08 November 2002
From 2012, all social rents will be based on 70% local earnings and 30% capital values. In most cases, landlords began to adjust their rents from last April.
But Professor Steve Wilcox, chair in housing policy at York University, said the formula for calculating earnings – based on manual salaries – is seriously flawed, as it ignores pay in other parts of the economy.
Manual earnings had been used, said Wilcox, to create the lowest possible difference between London, where ministers have capped rents at £100 per week, and the rest of the country.
PFnov2002
