Council house rent in Sheffield to increase by seven per cent this year

On average, it will mean an increase of £5 per week from April. For about 70 per cent of tenants who are eligible, the extra cost will be covered by housing benefit or Universal Credit.

The rent increase is expected to generate more than £10 million in additional income to the housing revenue account – the council’s financial account as a landlord.

Councillors are expected to approve the increase at a full council meeting in February.

Douglas Johnson, chair of the housing committee, said the authority was working hard to ensure its limited funds were spent well and it was investing £600 million to improve homes over the next five years.

He said: “Like local authorities across the country, we are really up against it. We know we won’t be the only ones increasing rents this year but that doesn’t change the fact that there will be an impact on residents here in Sheffield who are already battling a cost-of-living crisis.

“What we can’t get away from is the fact that a tough national picture continues to force local authorities into making tough decisions. Even though we put our case to Government which resulted in the cuts to us being less than they could have been, the rising cost of inflation, materials and purchasing constraints and pressures on the cost of living have all had a big impact.”

The council is also planning to triple its hardship fund for tenants from £150,000 to £450,000.