Chancellors Statement and impact for member charities.
Following the completion of the consultation period where the Department for Levelling Up (DLUC) asked The Almshouse Association and its members for their views on the impact of a 3%-5% and 7% rent cap to Registered Social Landlords (Registered Providers of Social Housing), today the DLUC announced their position. In our consultation feedback we explained how important it was to enable our members to be exempt from the rent cap and that anything less than 7% would have grave implications for the financial stability of our RESL members and their residents.
- DLUC today confirmed a rent cap of 7% on Registered Social Landlords (RSL) for 2023/2024 with an intention to revert to CPI +1% in the future.
NOTE: Supported Housing Providers are exempt from the above cap, however, most almshouse charities do not fall under the recognised ‘Supported Housing’ classification.
Full details from the DLUC can be found here
In his first Autumn statement, Chancellor Jeremy Hunt made the following announcements (that could impact almshouse charities and their residents):
- Benefits will rise with the rate of inflation – by 10.1%
- Pensions will also increase by 10.1%
- The government’s energy price guarantee will be kept for a further 12 months at an average of £3,000 for a typical household, up from £2,500 at present.
- New one-off payments of £900 to households on means-tested benefits, £300 to pensioner households and £150 for individuals on disability benefit.
- The “national living wage” will rise by 9.7% next year to £10.42 an hour.
The full Autumn statement can be found here
WMC: For almshouse charities who have yet to set their WMC for 2023/4 our updated Specimen Outline Budget can be found here.
posted 17 November 2022