For the majority of tenants, we review the rent charge every year. (Tenants who have been with Hillcrest for some time may have their rents set by the Rent Officer).

When reviewing the rent we need to take into account a number of factors including:

• income needed to preserve or enhance customer services
• costs to bring all our properties up to the Scottish Housing Quality Standard - especially the energy efficiency of our properties
• servicing the loan charges related to the provision of houses
• the affordability of our rents and comparability with other organisations
   

From April 2012 we are proposing to increase rents by a maximum of 5% which represents an increase which is lower than the rate of inflation or RPI. (In the United Kingdom, the Retail Prices Index or Retail Price Index (RPI) is a measure of inflation published monthly by the Office for National Statistics)

We are committed to keeping the rent increase as low as we possibly can to keep our rents at an affordable level. We have researched other housing organisations proposed rent increases for next year and they range from 4.5% to 8%

The following table gives information on Hillcrest’s rent increases in the last two years in comparison with the national average, hopefully this shows we are absolutely committed to keep rent increases as low as possible.

We have also examined how other comparable organisations consult with their tenants about rent increases and note that some offer varying options for tenants to consider. These options can vary from a lesser increase resulting in a reduction in services provided (eg cuts in repairs budgets) to a higher increase to help fund additional incentives for tenants transfer from one property to another.

We are keen to establish what your views are on giving options – what services, if any, would you want us to consider providing funded by additional rental income?

Examples could include:

• Financing Energy Efficiency Advice
• Employing more Money Advice Workers
• An increased “Handyman” service
• These are just some ideas, but we are keen to hear your views
   

Please let us know your views on the proposed rent increase and the options initiative by sending us an email: riconsultation@hillcrestha.org.