Social Housing Rent Increases to be Capped at 7%

The Government has announced that a 7% cap shall be applied to increases to social housing rents next year.

The Regulator of Social Housing's Rent Standard, published in April 2020, provides for social housing rent to be subject to an annual increase of CPI plus 1% However, with inflation soaring the application of this formula could have resulted in rents across the sector increasing by approximately 11%. To mitigate the financial impact on tenants the Government has stepped in and has placed a cap on any such increases.

While the cap is not as dramatic as the 5% which had been touted in the later summer, it has the potential to have a considerable impact on social landlords' budgets. Questions have been raised as to the effect that the cap may have on the financial viability of small / medium sized associations and how it might influence investment in existing stock or funding for new homes. . It is of interest that supported housing has been exempted from the cap. It is expected that such a move will ensure the viability of care and support for those access such services.

Forbes are continuing to monitor the ever-changing landscape and will provide further updates to our client's as the impact of the cap becomes apparent.

If your organisations would like assistance or advice on the setting of social housing rent, including review of your standard rent review template letters and notices, please do not hesitate to get in touch.

Further to the requirements of the Social Housing White Paper, the Regulator for Social Housing will be assessing the ability of Registered Housing Providers to deal effectively with Domestic Abuse in their properties and how they work in partnership with the wider community.

Some of the ways that we can help:

• Ensuring strong governance and compliance with support from specialist lawyers
• Developing robust policies
• Facilitating effective multi-agency partnerships
• Utilising detailed sector knowledge and insight
• Overcoming barriers to information sharing and the safe handling of data
• Learning from the experience of victims/survivors
• Making the best use of Housing, ASB and Family law legislation to achieve positive outcomes
• Training and support for staff
• Case reviews
• Using academic research to inform learning and best practice

Supporting employees through the winter months during the cost-of-living crisis

As the cost of living continues to rise, the pressures that employees face can feel insurmountable. It is key that employers prioritise ways in which they can support their employees through this time. This is especially important as we enter the winter months, as household bills rise, and budgets tighten.

The financial stress of the crisis may already be having an adverse effect on employees' work, with an increased number of people requesting further resources from their employer to improve their financial and mental wellbeing.

Many employers are speaking with their employees to determine what they would benefit from, and sometimes solutions can be provided on a limited budget that doesn't always necessitate an increase in salary or a cost of living one off payment. We look at some examples in this article.

Register of Overseas Interest

Following the passing of the economic Crime (Transparency and Enforcement) Act 2022 (the Act), the Register of Overseas Entities (ROE) was created which is maintained by Companies House, and from 1st August 2022 any overseas entity that own or intends to acquire UK property, will be required to be registered on the ROE and give notification of their beneficial owners and managing officers. This will apply retrospectively to any overseas entity who have bought property since 1st January 1999 in England and Wales, and they will have until 31st January 2023 to register with Companies House. Furthermore, any overseas entities who disposed of any property after 28th February 2022, will need to register and give details of such disposals.

Under the Act, an overseas entity means a legal entity that is governed by the law of a country or territory outside the UK, and means a body corporate, partnership, or other entity that (in each case) is a legal person under the law by which it is governed. Companies incorporated in one of the Channel Islands, Isle of Man, Republic of Ireland are non-UK entitles and will therefore be subject to the Act.