Rent rises of seven per cent in council run homes have been ‘reluctantly’ approved by the cabinet in order to balance the books, Wigan Town Hall heard. Chairing the Housing Advisory Panel, Coun Susan Gambles - with a look of dread on her face - brought this item to a room full of tenant representatives - who understood that this ‘must be done’ in order to keep the Housing Revenue Account financially sustainable.
Following the Autumn Statement delivered by chancellor Jeremy Hunt last week, councils, including Wigan, are inclined to up their rents in line with this unfunded increase from the government. This is because there are increased regulations for housing providers need to meet in the wake of the Grenfell Tower disaster in 2017 and the tragic death of Awaab Ishak, two, back in December 2020 from mould exposure.
Paul McKevitt, director of Resources and Contracts and deputy chief executive, explained that the cost for meeting these requirements could cost the council hundreds of millions of pounds, the panel heard on November 24.