Social housing rents increasing by 2 percent

Housing associations will increase the rents of homes in the social sector by an average of 2 percent from July 1. The increase is below the permitted limit of 2.3 percent for 63 percent of homes, according to the umbrella organization for housing associations, Aedes. The Cabinet fixed that percentage because of the coronavirus. The 2.3 percent is last year's inflation.

In previous years, social housing rents were allowed to rise with inflation plus 1 percent. But for this year, they will waive the extra 1 percent. Housing associations can increase rents more for people with higher incomes, by a maximum of between 50 and 100 euros per month, as long as it falls within the maximum rent limit of the house.

According to Aedes, four in ten housing associations will implement this income-related higher rent increase (IAH) this year. They refrained from doing so in 2021 because of the pandemic. According to the umbrella organization, almost a third of the housing associations will freeze the rents on homes with a low energy label this year.

Tenants' association Woonbond is concerned about "the affordability of renting, now that housing costs are rising rapidly." The interest group said that in addition to rents, tenants also see energy costs rise monthly. "The Woonbond has been arguing for some time now for a rent freeze in 2023 and 2024 and an increase in the housing allowance."