The council is considering proposals to update council housing rents and charges from April 2027 as part of its Rent Setting Report. These proposals align with government policy to create a more consistent system of social housing rents nationwide. The changes are set to be reviewed by the authority's Cabinet next month.
The proposed changes include an annual increase of inflation plus one per cent for council housing rents, along with an additional £1 per week rent convergence increase for eligible properties from April 2027. Despite these planned increases, council housing rents in Stoke-on-Trent are expected to remain among the lowest in the country.
Under the government's updated rent policy, social housing landlords can increase rents annually by inflation plus one per cent and apply a limited adjustment to bring rents below the national formula level into line over time. This policy considers factors such as property values, local incomes, and home size and type. Many council homes in Stoke-on-Trent currently have rents below this formula level, leading to different amounts being paid by tenants in similar properties. The council states that the government's approach will help address these differences gradually and fairly.
Changes to some service charges, including grounds maintenance and those linked to newer developments, are also proposed, based on the costs of providing these services. These proposals come amid significant financial pressure on council housing, with the Housing Revenue Account 30-year Business Plan highlighting rising costs for maintenance, building safety standards, Awaab's Law requirements, energy efficiency improvements, and day-to-day repairs. The plan warns that without additional income, service reductions and lower investment levels may be necessary.
Councillor Duncan Walker, cabinet member for safe and resilient communities and housing, stated: "Our priority is to continue providing safe, decent and affordable homes for our tenants while ensuring council housing remains financially sustainable for the future. These proposals would help us create a fairer system while generating the investment needed to maintain and improve homes."
Councillor Walker also highlighted ongoing support for tenants facing cost-of-living pressures, mentioning the Income Advice Team, Financial Independence Fund, Help is at Hand campaign, and financial MOT programme. He added that even with the proposed changes, council housing in Stoke-on-Trent remains significantly cheaper than equivalent private rented accommodation and below many comparable social housing rents elsewhere, citing analysis showing properties are £100 to £160 per week cheaper than adjoining former Right to Buy semi-detached private rented properties.
In addition to rent proposals, the council plans to extend its Financial Independence Fund for another year, providing targeted support to tenants facing financial hardship. Last year, the fund assisted residents with essential items and housing-related support. The Income Advice Team has also helped hundreds of tenants secure millions of pounds in additional income through benefits advice, debt support, and financial guidance.
The proposals will be considered by the Cabinet before being recommended to the full council as part of the budget-setting process. If approved, any changes would take effect from 1 April 2027.
