In a consultation paper, social tenants earning over £60,000 a year will have the caps removed on social rent levels from April 2015, when the bill is due to become law.
The consultation, due to end on 24 December, is intended to offer social tenants more, better quality private and social housing, with 1.8m people still on housing waiting lists.
Hopkins suggested the deal would also provide greater stability for local housing authority and council landlords and help them predict revenue and invest in further properties.
The government also proposes changing the annual rental calculation methodology for council tenants. It proposes using the Consumer Price Index as a measure instead of the Retail Price Index currently used.
The government suggests this will increase house building enabling local authorities to better plan investment in housing, supporting the £23m of public and private investment planned from 2015.
Housing Minister Kris Hopkins (pictured) said: “Today’s proposals offer a fair deal on rents for tenants, helping with their cost of living and ensuring those who can afford to pay more do and those on lower incomes know what to expect.
But it also offers the certainty and stability councils and housing associations need too, to plan ahead and invest their revenues to build more affordable homes in their area.”
For the consultation paper, CLICK HERE.
Conservative MP Kris Hopkins replaced Mark Prisk as the new housing minister in the government’s reshuffle earlier this month, replacing former surveyor Mark Prisk.
