Sheffield City Council has approved a rent increase for council tenants, with rent set to rise across all council dwellings from April.
The increase will see rents rise by 2.7%, while the service charge for sheltered housing, burglar alarm charges, and furnished accommodation charges will increase by 1.7%.
The decision was made by the council’s Strategy and Resources Policy Committee on Wednesday. The committee stated that the rent hike would generate an additional £5 million in revenue for the financial year to April 2026.
A portion of this extra income will be allocated towards essential repairs, including fire and gas safety works, as well as addressing damp and mould issues in council properties.
The additional revenue from the rent increases is expected to support ongoing maintenance and improvements across Sheffield’s social housing sector.
According to projections, Sheffield City Council’s Housing Revenue Account is forecasted to generate £187 million in 2025-26, predominantly sourced from tenant rents.
This funding will be directed towards repairs, capital improvements, and tenant services, benefiting over 38,000 council homes throughout the city.
The council is committed to maintaining and improving housing conditions, despite the challenges posed by a reduction in the number of available council homes.
At the meeting, Ajman Ali, the council’s Executive Director of Neighbourhood Services, informed members that a “net decrease” in the number of council homes was anticipated over the next 30 years.
It is estimated that around 800 homes will be “lost” to the Right-to-Buy scheme within the next 12 months alone, as tenants continue to purchase their council properties.
However, the council is actively working to address housing repairs and is striving to reduce overdue maintenance to zero by June. Ali highlighted the council’s commitment to improving housing conditions, despite the pressures caused by the ongoing housing crisis.
