Council tenants in Perth and Kinross are set to be hit with an inflation-busting rent increase of over 5%, under proposals to be considered later this week.
The 5.1% rise is 2% above inflation and is needed, according to department chiefs, to maintain investment in the housing stock.
The increase will amount to over £135 per year (£2.65 a week) and will hit garage and lock-up users, temporary accommodation residents, travelling people at permanent sites, as well as council house tenants.
The same rent rise will be applied to housing service charges such as the garden maintenance scheme, which will rise from £48 to £50.45.
A report to go before the council’s housing and health committee states the additional cash will allow the council to continue to work towards its started aim of bringing all of its housing up to the Scottish Quality Housing Standard by 2015.
It will also assist in providing 18 to 25 new build houses per year.
The report points out the average weekly rent of £54.52 will still be below the estimated Scottish average of £56.87.
Housing and health convener Councillor Peter Barrett, said, “In 2003 the council adopted a ‘Retention Plus’ strategy after tenants voted to retain the council as their landlord on the condition that improvement would be carried out to the housing stock.
“We set out a Standards Delivery Plan (SDP) which still forms the basis of our proposals to make sure our council houses comply with the Scottish Housing Quality Standard in 2015.Improvement”The SDP has allowed us to invest in major improvement schemes to refurbish bathrooms, replace kitchens, install central heating, replace roofs on council properties and refurbish garages and lock-ups.”
Since 2005, over 1300 kitchens and bathrooms have been replaced and almost 2500 heating systems brought up to standard.
Some £28 million of further improvements are planned in the next five years.
Mr Barrett said, “Each year our business plan is updated in line with budgets and economic conditions to make sure the SDP remains affordable and sustainable.
“The new rent proposals will allow us to continue to deliver improvements for our tenants and ensure that rents remain affordable in Perth and Kinross.
“It will also allow us to commit to providing much-needed new build council housing for people in Perth and Kinross who are in urgent need of accommodation, and sustain our level of investment in a range of other housing services our residents want and need.”