Council house tenants in Dundee are facing a potential rent increase of up to 4% as the local authority looks to plug a housing budget shortfall.
Members of the neighbourhood regeneration, housing and estate management committee will be asked to approve a consultation with tenants to seek their views on an annual increase.
Three options will be on the table, which are:
- 3.5% increase with a maximum weekly increase of £3.50
- 3.75% increase with a maximum weekly increase of £3.70
- 4% increase with a maximum weekly increase of £4.00
A report which will go before the committee on Monday outlines next year’s provisional housing revenue budget will face a £1.8m deficit if no rent increase is agreed.
A hike of 3.5% would be enough to wipe out the shortfall but it’s proposed tenants are given the opportunity to vote for a higher increase that would provide more money for services.
The consultation, if approved, will run for three months before a report is prepared and considered in January.
Tenants encouraged to have their say
Mark Flynn committee convener said: “As in previous years the options offer tenants a balanced choice between services remaining at the same high standard they have now or giving the council additional resources to spend more on the things tenants have told us that they want, such as improved energy efficiency.
“However, this year when the figures were being worked out we were extremely conscious of striking the difficult balance between continuing to deliver quality services as prices rise and the cost of living crisis bites, and affordability, not just for the many hard-pressed Dundonians, but also for increasingly stretched council finances.
“That is why we want to encourage as many tenants as possible to take part and make their voices heard on which rent increase proposal they prefer from the three options for 2024/25.
“Each option outlines what tenants will get in return for their money and the wider benefits that level of increase would bring to the whole of Dundee.”
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