Southwark Council's proposals for an affordable rent scheme opened for a six-week public consultation on 2 January.
The council agreed at a cabinet meeting in December to invite residents to share their views on an ‘intermediate rent scheme’ to provide at least 35% affordable housing in Southwark, as well as considering who would be given priority.
The intermediate rent scheme forms part of the New Southwark Plan regeneration strategy, for which Southwark Council hopes will provide an overarching strategy for managing growth and development across the borough.
'Intermediate rent' means rented property discounted at around half of the private market rent rate would be offered for household incomes below £60,000, and discounted by a minimum of 20% for those earning over £60,000 - £90,000 per household.
Plans to prioritise affordable rent for key workers including teachers, health and social workers, firefighters and police officer will be considered, as well as special priority given to for foster carers, carers, those leaving the armed forces and people who need housing following domestic abuse.
Stephanie Cryan, cabinet member for housing, said: “With the current housing crisis in London it is important that there is a supply of housing, of all tenures, that is truly affordable for our residents who are on low and medium incomes.
“Key workers in Southwark are finding it especially hard to rent in Southwark due to the increasing prices in the private sector.
“I hope that by opening up the discussion, we will be one step closer to forming a clear strategy to affordable private housing provision.”
The formal consultation ends on 12 February, with a final decision on design to take place after the council election this May.
Southwark Council has bought Courage Yard on Shad Thames, near Tower Bridge, which it will redevelop to generate income for frontline services.