Residents living in Darlington Council-owned homes are facing a rent increase of nearly seven per cent.
The local authority has announced plans for its highest ever increase for council tenants, by 6.7 per cent for 2024-25. The proposed rise, set to be approved next week, means an average social rent will cost £83.98 and an affordable rent £94.17.
It follows the previous five per cent increase in February 2023, and will affect more than 5,000 homes currently provided by the council in the borough
A council report read: “The council has faced substantial financial pressures over the last 12 months particularly around inflation and the cost of materials and services to maintain our homes, the most significant increases being in roofing, door and window replacements, and general day to day repairs.
“Taking into account the current economic pressures facing our tenants and balancing this with the increased costs of maintaining and improving our housing and the need to deliver our ambitious capital and energy efficiency programmes, an increase of 6.7 per cent is recommended, or an average of £5.54 each week.”
Residents were invited to respond to the proposals in December, however many responded with caution about the sharp rise.
One respondent said: “I think it is too much, it doesn't matter one bit what we think, it is sure to go ahead. More people than ever are using foodbanks, people have to now make a decision on keeping warm or eating. Council rent is catching up to the so-called affordable rent, it isn't really affordable at all.”
The proposed changes come amid the ongoing cost-of-living crisis, which is affecting families around the borough.
“At a time of an acute cost of living crisis, I think the rate of increase is too much and will not help those tenants who have to make up the difference of their rent from their benefits,” another response read.
However, some respondents said they saw sense in the council’s proposals. A response added: “With any rent increases, it goes without saying that people will not be happy, but if you show why you are doing it, that will make people feel a lot better and I think that has been done. It has been explained very well and I can see why the rent needs to go up, but it still seems like a big jump.”
Despite the criticism, the local authority defended its proposal, saying council-owned house rents will continue to be the lowest in the region.
Cllr Matthew Roche, cabinet member for health and housing, said: “We understand what a difficult period this continues to be for our tenants, so we are recommending raising rents by a lower rate than virtually any other social landlord in the country. There will also be a great programme to invest in our council homes, whilst rents will continue to be the lowest in the region.
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“We do recognise this is still a significant increase, but as the costs of providing our service continue to rise, we need to make sure we have enough money to keep improving our council homes and delivering a high-quality service. We will also continue to do all we can to help tenants facing financial issues.”
The council added that significant investment is made each year to maintain and improve standards, enhancing the energy efficiency of homes to reduce their carbon impact and help tenants reduce their energy consumption and bills.
“Council tenants will also continue to be supported with their finances,” the report added.
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