Council house rent to increase by 4% for 2023/24
Members of the Highland Council’s Housing and Property Committee today (26 January 2022) approved a 4% increase in Council house rents for 2023/24. The increase, which is well below the current rate of inflation, will help mitigate the financial challenges faced by tenants affected by the cost of living crisis.
The average Council house rent in Highland will increase from £79.97 per week to £83.17 per week (an average increase of £3.20 per week).
It was also agreed that this percentage increase of 4% will be applied to all other Housing Revenue Account rents and service charges and to Gypsy/Traveller site pitches.
The Housing Revenue Account budget for 2023/2024 approved by the Committee means a reduction of £0.708m in the housing repairs and maintenance budget and will result in reduced capacity to carry out non-essential repairs and estate improvements next year.
Housing and Property Committee Chair, Cllr Glynis Sinclair said: “The Committee was faced with a very difficult set of circumstances in considering Council house rents for next year. Members carefully considered the affordability impacts for individuals when setting rents for 2023/24 and balanced that against the impact of cost inflation and the continuing need to fund future investment in Council housing.
“We have listened to feedback from our tenants and feel that the 4% increase agreed is the maximum rate that we can increase rents through an ongoing ‘cost of living’ crisis, although we are acutely aware that we will have to cut our costs next year to balance the budget.
“This will impact on the Council’s ability to drive forward planned improvement programmes; however, our economic outlook has changed significantly during the past few years, and we must navigate these testing times with caution, whilst maintaining our statutory services to tenants.”
Cllr Glynis Sinclair added: “The Council has excellent Housing and Property and Welfare Support teams and along with a minimum rent increase, we hope to help out as many tenants as possible by continuing to target welfare support to those most in need, including many Council tenants.”
The full report is available here (Item 3).
Details of the assistance available locally to help families affected by the cost of living crisis can be found at Cost of Living | The Highland Council.