Wednesday 14 March 2012

Tenants bear the brunt of economic downturn | Money | guardian.co.uk

Tenants bear the brunt of economic downturn | Money | guardian.co.uk

People living in rented accommodation have been hardest hit by the economic downturn, with consumer advice agencies reporting record numbers of tenants turning to them for help.

In its annual report, the Consumer Credit Counselling Service (CCCS) said the number of tenants contacting it with debt problems in 2011 increased to 103,957. Renters now make up 55% of the service's clients, up from 51% in 2009.

It found that while the average rent paid by those it helped rose 2.4% to £408 a month last year, the average amount of money that renters had left over after meeting living expenses fell by 40%, from £58 to £35 a month. In total 10,246 renters were in arrears – an increase of 30% in the last three years. Private tenants were in the worst position, with unpaid rent of £924, compared with £705 for renters owing cash to housing associations and £622 for local authority tenants. Private tenants also had the highest monthly budget deficit at £145.

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