The closing date for the Rent Increase survey is approaching fast! Tenants have until 30 September to vote for one of the options below:
|
Option 1 Recommended by the Tenant Rent Setting Group |
Option 2 | Option 3 |
| 3.5% | 3.75% |
4% |
Please let us know what you think by clicking one of the options here.
Due to the stormy weather, the #ScottishHousingDay event in Forfar was moved inside. The Communities Officer managed to get a space in Tesco where the group spoke to some council tenants and focused on the rent setting options. Two tenants representatives, Tom O’Brien and George Addison, volunteered to help during the event.
Rent increases help us protect housing services, build new homes and to continue to invest in our homes so they meet the Scottish Housing Quality Standard and will meet the Energy Efficiency Standard for Social Housing by 2020.
Last year, our Tenants Steering Group agreed that rents should be increased to ensure we can continue to invest in its existing homes as well as build new affordable housing in Angus. Three rent increase options were proposed by the Tenants Steering Group.
In July 2017, we carried out a rent consultation for our residential tenants. The majority of tenants (58%) who responded to the consultation supported an increase of inflation (as measured by the Consumer Price Index (CPI) +1% which equates to a 4% based on September 2017 CPI of 3%. The rent increase will increase the average rent to £66 per week and mean that our rents will continue to remain in the lowest 25% of all Scottish local authorities.
The results of this survey were presented at the communities committee at the beginning of February 2018 and the final decision on a rent increase for 2018/19 was made. You can read the papers here. The committee approved an average rent increase of 4% for Council houses, garages and travellers’ pitches. Associated service charges for sheltered, retirement and dispersed accommodation will continue to be based on actual costs in the previous financial year. Tenants will receive their new rent cards for 2018/19 in the next few weeks. Please let us know by calling ACCESSLine on 03452 777 778 if you haven’t received your new rent card by 5 March 2018.
The committee also agreed the capital programme for the financial years 2019/20 to 2021/22. The five year programme will provide £100m investment in the homes and communities of Angus by increasing the Council’s investment in building new homes and improving existing stock. We will:
The construction activity in the plan will have a significant impact on the local economy and studies have shown that every £1 spent can generate £2.84 in indirect and direct economic stimulus. It is estimated that the agreed capital programme could:
We are grateful to our tenants and staff for working with us to develop this ambitious programme which will have a significant positive effect on our communities.
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.
*Please note this consultation is open to current Angus Council tenants only
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