Login

Username
Password

Or Register

Wed 28 May 2008

Terminate unfair tax on tenants says Assembly

Unfair Tax Almost a third of the rental income amassed by the South East Regional Housing Board, from local authority tenants is being diverted to subsidise housing in other parts of the country.
Under the government’s Housing Revenue Account system, £184 million, which works out at £951 a year per household, is taken as a stealth tax to subsidise other regions, 28% of all rents paid to the Housing Board, part of the South East Regional Assembly. Eastern England is currently the biggest loser under this system, forfeiting £1,100 per household each year, while Greater London gains the most, with an extra £395 per household, according to government statistics.

“This is an unfair tax on our tenants,” says Housing Board chairman councillor Elizabeth Cartwright. “After it is paid, many local authorities don’t have enough money for essential repairs and improvements. Our tenants are paying rent to improve other people’s homes, while they see no benefit themselves.”

Cartwright is writing to housing minister Caroline Flint and treasury minister Yvette Cooper to demand an end to the government’s system. “The south-east is one of the most expensive places to live in the country – we need our tenants’ money back to provide affordable new homes and pay for repairs to our existing homes.”
No comments

Have your say and comment on this article



CAPTCHA