Couple of tenants rent reduction for 260,000 tenants with expensive housing

People who are in a comparatively overpriced social rented accommodation can still expect a rent reduction from the Cabinet. Last year, this had already been urged by interest groups, but the Cabinet did not want to know about it at the time. Now the Cabinet will make a one-off payment to tenants who have seen part of their income disappear.

As a result, some 260,000 tenants will pay an average of 40 euros less rent per month. These are tenants of social housing of housing corporations where the rent is too high in relation to their income. The rent reduction does not apply to people who rent in the private sector.

Interior Minister Ollongren: This rent reduction is really aimed at those people who have too high housing costs and are therefore vulnerable to payment risks and debts. I want to give those people more financial leeway, so that at the end of the month there will also be money for other things’

The measure will cost some EUR 160 million. The landlord levy that housing corporations have to pay will be reduced so that they can implement the rent reduction. On balance, according to Ollongren, the sector’s investment capacity remains at the same level so that housing corporations can continue to do what they need to do, such as building new social housing and making homes more sustainable.

Free sector

The Woonbond is responding positively to the rent reduction for people in the social housing sector. The interest group does, however, criticise the distinction that is made between rents in the social rental sector and in the more expensive free sector. These tenants do not qualify for rent reductions, whereas they are often in far too expensive houses. It would have been good if it had been decided to extend the rent allowance to people in the free sector, says Trip.

He points out that private renting has made an advance due to government policy. Moreover, many tenants are forced to rely on the free sector because there are too few social housing available.