Concerns over proposed 7 per cent rise to Mansfield Council tenants’ rent bills

The authority has approved its housing revenue account budget for the 2023/24 financial year as it balances its books until 2026.

The wider budget included a now-approved council tax freeze, as well as millions of pounds in capital investments for major projects.

Councillors unanimously approved the council tax freeze, the general budget for services and the capital spending, but three members voted against the HRA budget amid plans to increase tenants’ bills.

The 7 per cent rise follows standard Government recommendations on rent increases, which are usually capped in line with inflation, plus an extra percentage point.

However, due to the current 40-year high inflation of about 11 per cent, ministers opted to introduce a 7 per cent cap to take the rise away from struggling families.

The council opted to go with the 7 per cent cap, meaning the average 48-week social rent contract will increase by about £5.90 per week or £306.80 over the length of the contract.

It has led to two opposition councillors voicing concerns the rise will impact some of Mansfield’s poorest households.

Coun Martin Wright, Mansfield Independents member for Holly, who voted against the HRA plans, said: “I find it difficult to square off the council tax freeze when council rents are going up.

“I know it’s a Government recommendation, but I find it hard to accept residents of Mansfield will save about £2 or £3 a year on their council tax, but rents are going up 7 per cent, which amounts to far more.”

Coun Rob Elliman, Conservative member for Oakham, also voted against the plans and said: “It’s safe to say the number of properties built over the past four years has been extremely low, so how is this rent increase fair on the low-income residents of Mansfield?”

But Coun Craig Whitby, cabinet member for finance, defended the rise, saying it is still below the current levels of inflation and only about a quarter of the tenants will feel the rise, as the majority are covered by housing benefits or Universal Credit.