East Devon District Council

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Policy Tenancy policy

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2. Affordability and affordable rent

  • Definition of affordability: A household can be considered able to afford market house renting in cases where the rent payable is up to 25 per cent of their gross household income (Department for Communities and Local Government). The Housing Review Board has recognised the use of the Local Housing Allowance as a standard definition of affordability. However, our preferred baseline is that rents should be set at the level of social rent. Service charges, if applicable, will be additional and reflect the cost of the service provided to each tenant.
  • Definition of social rent: The level of rent that East Devon charges for the majority of its properties (excluding those charged at ‘affordable rent’).
  • Affordable rent: This is defined as 80 per cent of market rent. Housing Review Board has taken the view that affordable rents will only be considered for any council new build schemes and
    acquisitions. It will not be charged on re-lets of existing stock (stock built before April 2012).  East Devon will charge affordable rent at levels no higher than the relevant Local Housing  Allowance at the time.