition of properties. We wait to see if this changes.
The Affordable Homes grant extended by £3.1bn.
As ever we will keep you up to date with the detail and make any changes required to Fortress HRA BP as required for the future.
Angie Marshall-Smith 30 October 2024
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