
Calling all Angus tenants. We’re seeking your views on the proposed rent increase for 2018/19 and options on how your rent money will be spent.
All three options will keep your rent amongst the lowest in Scotland and well below what the Scottish local authority average for 2018/19 is likely to be.
We need more tenants to get involved in the decisions that affect the service they receive. We and the tenants on the Rent Setting Group would really like to hear from you. There is no better time to get on-board, take part and have your say.
Why are we proposing to increase the rent?
We need to make sure the rent we receive is enough to pay for improvements needed to tenants’ homes and to help build new homes.
Since 2014, we have been increasing rents in-line with the previous four year agreement which has now come to an end.
We’re carrying out a consultation to help tenants consider the rent increase options so they can clearly see how their rent money will be spent.
The results of this survey will be presented at the communities committee in February 2018. At this meeting the final decision on a rent increase for 2018/19 will be made.
Rent increases will help protect housing services, build new homes and help us to continue to invest in our homes that meet the Scottish Housing Quality Standard.
How is the rent increase measured?
The rent rise is partly based on the inflation measure of CPI (Consumer Price Index) in September 2017, as well as an additional set percentage agreed between the council and tenants.
We use the September CPI figure because the council’s budget setting arrangements need to be in place by October 2017 so that everything is ready for the next financial year which starts in April 2018.
Rent Increase – the options
The tenant Rent Setting Group has agreed three options which the members feel will bring benefits to tenants while keeping rents affordable.
The three options are:
|
Option 1 – Recommended by the Rent Setting Group |
Option 2 |
Option 3 |
Rent Level |
CPI + 1% |
CPI + 1.25% |
CPI + 1.5% |
Capital spend (this is money invested to buy or upgrade fixed, physical, non-consumable assets, such as buildings and equipment) |
£18 million capital spend over the year |
Additional £850,000 capital to spend in addition to Option 1 |
Additional £1.7m capital to spend in addition to Option 1 |
How many new builds? |
70 new homes over the year |
70 new homes – any additional funds will be used to improve existing stock |
70 new homes – any additional funds will be used to improve existing stock |
What stock improvements can tenants expect? |
450 Gas & Electric Heating installations;
600 properties receiving external wall insulation & energy efficiency measures;
700 bathrooms.
|
In addition to planned improvements listed in Option 1, for example:
39 Gas Heating installation (including loft insulation);
13 Electric Heating installations (including loft insulation);
37 Kitchen Replacements;
58 Bathroom Replacements;
7 External Wall Insulation;
42 Window & Door Replacements. |
In addition to planned improvements listed in Option 1, for example:
78 Gas Heating installation (including loft insulation);
26 Electric Heating installations (including loft insulation);
73 Kitchen Replacements;
117 Bathroom Replacements;
14 External Wall Insulation;
84 Window & Door Replacements. |
The tenant representatives recommend that tenants choose Option 1 (the lowest option), which will mean a rent rise of CPI as at September 2017 plus 1%. This option is considered to be the minimum level of income needed to deliver the current Business Plan. It, along with Scottish Government grant funding, will enable us to build 70 new homes in 2018-19, as well as these improvements to existing stock: 450 Gas & Electric Heating installations, 600 properties receiving external wall insulation & energy efficiency measures, 700 bathrooms.
All three options would keep rents affordable, keeping average rents in Angus amongst the lowest in Scotland, and well below what the Scottish local authority average for 2018/19 is likely to be.
To have your say on the rent options,
please complete the survey online by 31 July 2017*.
*Please note this consultation is open to current Angus Council tenants only
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