Rent increase – Frequently Asked Questions

Rents will be increasing by 2.7% from 7 April 2025. Here is everything that you need to know:

Rents will be increasing by 2.7% from 7 April 2025. We have written to you to tell you the new amount you will be paying from this date, and it is based on the Government’s guidelines on rent-setting. We work it out by taking the previous September’s Consumer Price Index (CPI) rate, which was 1.7% in September 2024 and adding 1% to it.  

Service charges have been estimated based on last year’s actual cost for services and we’ve increased this by September CPI plus 1%.  

We need to balance the rent and service charge increase with the increasing costs of maintaining and repairing our homes and providing quality services. As a not-for-profit organisation all income from rent is reinvested into our homes and services.   

To keep your rent at an affordable level we cap our weekly rents at the local Housing Allowance, and we don’t take advantage of the Government’s guideline which would allow us to charge up to an additional 5%. This means your rent is lower than many other social housing providers. 

We have worked hard to keep service charges as low as possible. Depending on your tenancy or lease agreement, service charges are calculated by the actual costs of delivering the services you receive. 

This cost is reviewed each year for us to determine whether an increase is needed. This year, due to the increases in national energy and utilities bills along with the rising costs from our other external suppliers, we’ve had to increase these charges in some areas in line with inflation. If you pay service charges, we have capped the weekly increase at £10.  

Some homes are undergoing a service charge review to make sure that all charges are correct and appropriate; you will have been contacted if this applies to you.  

As long as your own personal circumstances haven’t changed, then housing benefit should be increased to cover the increase in rent and eligible service charges. We will inform the Local Authority of the new charges, but you should make sure that the correct level of housing benefit is being paid. 

As long as your own personal circumstances haven’t changed, then Universal credit housing element should be increased to cover the increase in rent and eligible service charges. However, it is your responsibility to inform the DWP. You must add a note to your online journal, but you are unable to do this until the increase comes into effect. 

If you don’t manage your UC claim online a copy of your rent increase notice should be provided to your work coach. Any delays may cause you to be paid an incorrect amount and result in you going into arrears. 

CPI – the Consumer Price Index – is a figure used to measure inflation. It reflects how much the price of common goods and services changes over time across the UK.  

We want to work with you to understand any financial difficulties you may have. If you have concerns, then please complete an online enquiry form or call us on 0300 123 5522. We’ll do all we can to support you. 

In addition to the rent increase, you may also have an increase in service charges if you pay these. Service charges are charges for extra services like heating and lighting of communal areas, particularly in blocks of flats or in sheltered / extra care schemes.  

Some service charges are Housing Benefit-eligible which means that housing benefit will cover the increase, but some service charges are not housing benefit eligible which means that housing benefit will not cover the increase and therefore you must pay the increase yourself. If you pay service charges, the letter you receive from us will show clearly which of your charges are Housing Benefit-eligible. If you do pay a service charge then this will be clearly stated on the letter you receive from us along with the new amount to pay from 1 April. 

This depends on how you pay your rent: 

 

  • Direct debit: You will need to check the new rent amount is correct. Your payment will change automatically. If you have a query about the new amount that has been calculated, you can contact us. 
  • Standing order: You need to contact your bank and change your standing order to the new rent amount from 1 April. 
  • Phone or any other method: You need to change the amount of rent you pay from 1 April. 
  • I receive housing benefit: You don’t need to do anything as we will inform the Housing Benefit department of the increase. It is important that you check your new Housing Benefit award letter that you will receive in April to make sure the amount is correct. 
  • I receive Universal Credit: You must notify the Department for Work and Pensions (DWP) of your rent increase on Tuesday 1 April through your online journal. It’s important to note that you won’t be able to let them know the rent change earlier than this date. 

As a not-for-profit organisation, all rent is reinvested back into providing safe, secure homes and services. This includes: 

  • Continuing to invest in repairs and improvements to homes including making them more energy-efficient 
  • Providing services to you and your communities that are needed now more than ever, for example support with managing your money, helping people into training or employment, and investing in partnership projects that support communities  
  • Building new, affordable homes for future generations 

Click here to see how we spend every £100 of rent.

You are our priority and we will do everything we can to support you. 

 We can help with making sure you’re receiving all the financial support that you’re entitled to, including Universal Credit and Housing Benefit. We can also support with everything from contacting utility suppliers, giving advice on budgeting, affordable credit options or managing debt. We also have dedicated Money Advisors who can help with debt advice and solutions. 

If you’re struggling with debt, ill health or other issues that affect your tenancy, then our skilled and experienced Tenancy Support and Sustainment Officers can offer valuable help, advice, and support to get you back on track.  

There’s also lots of additional support that you can access via the ForHousing website – from accessing local food banks to how to contact Citizens Advice. 

If you want to discuss your calculation then please complete an online enquiry form or call us on 0300 123 5522.