A NEW policy is needed to tackle “unaffordable” social housing rents which are pushing some tenants “deeper into poverty”, a Reform Jersey politician has argued in her recently lodged proposition.
Deputy Raluca Kovacs is calling on the Housing Minister – fellow Reform member Deputy Sam Mézec – to ensure that social housing rents are set at a rate which does not put tenants in “rental stress”.
Deputy Kovacs wants this new policy to be implemented from January 2027.
Rental stress is defined in the Jersey’s Housing Affordability Index as when individuals or families spend more than 30% of their gross income, including benefits, on housing costs.
“Rental stress is a significant issue for many residents in Jersey, particularly among lower-income households,” said Deputy Kovacs.
She pointed to last year’s Jersey Opinions and Lifestyle Survey report which revealed that 53% of social tenants reported finding it difficult to meet the cost of their housing.
The Reform Jersey politician said: “Jersey’s social housing rents are now three times higher than those in the Isle of Man.
“Despite years of attempts to address this crisis, 53% of social housing tenants are now living in rental stress, up from 45% in 2015.
“A decade of action without lasting change has led to more families facing financial strain, anxiety, and insecurity.”
Deputy Kovacs explained that many low-income households in Jersey are “falling deeper into poverty due to unaffordable rents”.
She said: “In 2024, the average rent for a one-bedroom Andium Homes flat is £1,118 per month – far beyond what many tenants can afford.
“By comparison, rents in the Isle of Man are much lower, highlighting the misalignment of Jersey’s social housing system with its local economy.”
The Reform Jersey politician added that a new social housing rental policy would “benefit both tenants and the broader Jersey economy” by reducing reliance on income support.
She explained: “Despite spending nearly £30 million annually on income support to help tenants cover high rents, the core problem remains unaddressed.
“The solution is clear: we need a new policy that ensures social housing rents are affordable and prevent rental stress.
“This approach would not only relieve pressure on low-income households but also reduce dependence on income support, creating a more sustainable safety net.
“Addressing rental stress will also ease broader housing pressures by slowing the growth of the private rental market, benefiting low-income tenants, middle-income households, and the economy as a whole.”
