" /> <h2>Mandatory "Pay to Stay" proposal for local authority tenants dropped</h2>

Section: Tenancy Agreements

Mandatory "Pay to Stay" proposal for local authority tenants dropped

Posted 22.11.16
Parliament - Written Statements: Article link

The Government has decided not to go ahead with its so-called "pay to stay", where council tenants would have had to pay higher rent if they collectively earned more than £30,000 outside London, or £40,000 in the Capital.

In a written statement to Parliament, Housing Minister Gavin Barwell said:

"Social housing has a crucial role to play in supporting those in most housing need. To that end, powers were provided for in the Housing and Planning Act 2016 to introduce an income based rents policy, requiring local authorities to set higher rents for higher income council tenants.

"Since the summer, the Government has been reviewing this policy. We have listened carefully to the views of tenants, local authorities and others and as a result, we have decided not to proceed with a compulsory approach. Local authorities and housing associations will continue to have local discretion."

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Reporting on November 2016

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