New Social Rent Regime: Impact on Housing Associations

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At first sight a shift from RPI+0.5% to CPI+1.0% looks innocuous with the RPI/CPI gap last month at 0.4%.

But we argue that the new social rent regime announced in the Chancellor’s spending review will have a significant impact on housing associations. The attached note provides commentary on the expected implications of the change and potential solutions to manage these.

This note is part of a series of policy development and new product ideas from TradeRisks to help improve the capacity of housing associations. If you have any questions about the impact of the change or access to CPI hedging please do not hesitate to contact us.