Highland Council is hiking up rents by 7.95% for people living in council houses.
For the average tenant, that will mean their rent will jump from £83.17 per week to £89.85 per week in 2024.
The increase of around £6.68 per week is being described as the biggest in years as the local authority grapples with higher costs.
Housing and Property committee chairwoman, Councillor Glynis Sinclair said in a statement: “The committee was faced with a very difficult set of circumstances in considering council house rents for next year.
“Members carefully considered the affordability impacts for individuals when setting rents for 2024/25 and balanced that against the impact of cost inflation, loan borrowing charges and the continuing need to fund future investment in council housing.”
Last year, the council faced a £49 million budget gap.
7.95% rent increase biggest in years
The Scottish Government implemented rules that capped rent increases for private landlords to 3% are still in place in Scotland. The government is lifting those on April 1.
Highland Council is applying the increase to all types of council-run housing. This includes Gypsy/Traveller site pitches.
Councillor Sinclair added: “We have listened to feedback from our tenants and feel that the 7.95% increase agreed is necessary in order to deliver services to tenants and invest in our housing stock.”
Last year, the council approved a 4% increase in rents. That costs the average council tenant an extra £3.20 per week. Council warned at the time that the below-inflation increase would mean some repairs to units would be delayed.
Back in 2022, the council upped rents by 1%, adding 79p to the average cost of £79.25.
Conversation