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Tenants face rent rise almost triple inflation

Michael Byrne
29/12/2005

TENANTS in Rochdale Council housing face rent rises of nearly three times the rate of inflation.

Last week's cabinet meeting approved proposals to increase the rents on council properties by an average of five per cent. Some are going up by as much as 5.7 per cent.

The increases are part of the council's response to the government's scheme for raising council rents in line with housing association charges, which are traditionally higher, by 2011.

A report to cabinet said that under the restructuring 39 per cent of tenants could have faced increases of more than six per cent, with the highest being 9.5 per cent.

But members agreed to the recommendation of John Rowbottom, the finance manager, to limit the largest rise to 5.7 per cent.

The proposal will now go out to consultation with tenants groups, such as the Rochdale Federation of Tenants' and Residents' Associations (Roftra).

If approved the average weekly rent for a one-bedroomed flat in Rochdale North Township, which includes Brotherod and College Bank would go up 5.67 per cent from £37.55 to £39.67.

The average rent for a three-bedroomed house in Rochdale South Township, including Kirkholt and Castleton, would rise by five per cent from £53.59 to £56.26.

In the Pennines Township, which would include Birch View, the average weekly rent for a four-bedroomed house would increase by 4.77 per cent from £60.47 to £63.34.

Paul Beardmore, head of housing strategy, said: "We've done this because it would be unfair to have some tenants facing such large increases.

"The government has told us we have to converge with housing association charges by 2011 and under this system 12 per cent of properties won't meet that target.

"We have also been told by the government that council rents shouldn't go up by more than five per cent. At the moment we believe we won't be penalised for not complying with that, but if that changes we will look at these proposals again."

Mr Rowbottom said: "Tenants could face similar rises up until 2011. Some tenants may only face a three per cent rise and this is also likely to stay the same, depending on inflation."

Mr Beardmore added that some tenants will face higher rises than others and one of the reasons for that was that council properties had been revalued to take into account the area they are in.

Derek Brown, the Roftra secretary, said: "We're aware of the proposals and we're waiting for the council to come to us with a full explanation of what it will mean for tenants."