Aberdeen Council to increase tenants rent by 9.5% to help upgrade properties

Aberdeen council tenants will have their rent increased by 9.5% from next April to help maintain and upgrade thousands of properties across the city.

The SNP and Lib Dem partnership put forward the proposal as part of the local authority’s housing revenue account for the year ahead.

The change would mean the average monthly council rent would be £444.80 when compared to £887 per month for private rentals.

They also wanted to put £584,000 towards improvements at older homes in Summerhill and Tillydrone.

Members pledged to continue with the rent assistance fund, adding £1m to the pot to help those who need some extra help.

The latest rise follows an increase last December, when the council upped rent charges by 7.5%.

The council will also collect rent every week, up from the current 48-week model.

This means there will no longer be a rent-free week at the end of each quarter as there is at the moment.

Council chiefs argued this will help keep weekly rents lower, make it easier for tenants to budget, and match up better with benefit payments.

Edinburgh and Dundee City Councils have already moved to a 52-week rent year.

Meanwhile, Falkirk and Fife Councils still operate on the 48-week model and are not looking to change.

However, council chiefs wanted to raise rent charges by 12%.

A rent consultation was held recently to give tenants the chance to have their say on the local authority’s proposed 12% jump.

A total of 538 residents responded, of which 77% disagreed with the change.

Finance chiefs argued the rent increase was needed to maintain current service standards and aid with financial pressures , rising costs and a reduction in income.

They also said the extra cash would help to deliver quality housing  and make improvements including installing new kitchens and bathrooms.

Alternative budget proposals were put forward by the opposition groups, too.

The Conservatives wanted to impose a “still challenging, but more manageable” increase of 9.8%, while Labour suggested an “affordable” 5% rise.

Housing boss councillor Miranda Radley noted the local authority is facing various pressures, one being the condition of its 23,000 properties.

While the partnership would have backed the officer recommendation, Ms Radley said they didn’t want to place an extra burden on tenants.

She also said the council needed to invest in its older homes to ensure they meet current standards and are attractive places to live.

The SNP member revealed the local authority is looking to spend £118m on its housing stock next year.

This sum includes £20m on window replacements and nearly £7m on installing new heating systems.

She also claimed that passing Labour’s “unrealistic” budget would cause a lack of investment in voids, leading to a further £1.9m of rent loss.

The local authority spent £28m on more than 2,500 void properties and £17m on repairs and maintenance last year.

She added: “Continued investment in repairs, maintenance and void reduction is essential to the long-term viability of our stock and ensures tenants have access to safe, warm homes.

“We would rather be honest about how we meet the challenge than short-change tenants in the long run.”

Lib Dem leader Martin Greig said it was “not an easy decision” to increase rents, but argued it was needed to improve council homes.

“I am so frustrated when constituents ask for actions to mend drafty windows, deal with heavy condensation, or complain when there is mould,” he said.

“Also broken doors, worn out kitchens, faulty lifts, and people are not happy with the cleaning routines of stairs and communal areas.

“We need the capital investment to get the repairs that are needed to damaged property and necessary ongoing upgrades.”

However, independent councillor Alex Nicol called for the partnership to put together a long-term plan for the HRA.

He believed “serious action” was needed to ensure rents wouldn’t need to be raised year on year, and to stop councillors being faced with the same issue in 12 months.

Meanwhile, other members believed the council needed to give residents a helping hand during the ongoing cost of living crisis.

Independent councillor Marie Boulton added: “Christmas is a difficult time to get the news that your rent is going up.”

Following a vote between the partnership and Labour proposal, the 9.5% rise was backed by 23 to 12.