Torygraph

In an attempt to end the era of heavily subsidised (council house) rents, the Coalition's new system will lead to tenants paying as much as 80 or 90 per cent of the market rate. "This is still about there being affordable rent, but it needs to be more realistic. At the moment, if you get a council house you are really winning the jackpot," said a source. "In terms of the rent you pay it is very, very heavily subsidised. You may pay only a third or a half of the market rate."

And increasing council rents will help push up private rents.

Plentiful council housing is one of the best ways of keeping rents down. But too much of that would annoy "the market."