Croydon council tenants could face rent increases of £7.37 per week from April this year.
The eight per cent increase will be put to the council for approval on Monday February 27, after the Tenants and Leaseholders Panel agreed it to on February 1.
Councillor Dudley Mead, deputy leader and cabinet member for housing, said: “We know that any rent rises are unwelcome but unfortunately they are a necessity, and that’s why the council has done everything possible to make sure the proposed increase is as low as we can get it, while still maintaining the services our tenants want.”
Money raised from council rents goes back into housing services to maintain the standards of homes. It also helps to pay for repairs, neighbourhood wardens and environmental work on housing estates.
The proposed rise in rent is in line with a national plan to introduce a nationwide standardised rent scheme in 2015. In preparation for this, every local authority is obliged to gradually increase rents year on year, for the next three years.
The effect the price rise will have is debatable, as most council tenants receive either full or partial housing benefit.
Tenants will be notified of any increase in rental charges by letter, following the council meeting in ten days time.