We asked the Department about the potential impact of the proposed cap on social rents that it is currently consulting on. The rent cap could prevent housing providers from increasing rents by CPI + 1%, as envisaged.35 Business LDN warn that the Government’s proposed rent cap will leave housing providers with a significant shortfall in their finances resulting in less building of new homes.36 The Department told us that it may introduce a 25 Q 59 26 C&AG’s Report, para 2.2, Figure 5 27 Q 79 2...

We asked the Department about the potential impact of the proposed cap on social rents that it is currently consulting on. The rent cap could prevent housing providers from increasing rents by CPI + 1%, as envisaged.35 Business LDN warn that the Government’s proposed rent cap will leave housing providers with a significant shortfall in their finances resulting in less building of new homes.36 The Department told us that it may introduce a 25 Q 59 26 C&AG’s Report, para 2.2, Figure 5 27 Q 79 28 Qq 47, 49–50, 52 29 C&AG’s Report Figure 5 30 Q 61 31 C&AG’s Report, Figure 5 32 Qq 47–48 33 Written evidence submitted by Shelter, dated September 202 Type: conclusion | Number: 13 | Response status: not_addressed