2025/26 Rent Consultation

Parkhead HA Board met on 11th December; they reviewed the draft budget for the financial year 2025/26 and are recommending a rent increase of 4%. This rent increase is the minimum we can afford to ensure the long- term financial viability of the Association, it allows us to maintain our core services, invest in our stock to improve the quality of your homes and enables us to provide the best possible standard of customer service to you, our tenants.

While appreciative of the ongoing cost of living crisis and the impact this may have on our tenants the Association has been faced by ever increasing material costs from suppliers and contractors, as well as higher interest rates charges on borrowings. Despite ongoing financial pressures Parkhead Housing Association strived to keep rents affordable and managed to keep rent increases below inflation.

Previous years

The table below shows that the PHA rent increase has been below inflation and the Scottish Average each of the last four years.

2024/25 - 5% (PHA Rent Increase) - 6.1% (Scottish Average)

2023/24 - 2.5% (PHA Rent Increase) - 5.1% (Scottish Average)

2022/23 - 2.7% (PHA Rent Increase) - 3.0% (Scottish Average)

2021/22 - Rent Freeze - 1.2% Scottish Average

The proposed rent increase for 2025/ 26 at 4 % compares favourably with what we are aware others are proposing for their budgets.

In our most recent Tenant Satisfaction Survey 82 % of those responding said that their rent was good value for money.

What is in this year’s budget ?

The budget for the year 2025 26 includes:

· Reactive repairs ( day to day repairs) £ 800 k

· Void works (empty properties) £ 450 k

· Cyclical repairs £ 1.2 million

· Component replacements £ 1.5 million

· Salaries £ 1.86 million

· Loan repayments £ 896 k

· Interest payments £ 837 k

The component replacements £1.5m include:

· 211 gas boilers

· 179 kitchens

· door entry at 14 closes

What we are asking you to do

We are asking that you consider the above details and proposal and then complete the survey below. The survey will be open until Monday 13th January 2025.
All replies will be entered into a prize draw for a £ 50 voucher. We will draw out three names for the vouchers.

Complete our rent consultation survey by following this link - https://www.surveymonkey.com/r...