Dundee’s council house rents are set to go up by between 4.5% and 5% next year well above the inflation rate.
Tenants will be consulted on the exact level of increase over two months before the city council makes a final decision early in the new year.
Under the provisional proposals, the maximum weekly increase would be capped at either £3.25 or £3.50, depending on which percentage is adopted.
Housing convener Jimmy Black said tenants will be given an indication of future rent levels up to 2015 as part of the consultation, which is due to start next month.
Future increases being projected are 4.5% for both 2012/13 and 2013/14, reducing to 3% in 2014/15.
Mr Black said, “The only way that we can maintain and improve council homes in the city is through rents.
“We are aiming to continue an investment programme that will enable us to fulfil our legal obligations to meet the Scottish Housing Quality Standard (SHQS) by 2015.”
He said the council has already made improvements and wants to continue to provide new kitchens, bathrooms and other facilities.
“But to continue the investment in council houses means the rents have to increase,” he said. “We recognise the difficulties that this can mean for people in the current financial climate but there is no other option if the standard is to be reached and homes improved for the benefit of our tenants.”
Housing director Elaine Zwirlein, in a report to next week’s meeting of the committee, said the projected increases for the three years up to 2014/15 are based on current forecasts and assumptions and may change in line with external factors such as inflation and interest rates.
She said the consultation will involve information being placed in housing offices, on the council’s website and a public notice in the local press. Information is also to be sent to all council tenants and issued to every registered tenants’ organisation in the city.
Photo courtesy of Stewart Lloyd-Jones.