How your rent is set

In Dudley your rent is set centrally by the government and not the council. This rent setting formula was introduced in 2002 and aims to keep your rent at a stable level until 2011 by which time your rent will hit what is called a Target Rent.

 

This 'National Rent Formula' takes into account basic things like the number of rooms in your home, average earnings in the region, and the market value of your property.

 

The government also sets the levels of rent increase that can take place each year. To reach the Target Rent by 2011, your rent may increase by £2 per week in any year plus inflation, although the increase may not be as high as this. This is designed to ensure a smooth transition to the Target Rent.