Policy Statement on Social Housing Rents and Service Charges.

Ministerial foreword

I am committed to ensuring that social housing provides Islanders with good quality, secure homes that are genuinely affordable.

Achieving this ambition requires a clear and effective policy framework that sets out the standards that tenants should expect from their landlord, whether Andium Homes or one of the Housing Trusts, in relation to the quality of their homes and the services they receive.

Rents and service charges form a central part of this framework. They directly influence the affordability of the homes for tenants, whilst providing the financial foundation for social housing providers to deliver services, maintain homes and invest in new developments for the benefit of current and future generations of tenants.

This policy statement sets out my expectations for how social housing providers should approach the setting of rents and service charges. It consolidates existing policy commitments, including the requirement that social housing rents are capped at a maximum of 80% of market value and the annual rent adjustment policy that applies to Andium Homes.

The statement also makes clear that social housing providers must adopt fair and transparent practices when reviewing rents and service charges, and ensure these are clearly communicated to tenants. They must consider the impact on tenants' welfare and affordability, whilst safeguarding their own long-term financial viability.

This policy statement delivers on my commitment, made through the Review of social housing rents, to establish clear policy expectations for how rents are set and adjusted. The review concluded in January 2026, and its key actions are now being implemented. This statement will be updated as necessary to reflect those changes and ensure that rents remain fair, affordable and support the sustainable provision of social housing in Jersey.

Deputy Sam Mézec Minister for Housing

Contents

Ministerial foreword .............................................................................................................. 2

1. Introduction .................................................................................................................... 4
2. Background .................................................................................................................... 4
3. Policy intent.................................................................................................................... 5
4. Social housing rents...................................................................................................... 5
5. Rent setting and adjustments....................................................................................... 6
6. Service charges and deposits ...................................................................................... 7
7. Sustainable tenancies ................................................................................................... 7
8. Variations to the policy.................................................................................................. 8
9. Notification to the Minister ............................................................................................ 8
10. Revisions to the policy statement ................................................................................ 8

1. Introduction

1. This policy statement sets out the Minister for Housing's expectations of social housing providers in relation to:

1. setting rents and service charges;
2. implementing changes to rents and service charges;
3. informing tenants about the rents and service charges payable; and
4. supporting tenants to manage rent and service charge payments.

2. The policy applies to the following social housing providers[1]:

• Andium Homes

• Christians Together in Jersey Housing Trust

• Clos de Paradis Housing Trust

• F.B. Cottages Housing Trust

• The Jersey Homes Trust

• Les Vaux Housing Trust

3. Social housing providers are expected to have due regard to this policy when determining rents and service charges[2].
4. This statement supports the implementation of Article 7C of the Residential Tenancy (Jersey) Amendment Law 2025[3], which comes into force on 15 April 2026 and defines social rented housing as accommodation let at an amount that complies with a rents policy published by the Minister for Housing.

2. Background

1. In 2014, the States Assembly adopted a social housing rents policy that set rents for new tenancies at up to 90% market value[4]. The policy sought to enable Andium Homes to generate sufficient rental income to build new social housing and refurbish existing homes, and to support the Housing Trusts to operate on a sustainable financial basis.
2. Following the publication of the 2022-2025 Government Plan (P.90/2021),5 and the amendment of (then) Senator S.Y. Mézec 6, the Assembly agreed a revised social housing rents policy, reducing rents for new tenancies to 80% of market value. This updated policy was subsequently set out in the Minister's Fair Rents Plan7, which came into effect on 1 January 2022.

3. On 14th May 2025, the States Assembly approved Deputy R. Kovacs 's Proposition (P.29/2025, as amended) to undertake a review of the social housing rents policy and report the findings to the States Assembly by January 2026[5].
4. The findings of the review were published on 21st January 2026[6], alongside thematic papers. The review set out a series of targeted, near-term improvements to the rents policy and provided an evidence-base to inform the Assembly's consideration of potential longer- term changes to the social housing rental model. Amongst these near-term actions is the publication of a consolidated policy statement on social housing rents.

3. Policy intent

1. The provision of good-quality, secure and affordable social housing that meets the needs of current and future tenants is a priority for the Minister for Housing. This priority is supported by a number of advantageous conditions made available to social housing providers, which enable them to deliver homes and housing services effectively. These include:

• Tenants receiving Income Support have their full rent covered up to 80% of the market value.

• Access to funding through the £250 million government bond dedicated to social housing.

• Support in securing private finance for the development of homes.

• Rezoning of land to enable the development of affordable housing.

• Exemption from taxation on non-for-profit activities under the Income Tax (Jersey) Law 1961[7].

2. These conditions create a reasonable expectation that social housing providers will apply fair and transparent practices when setting rents and service charges, supporting tenants to have a clearer understanding of how their housing costs are determined.
3. This policy statement also supports social housing providers in maintaining long-term financial sustainability by establishing a clear framework for rents and service charges. This enables robust financial planning, facilitating access to borrowing and ensures predictable and stable rental income.
4. It is the Minister's expectation that social housing providers will ensure that their approach to setting and collecting rents and service charges is fair and transparent, clearly reflected in tenancy agreements, and communicated to tenants in a timely and accessible manner. Social housing providers should give due consideration to the impact of changes to rent levels and service charges on tenants' welfare and overall affordability.

4. Social housing rents

1. Social housing providers shall set rents for new social housing tenancies at up to 80% of market value[8]. Social housing providers may, at their discretion, set rents below 80% of market value.

2. For existing tenancies, social housing providers may increase rents gradually to reach the 80% of market value level. Where any existing rent exceeds 80% of market value, it must be frozen until its becomes equal to, or falls below, this ceiling.
3. Rent increases shall be limited to no more than once per year and applied no earlier than two-months after the date on which tenants have been given written notice of the increase.
4. Social housing providers retain discretion to freeze or reduce rents where appropriate.
5. Andium Homes and the Housing Trusts are required to comply to this policy when setting rents.

5. Rent setting and adjustments

1. There is no centralised methodology for calculating social housing rents. Each social housing provider is responsible for ensuring that its rent-setting approach complies with the social housing rents policy.
2. The Minister expects all social housing providers to adopt appropriate valuation procedures to ensure that rents are set at up to 80% of market value, and that rent-setting practices are applied consistently and transparently across all properties.
3. Social housing providers should have clear and robust procedures for conducting annual rent reviews and determining any uplift for that year. Different arrangements apply to Andium Homes and the Housing Trusts:

1. Andium Homes is subject to the annual rent adjustment policy[9]. The policy permits annual rent increases within a range of 2.5% to 4%, subject to the 80% of market value ceiling. This reflects a minimum uplift of RPI (1.75%) +0.75%, and a maximum uplift of RPI (3.25%) +0.75%.
2. The Housing Trusts are bound by the overarching rents policy but retain control over their rent adjustment arrangements. Each Trust is responsible for its own internal procedures to maintain rents at or below the maximum 80% of market value ceiling.

4. Article 7C of the Residential Tenancy (Jersey) Amendment Law 2025 allows social housing providers, where they have written agreement with the Minister on how rent increases will be managed, to be exempt from both the requirement to give tenants two months' written notice before a rent increase takes effect and from the limits on the amount by which rents may be increased.
5. The Minister will work proactively with social housing providers that wish to agree alternative rent stabilisation arrangements. Social housing providers that agree alternative arrangements with the Minister, and have this agreement confirmed in writing, will be exempt from the statutory restrictions on rent increases and the application of the Rent Tribunal.
6. In the absence of a written agreement with the Minister, the statutory restrictions on rent increases and Rent Tribunal provisions set out in the Law will apply in full.

6. Service charges and deposits

1. In addition to rent, tenants may be required to pay service charges. These charges, where applied, typically relate to the provision and upkeep of communal facilities, or to optional services that are not provided to all tenants.
2. Social housing providers should ensure that service charges are fair, transparent and based on actual costs, and should review them annually to ensure that they remain affordable for tenants and represent value for money.
3. Where a tenancy deposit is required, it should be reasonable, proportionate and set at a level that does not place tenants under undue financial pressure.
4. Social housing providers must comply with the requirements of the tenancy deposit scheme, as set out under the Residential Tenancy (Jersey) (Deposit Scheme) (Jersey) Regulations 2014[10].
5. Andium Homes and the Housing Trusts should have due regard to this policy when setting service charges and determining any deposit requirements.

7. Sustainable tenancies

1. The Minister expects social housing providers to play a proactive role in minimising rent arrears and mitigating the risk of financial hardship or insecure housing situations arising from arrears. Social housing providers should have clear and effective procedures to:

• Provide tenants with accessible information and guidance on managing rent payments, budgeting and financial planning.

• Monitor arrears actively and intervene early to prevent arrears from becoming unmanageable.

• Provide targeted assistance, including budgeting support, realistic repayment planning or referral to external services where appropriate.

• Reduce the risk of eviction due to arrears, particularly where tenants are engaging constructively to resolve the situation.

2. Social housing providers should work to sustain tenancies and avoid evictions due to arrears wherever possible. Arrears should be managed through a proportionate escalation process, with legal action pursued only when all other reasonable avenues of recovery have been exhausted.
3. Where a tenant is at risk of eviction due to rent arrears and faces potential homelessness[11], social housing providers should refer the tenant to the Housing Advice Service at the earliest opportunity for information, advice and assistance.
4. Where a tenant moves from the private rented sector and may face overlapping rental obligations ("double rent") on entering into a social housing tenancy, social housing providers should take reasonable steps to minimise any resulting financial hardship. This

may include, for example, agreeing an affordable and realistic repayment plan over a defined period.

8. Variations to the policy

1. The Minister may approve a variation from the rents and service charges policy statement in exceptional circumstances.
2. A variation may be permitted where a tailored funding arrangement is required to enable a household to access and maintain suitable accommodation.
3. Such cases would typically involve complex health, social or welfare needs that cannot be readily met within existing social housing policies.
4. The Minister will only approve a variation where it is reasonable and fully justified, taking into account:

• the housing needs of the household;

• the affordability and sustainability of the proposed arrangements;

• the potential financial implications for other government services; and

• the fairness of the arrangements in relation to other social housing tenants.

5. Social housing providers shall keep the Minister informed of the rental arrangement, where necessary, to confirm its effectiveness and continued value.

9. Notification to the Minister

1. When proposing any rent changes, social housing providers are encouraged to engage with the Minister in a timely manner to demonstrate compliance with this policy statement.
2. The Minister expects social housing providers to provide:

• Confirmation of the proposed rent changes, including the percentage change and rationale for the changes.

• An explanation of the factors considered when determining rent changes, including how the potential impact on tenants was assessed.

• The date on which tenants will be informed of rent changes, and the date on which the changes will take effect.

• Details of how tenants will be notified and the steps taken to support them in managing any financial impact.

• Confirmation of any significant changes to service charges.

3. Social housing providers should inform the Minister if they have concerns about the impact of this policy statement on their business plan, financial viability or ability to meet obligations to tenants and lenders.

10. Revisions to the policy statement

10.1. The Minister reserves the right to update or amend this policy statement, subject to

consultation where appropriate.

[1] These social housing providers are listed under the Income Support (Jersey) Regulations 2007: https://www.jerseylaw.je/laws/current/ro_125_2007  

[2] The policy statement applies to residential tenancies only and not commercial tenancies. It does not apply, for example, where a social housing

provider may lease a commercial unit as part of a social rented housing development.

[3] Residential Tenancy (Jersey) Amendment Law 2025 (in effect from 15 April 2026): https://statesassembly.je/getmedia/5ba61bdd-babb-4dda-b67a- 6ba8191e37c7/P-24-2025.pdf?ext=.pdf  

[4] The rents policy for social housing was approved in The Reform of Social Housing (P.33/2013), Council of Ministers, March 2013: https://statesassembly.je/getmedia/2885fc7d-9654-4707-9053-a291ea9ca0de/P.0332013%20%20%20The%20Reform%20of%20 Social%20Housing%20[CoM]%20INC.CORRIGENDUM.pdf?ext=.pdf  

5 2022-2025 Government Plan, Council of Ministers, December 2021: https://www.gov.je/SiteCollectionDocuments/Government%20and%20administration/R%20Government%20Plan%202022%20to%202025.pdf  

6 Proposed Government Plan 2022-2025: Amendment. New Social Housing Rents Policy (P.90/2021 Amd.), Senator S.Y. Mézec , October 2021: https://statesassembly.je/getmedia/f2f4c4d6-7975-4ef0-88da-1d67a29bf4b8/P.90-2021%20Amd.%20(re-issue).pdf?ext=.pdf  

7 Fair Rents Plan, Minister for Housing, December 2021: https://www.gov.je/SiteCollectionDocuments/Planning%20and%20building/BP%20Fair%20Rents%20Plan.pdf

[5] Social Rents Plan to Reduce Rental Stress for Tenants: Amendment (P.29/2025 Amd.), Minister for Housing, May 2025: https://statesassembly.je/ getmedia/a15eaf9c-46ec-40d0-b270-57a2359636b7/P29-2025-Amd.pdf?ext=.pdf

[6] Review of social housing rents: Options for a revised social housing rents policy (R.5/2026), Minister for Housing, January 2026: https://statesassembly.je/publications/assembly-reports/2026/r-5-2026

[7] Income Tax (Jersey) Law 1961: https://www.jerseylaw.je/laws/current/l_29_1961

[8] The rent that a social housing property could reasonably achieve in the open market for a comparable property of similar size, type, location and condition.

[9] Social housing rents: revised annual rent adjustment policy, Minister for Children and Housing, November 2018: https://www.gov.je/Government/PlanningPerformance/Pages/MinisterialDecisions.aspx?docid=A59901B4-8B63-4B65-98F0- 20668C6AF1B3&showreport=yes  

[10] Residential Tenancy (Deposit Scheme) (Jersey) Regulations 2014: https://www.jerseylaw.je/laws/current/ro_103_2014  

[11] As defined under the Minister for Housing's Homelessness definition framework (2022): https://www.gov.je/SiteCollectionDocuments/Home and community/Homeless Definition.pdf