COUNCIL house tenants are set to see their rents increased by 4.8 per cent over the next 12-month period due to ‘significant pressures’.
At next Wednesday’s cabinet meeting, councillors will be asked to approve the proposed rent increase and it will then be put through to a full council meeting to be officially signed off.
The report anticipates that in 2025/26, the amount the council receive from rent from tenants will stand at £84.172m.
This is set to increase to £86.062m in 2026/27 and £87.135m the following year.
The council say that HRAs across the country are facing significant pressures due to a range of factors such as the uncertain fiscal climate, rising material costs, non-cyclical inflation increases, and increased regulatory requirements, including compliance with new building safety and damp and mould legislation.
A report said: “The government’s rent policy is to allow local authorities to raise rents annually by a maximum of consumer price index plus one per cent until 35/36 when this will be reviewed.
“This report proposes an increase of 4.8 per cent.
“Members should note that for the council to be able to set a balanced housing revenue account budget for 26/27 and allow for a continuation in existing levels of work and priority investments in relation to decency and compliance a 4.8 per cent rent increase is required.
“From a tenant’s perspective, an increase of 4.8 per cent would represent an average increase of £4.48 a week (52 weeks); increasing the average weekly rent from £93.35 to £97.83.”
The HRA budget is an essential part of the council’s long-term housing strategy and outlines key investments in council homes, proposed rent levels, and a comprehensive housing capital investment programme for 2026/27.
The report states that the council will invest £29m to ensure decency across its stock and a further £600,000 will be spent on an enhanced ‘customer offer’.
Up to £42m will be spent on delivering EPC C stock rating to all stock by 2030, while an additional £43m will be spent to deliver more than 200 new homes into the HRA.
Coun Robin Franklin, cabinet spokesperson for regeneration and culture, said: “This budget represents our ongoing commitment to ensuring that every resident has access to a safe, warm, and affordable home.
“While we face challenges with the HRA nationally, these investments will help us address immediate needs while preparing for the future.
“The proposed increase to tenants’ rent will help us to fulfil the needs of our tenants and will support our continued investment in council homes.
“We will continue to work closely with our partners and residents to ensure Barnsley remains a great place to live.”