THOUSANDS of York residents are set to cash in on rent reductions because of new Government housing rules.

A new national method of calculating rents will lead to an average reduction of 70p per week for customers across the city.

Some of the council's 8,630 tenants will see even bigger savings on next year's rent, because of the rent restructuring, although a small number will see rents rise by about 50p per year over the next ten years.

A spokesman for City of York Council said: "The new system aims to ensure that rents remain affordable in the long term; are fairer and less confusing to tenants; will involve a closer link between rents and the quality of property and that differences between the rents set by Local Authorities and Registered Social Landlords (Housing Associations) are removed."

From April next year it is anticipated that all social rents will be calculated using the same formula set by the Government, taking into account property values, local earning levels and the size of individual properties.

Information on the new rent levels will be explained in a letter to individual customers and will also be provided to the Tenants' Federation and residents' associations throughout January and February.

Coun Viv Kind, City of York Council's executive member of housing, said: "This new method of calculating rents will be clearer and fairer for customers.

"The good news is that many tenants will see their rents reduced."

Updated: 14:42 Wednesday, December 19, 2001