Vol. 396 No. 2
20 Mrs. Owen asked the Minister for Social Welfare his views on whether the five yearly review of rents by the Rent Tribunal is likely to result in increases averaging 35 per cent; and, having regard to the fact that tenants face losing their homes unless support mechanisms are increased, if he has any plans to deal with this situation.
61 Mr. Quinn asked the Minister for Social Welfare if his attention has been drawn to the financial hardship being caused to many tenants who benefit from rent allowance because of increased costs in general and housing costs in particular; if he will increase the allowance for formally controlled tenants by £15 per week for single and widowed persons and £30 per week for couples; and if he will make a statement on the matter.
I propose to take Questions Nos. 20 and 61 together.
Under the rent allowance scheme, which applies to tenants affected by the de-control of rents, the level of allowance paid in any case depends on the income of the claimant, as well as the rent charged. The scheme is designed in such a way that, if a rent increase reduces the claimant's rent income to a level lower than £54.40 in the case of a single person, or £97.40 in the case of a couple, the allowance is increased to bring net income up to these levels. These income limits are reviewed each year and increased in line with budgetary increases in social welfare payments.
I am at present considering what changes in the income limits for rent allowances will be required from July 1990 and I will be taking account in this context of the increases in rent levels arising from the five yearly review of rents by the rent tribunal.
