Salford City Council is set to increase its rents and service charges from April this year. Rents for its properties, mostly managed by Pendleton Together, will increase by 3.4%, above inflation and based on Government guidance of CPI (Consumer Price Index) plus 1%.
Tenants have had to cope with huge rent rises over the last six years, including 7.62% in 2012/13, 5.13% in 2014/15 and 3.8% last year. This latest increase will see rents rise by almost £3 per week (based on a 49 week payment schedule).
Meanwhile, service charges by Pendleton Together will see "revised charges based upon actual costs" – with high rise charges increasing by 4.97%, low rises by 1.2% and sheltered housing by 5.77%.
"The charges per property for Thorn and Spruce have increased owing to an increase in the Living Wage and supervision costs" states the Council report "The other element of the security charge reflects the actual costs of repairing security equipment per block, which has benefited from investment and upgrades during the PFI refurbishment period. Thorn and Spruce residents have requested the staffed service is reviewed to providing 24/7 cover, which would if accepted increase the cost of this service further."
Spruce and Thorn Court residents will see a joint rent and service charge increase of over £5 per week, rising from £106.79 last year, to £112.11 from April for Spruce Court, and from £108.32 to £113.63 for Thorn Court – an increase of £260.68 per year (based on 49 week schedule) for Spruce Court tenants and £259.21 per year for Thorn Court tenants.
Lombardy Court sheltered accommodation residents will see joint rent and service charge increases of £3.87 per week (based on 49 weeks) or £189.63 per year.
"During 2018/19 consultation took place with Lombardy residents on the provision of warden and out of hour's services" states the Council report "The outcome from the
consultation was a preference by residents for a mobile support service. Pendleton Together are currently considering options for how this service could be delivered, but this would not be covered by rent or service charges."
Despite Salford Council's valuations based on a 49 week schedule, the Council report explains that 2019/20 is a '53 week year for the purposes of rent payments' due to the number of Mondays in the calendar year, and that this could have a 'significant impact' on those claiming Universal Credit...
"Universal Credit legislation does not allow for 53 Monday years and therefore claimants would potentially find themselves a week in arrears if charged 53 week's rent" it states, adding that "a resolution has yet to be identified", despite raising the issue with the Government...
Tenants in the Pendleton Together blocks have had to cope with numerous issues*, from dangerous cladding that still envelopes buildings, to windows falling out, fire door issues and lots more...
* See previous Salford Star articles - click here and click here
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