Perth and Kinross Council (PKC) tenants look set to face a six per cent increase on their rent from April 7, 2025.
PKC’s Housing and Social Wellbeing Committee is being recommended to approve the rise when it meets on Wednesday, January 22.
The proposal would see a PKC tenant’s average weekly rent increase to £84.52 but – despite the steep increase – PKC would maintain its position as having the fourth lowest council rent in Scotland.
A six per cent rise was the lowest of the three proposed increases put to tenants. An information pack was sent to all tenants outlining the three proposed rent increase options – six per cent, 6.5 per cent and seven per cent – and the impact and affordability of each.
The majority – 64 per cent of a record 3,055 tenants who took part in the consultation process – voted for the lowest rent increase option of six per cent; 25 per cent voted for a 6.5 per cent increase and 11 per cent for a seven per cent increase.
A PKC spokesperson said it was aware some tenants may be struggling with the cost of living and a “wide range of support measures have been put in place by the Housing Service to support anyone who needs help”.
Housing and Social Wellbeing Committee convener Tom McEwan, said: “Firstly, I am very encouraged to see that so many of our tenants responded to the consultation on rent levels. This is one of the most important decisions that we make as a committee. We work right through the year in partnership with our tenants discussing what kind of housing services they want, and then ask what level of rent increase they want to see invested in those services.
“For the first time, over 3,000 tenants took part in the rent level consultation which is great to see. We are committed to giving tenants an influential voice in all the decisions we take about their services.
“We remain committed to maintaining rent levels that are affordable, while we maintain good performance and high levels of tenant satisfaction. This six per cent increase means we would continue to have one of the lowest local authority rents in Scotland whilst being able to make important investments in Housing Services that our tenants have told us they want to see. We would also be the most affordable social housing option in Perth and Kinross by some margin.
“Our HRA is not immune to the rising costs that all businesses continue to experience, and the rent increase will also cover these increasing pressures.
“We know that for many people finances are challenging at the moment, and so affordability is vital when considering any increase in rent. We carried out an assessment and found that 87 per cent of our residents could afford our proposed rents based on their income alone, without considering any housing benefit they receive.
“We have also put in place a wide range of practical financial help for anyone who needs it. Our Tenancy Sustainment Fund and ‘Think Yes’ locality team budgets are available to support our tenants. I would encourage anyone who is finding it difficult to pay their rent to contact us on 01738 476000 to take advantage of the financial support that Housing staff and other Council colleagues can provide.
“I would like to thank every tenant who has taken part in our rent setting process over the last 12 months. We will continue to work very closely in partnership with tenants to ensure we deliver high quality services for them.”