Nine London councils have lost their legal challenge over the mayor's plan to relax rules for affordable rents in the capital.
Islington Council, with backing from seven other Labour councils and independent Tower Hamlets, tried to overturn an amendment to the London Plan which they believe will squeeze local families out, including those caught by the Government's benefits cap.
Currently councils in central boroughs can restrict rents on social accommodation within new developments to around 40% of the market rent. Under the Mayor's plan, the figure will be raised to 80%.
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