Following fierce opposition and campaigning by Labour councillors, Party members and residents, the Government has announced this week that it will scrap its plans for the unfair Pay to Stay 'Tenant Tax'.
The introduction of Pay to Stay would have led to huge rent hikes for Southwark council tenants, with any household earning over £40,000 facing a higher rent and all additional money going straight to the Treasury.
Southwark Labour councillors have lobbied the Government against the introduction of Pay to Stay, arguing that it would be damaging for council tenants and would act as a disincentive to work.
Southwark Labour is now calling on the Government to completely rethink their damaging housing plans, and scrap the Housing and Planning Act in its entirety, including the forced sale of council homes and the end of lifetime tenancies for council tenants.
Leader of the Council Cllr Peter John said:
“Southwark Labour councillors have been campaigning hard against the introduction of Pay to Stay, which would have led to huge rent hikes for our council tenants. We are delighted that the Tory Government has dropped their plans for a Tenant Tax. Now it’s time to scrap the other disastrous policies in the Housing and Planning Act, including the end of lifetime tenancies and the forced sale of council homes. Southwark is at the heart of the affordable housing crisis in London, and we will continue to fight the Tories’ assault on social housing.”