Rent Consultation 2024/25
Your Views Matter
The purpose of Milnbank Housing Association is to meet housing and related needs within our community and to provide our tenants and
other service users with an excellent service. To provide these services, we charge rents to tenants living in our properties. This rent is our main source of income.
As you will be aware, we have a legal duty to consult with tenants on an annual basis to seek their views on our rent charges and service provision.
The cost of living situation affects many of our tenants, and the many inflationary pressures which we have been facing, make it especially critical that this consultation tries to find the right balance between rent affordability and the need to maintain our services and continue investing in our homes.
As part of our rent setting for April 2024 to March 2025, every tenant is invited to express their views.
What do I need to do now?
The consultation closing date is Friday 19th January. All entries received by 12pm on this day will be entered into a prize draw for a £50 gift voucher for 10 lucky tenants.
Your feedback will go to our voluntary Management Committee in February 2024 who will make a final decision on the rent increase for 2024/25. We will let you know via letter or email and on our website and social media channels.
How your rent is spent
We pride ourselves in striving to maintain the range of services it provides. Feedback from residents on our service delivery is positive.
For 2022/23, 91.6% of tenants were satisfied with MHA’s overall service (Scottish Average 86.7%). Therefore, it’s important that tenants pay rent to ensure that we can maintain this level. The following are areas where rental income is spent:
Reactive Repairs
Cyclical Maintenance
Planned Maintenance
Bulk Uplift, Landscaping & Stair Cleaning services
Community Activities
Staff Costs
Running Costs
Loan Payments
Does my rent represent value for money?
We try to provide quality homes, services at affordable rents and keep investing in our community to make it a better place to live.
Feedback from tenants demonstrate that there is a high level of satisfaction as 95% were satisfied that the home and services provided by MHA represent good value for money, this is against the Scottish Average of 82.5%
Average 2022/2023 rent for a 3-apartment (2 bedroom) property of Milnbank HA compared against similar housing associations and the Scottish Average.
Milnbank HA
Parkhead HA
Shettleston HA
Tollcross HA
Scottish Average
£315.99
£388.18
£375.09
£340.86
£373.88
MILNBANK HOUSING ASSOCIATION HAS ONE OF THE LOWEST AVERAGE RENT CHARGES IN SCOTLAND
Rent Restructure
Following consultation with tenants in 2022, most felt that a rent structure based on property size and type was easier to understand and fairer. You also told us that some relevant property features should be included in rent setting, like size of property, age of property etc.
94% of tenants who responded agreed that the rent charged should reflect the number of bedrooms.
+90% of tenants who responded agreed that the rent charged should vary according to the type of property.
From 1 April 2023 the rent restructure began, which will continue for another 5-6 years.
Rent Setting Principles
The Management Committee has agreed the following 3 principles for the Association’s rent setting:
- Ensure the rent increase generates enough income to allow services to continue at the current level or to improve them.
- Will be applied and will be calculated in line with the current rent charge charged for each property.
- Aim to keep rents as affordable as possible for tenants in employment on a low income.
Your 3 rent options for 2024/25
Based on feedback received from our recent tenant engagement events and Management Committee Rent Strategy Session, we are pleased to offer you the following 3 options.
The latest available Consumer Price Index (CPI) figure, as of September 2023, was noted as 6.7%. Changes in the CPI track changes in prices over time. The CPI is calculated by using a representative shopping basket of goods and services.
Option 1
rent increase of 6.9%
(average monthly increase of £21.80 based on an average 3 apartment rent of £315.99**) Continued delivery of services already provided to our tenants including property maintenance, management and planned investment in your home.
Option 2
rent increase of 7.5%
(average monthly increase of £23.70 based on an average 3 apartment rent of £315.99**) As per option 1 plus a further c. £39,019.23 for additional investment and services for tenants including:
- Boiler replacements
- Backcourt investment
- Proposed window replacements
- Fuel advice.
Option 3
rent increase of 7.9%
(average monthly increase of £24.96 based on an average 3 apartment rent of £315.99**) As per option 1 and 2 alongside an additional c. £26,012.82 (total of £65,032.05) for further investment and services for tenants including:
- Further boiler replacements
- Further window replacements.
How to complete the consultation
Scan the QR code and complete online
Using the enclosed Freepost envelope
Handing it into our office in Ballindalloch Drive or our community halls in Culloden Street & Bluevale
By emailing the completed form to: admin@milnbank.org.uk
