Maintaining the massive pace of improvement
Joint statement from Wolverhampton Homes and Wolverhampton City Council
Released: 24 January 2007
The following statement was issued jointly by Cllr Pat Byrne, chair of the board of Wolverhampton Homes and Cllr Peter Bilson, Cabinet member for Regeneration and Enterprise following the announcement that Wolverhampton City Council Cabinet has today (January 24, 2007) approved an average increase for council tenants of 4.25 per cent from April.
“A £2.8 million reduction in Government funding has left Cabinet with no choice but to raise council house rents by an average of 4.25 per cent to maintain the massive pace in improvements to the housing service delivered by Wolverhampton Homes.
“Around 15,200 of the 23,000 council tenants will be shielded from the change in rents in April 2007 by higher housing benefit entitlement. There will be no changes in service charges or garage rents until at least April 2008 when rents will be reviewed again.
“But, of course, any increase is bound to cause concern and tenants have stressed through consultation sessions that the increase is unwelcome. However, most also understand that it is needed for Wolverhampton Homes to deliver the two-star rating that Government requires before it will release £288 million to bring the city’s council housing stock up to the decent homes standard.
“Most tenants believe that their rent represents good value for money and Wolverhampton rents remain lower than those elsewhere in the West Midlands including Birmingham, Dudley, Sandwell and Solihull.
“Today’s increase will ensure a continuation of improvements in the housing service that tenants want – and for which they voted so decisively with the establishment of Wolverhampton Homes just 15 months ago. In that short period, Wolverhampton Homes has made the kind of improvements that other arm’s length management organisations have taken five years to achieve.
“Today’s difficult decision therefore represents a continued commitment to service improvement and a renewed determination for Wolverhampton Homes to achieve the two-star rating.
“All tenants will receive new rent books immediately before rents rise on 2nd April. The Council’s housing benefit service will advise tenants individually if there are any changes in their entitlement.”
Issued by the press office.