Issue - meetings

To submit the report of the Head of Housing Services.

It was resolved to approve the following –

·      A rent increase of 4.3% on all general rent units in line with the Welsh Government rent policy on collection over 51 weeks.

·      An increase of £1.10 per week for the rent of all garages.

·      That the service charges costs noted in section 6.3 of the report be applied to all tenants who receive the relevant services.

·      The administration of the Rent Support Scheme, a local scheme to support self-paying tenants who are in financial difficulty.

The report of the Head of Housing Services which set out proposed housing rents and service charges for 2026/27 was presented for the Executive’s consideration.

Councillor Carwyn Jones, Portfolio Member for Housing and Community Safety presented the report stating that the 2026/27 rent year will be the first year under the new 10 year Welsh Government Rent and Rent Service Charge framework effective from 1 April 2026 to 31 March 2036. On 24 October, 2025, the Welsh Government confirmed approval of the  social housing rent policy for 2026/27, advising that all local authorities should apply the formula of Consumer Price Index plus 0.5%, (with the CPI at 3.8% in September 2025), resulting in a maximum annual rent uplift of 4.3% across the whole of the stock.

The Council intends to apply the maximum increase in order to -

·      Meet the Welsh Housing Quality Standards (WHQS) 2023 by 2033 which will require significant investment funded by the HRA.

·      Secure the major repair allowance of £2.7m which has not risen to reflect the new standards.

·      Support the delivery of affordable social homes and contribute towards meeting Welsh Government’s target of 20,00 new homes.

Rent affordability for the Council’s tenants has been assessed using the Joseph Rowntree (JRF) Living Rent methodology which confirms that applying a 4.3% increase keeps the average rent and service charge for all property types and sizes affordable for tenants on Anglesey. In addition, 77% of tenants will face no additional hardship as they receive full or part Housing Benefit or Universal Credit. The Housing Services Financial Inclusion team is also available to provide advice and support to any tenants experiencing financial hardship as a result of the increase.

Service charges for 2026/27 will be based on the actual 2024/25 costs, shared equally among tenants and leaseholders utilising the services with most costs eligible for Housing Benefit or Universal Credit. Additional income from increased garage rents will be used to develop a strategic plan for the garages.

The Executive emphasised that the Council’s ability to invest in its housing stock to meet the WHQS depends on the HRA budget, supported by rental income. Members noted that rents remain affordable under the JRF methodology, but they urged any tenants facing financial difficulties to seek support from the Housing Services Financial Inclusion team, Citizens Advice or the J. E. O’Toole Centre, where guidance on benefit eligibility is also available.

It was resolved to approve the following –

·      A rent increase of 4.3% on all general rent units in line with the Welsh Government rent policy on collection over 51 weeks.

·      An increase of £1.10 per week for the rent of all garages.

·      That the service charges costs noted in section 6.3 of the report be applied to all tenants who receive the relevant services.

·      The administration of the Rent Support Scheme, a local scheme to support self-paying tenants who are in financial difficulty.