Landlord directs tenants to food banks following £1,000 rent hike
- Published
A property firm owned by the family of a Tory peer has suggested tenants use food banks following a rent hike of nearly £1,000.
The Benyon Estate, run by the family of Lord Benyon, owns a property portfolio of 371 homes in Hackney, east London.
It decided to increase rents by 3% in August but when tenants complained, they were told the increase was "fair" and offered a list of food banks.
The Estate defended the rent increase as it was lower than inflation.
An email, obtained by iNews reporter Poppy Wood, external, stated: "Although the Estate is very sympathetic to the increased cost of living they will be unable to accommodate your request for rent reduction at this time.
"They believe a rent increase of 3% is fair considering the rate of inflation.
"They have provided me with a number of links to various services such as food banks etc which I can share with you should they be of interest?"
Lord Benyon was the MP for Newbury until he was made a life peer by outgoing Prime Minister Boris Johnson last year and appointed minister for rural affairs, access to nature and biosecurity. He was worth £130 million in 2019, according to the Sunday Times' Rich List.
His younger brother Edward Benyon is the estate manager for the Benyon Estate.
The Benyon Estate is the London arm of the Englefield Estates. Lord Benyon is listed as a shareholder of Englefield Estate Trust Corporation in the House of Lords register of interests, and appears to receive a share of income from residential and commercial property on the Benyon Estate in Hackney.
'A disgrace'
Diane Abbott, Labour MP for Hackney North and Stoke Newington where Benyon Estates owns properties, called the rent rise and email "a disgrace", as "poor and middle earners are already struggling with the cost of living".
Sarah Olney, MP for Richmond Park and Liberal Democrat business spokesperson, said: "London already has some of the highest rents in the country, and now Londoners are seeing things get worse as landlords hike up their rent at a time when many can barely afford to even pay their bills.
"This decision will push people into poverty - it is shameful and wrong. The company must change track and ensure residents are not forced out of the place they call home."
A spokesperson for the Benyon Estate defended the rent increase and said the offer of support "appears to have been misconstrued".
They said: "As part of their tenancy agreement, each new tenant of the Benyon Estate is advised that rent will usually be reviewed on an annual basis, with reasonable notice given. We always strive to be a responsible and responsive landlord and endeavour to keep any rent increases to a minimum.
"With the rate of inflation currently at 10%, we consider the 3% rent increase to be fair and reasonable to cover the increased costs of property maintenance and improvements, which are carried out by our staff and local contractors in Hackney.
"Our social responsibility is a guiding principle, and, as during the Covid pandemic, our staff are on hand to provide advice and support for tenants facing difficulties. Unfortunately, the information given in a private email appears to have been misconstrued and taken out of context."
The spokeswoman also pointed out the London Borough of Hackney raised its own social tenants' rents by the higher rate of 4.1% for the year ahead, external, a rate set by the Social Housing Regulator at the level of the consumer price index plus 1%.
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