The cost of living in a council-owned property in Dundee is set to rise by at least £110 per year.
The city council’s neighbourhood services committee is due to vote on rent increases at a meeting in January.
A two-month consultation period will take place leading up to the vote, during which tenants will be asked to choose from three potential increase – 3%, 3.25% or 3.5%.
Those levels would result in rents going up by £2.13, £2.31 or £2.48 per week respectively.
If councillors press ahead with the third option, the cost of living in a local authority-owned property would rise by almost £130 for the year.
Dundee City Council said the rise would allow it to pay for “additional” resources, such as external wall insulation.
The council voted to put rents up by 1.25% last year, following a similar consultation with tenants.
It was trumpeted, at the time, as a “record low increase”, which saw rents go up by 87p a week.
An additional £569,000 in income was said to have been generated by the rise.
Neighbourhood services convener Kevin Cordell said: “The options in rent increase will allow for additional resources to tackle fuel poverty through accelerating our external wall insulation – as requested by tenants throughout the year.
“The informed and intelligent dialogue that we have with tenants each year as part of the consultation shows clearly how successful this exercise is and I look forward to that continuing.
“Tenants know why we are suggesting the increases we are, what they will get for their money and what benefits it will bring.
“This council is working to help council tenants deal with the new welfare reforms and we are proposing to increase the Hardship Fund by £200,000 to assist our tenants suffering financial hardship as a result of the new reforms.”