Household income distribution estimates: The example of Pay to Stay impacts in Local Authority areas in two English regions

Drawing on household income distributions, this pilot study estimates the localised impact and scale of Pay to Stay (PTS) for London and the West Midlands. The test results show that the new social rent regime will affect local authority (LA) areas unevenly – Pay to Stay affected household (PTS HH) proportions were estimated to range from around 6 to 16% while the counts ranged from around 300 to 6,500 households. PTS requires English local authority landlords to charge market (or quasi-market) rents to tenants on higher incomes.