Rent differentials,housing benefit and management of the public housing stock in the United Kingdom

Despite the prevailing emphasis on markets and choice in the public services there has been very little consideration of the way in which local authority rent setting policies can be used to influence the demand for various types of properties. The present government has promised that long delayed proposals for the reform of housing benefit will be brought forward soon. At the same time, social landlords have been increasingly concerned about high rates of turnover in their stock and in some areas low demand leading to abandonment and demolition. In this paper it is argued that greater rent differentials related to quality and location will be necessary to cope with such changes.