asked the Minister for the Environment if he will give details of the recent changes in the differential rent schemes; and estimated increase in revenue arising from them.
Written Answers. - Differential Rent Scheme Changes.
239.
The new national differential rent scheme for local authority dwellings which came into effect in the rent week immediately following 21 October 1983, provides for a review of all rents on the basis of incomes applicable in the week beginning 6 June, 1983. The only significant change in principle, compared with the previous scheme, was a concession whereby in the case of a new or transferred tenancy, rent is calculated by reference to assessable income in the week beginning 6 June 1983, except where there is a change in family circumstances, rather than income at the date of appointment as tenant or of transfer as was the case in previous schemes. Particulars of the 1982 and 1983 differential rents schemes, from which the changes in the 1983 scheme can be readily seen, are set out in a tabular statement which follows. At this stage, it is not practicable to give a reliable estimate of revenue increases which will arise from the changes in the 1983 scheme.
|
Provision in Scheme |
1982 Scheme |
1983 Scheme |
||||
|
Effective Date |
1 January, 1982 |
21 October, 1983 |
||||
|
Date of Income Review |
12 October, 1981 |
6 June, 1983 |
||||
|
Graded Scale and Allowances |
Assessable Weekly Income |
Principal Earners Allowances |
Rent Fraction |
Assessable Weekly Income |
Principal Earners Allowances |
Rent Fraction |
|
£ |
£ |
|||||
|
Up to £59 |
20 |
1/20 |
Up to £74 |
20 |
1/20 |
|
|
Over £59 less than £65 |
12 |
1/10 |
Over £74 less than £80 |
12 |
1/10 |
|
|
Over £65less than £80 |
8 |
? |
Over £80 less than £95 |
8 |
1/8 |
|
|
Over £80 less than £115 |
5 |
1/7 |
Over £95 less than £125 |
5 |
1/7 |
|
|
Over £115 |
4 |
? |
Over £125 |
4 |
1/6 |
|
|
Contribution towards rent from each subsidiary earner |
£3 per week maximum |
£4 per week maximum |
||||
|
Maximum Rents |
Increase limited to £2.50 per week |
£3 per week |
||||
|
Minimum Rent |
30p per week |
50p per week |
||||
|
Fixed Rents |
Increase of £1 per week |
Increase of £1.50 per week |