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Several councils in Scotland have decided to keep rents low or freeze them altogether next year in light of the cost of living crisis.
Edinburgh, Aberdeen City, and Midlothian councils will not increase rents at all for the new financial year, while the majority of local authorities took rising bills into account while setting rents. Several other councils have reduced planned increases or have limited hiking rents too high (see table below).
The details come as all Scottish stock-owning councils set out their rent plans for 2022-23. Unlike in England where there is a limit of consumer price inflation (3.1%) plus an additional 1%, in Scotland the government does not have any control over rents and their are no limits. Despite this, the majority of Scottish councils have decided to limit any increases.
Edinburgh Council said it made the decision to freeze rents based on the rising cost of living and underspending. Commenting on the decision, Kate Campbell, housing, homelessness and fair work convener at Edinburgh Council, said: “We’ve already seen the cut of £20 a week to Universal Credit – a loss of over £1,000 a year to many families in Edinburgh.”
Aberdeen Council approved a freeze last year for two years to “provide a little bit of respite” for tenants amid the pandemic.
Midlothian Council, which also froze rents last year due to the pandemic, deferred an increase of 3% for 2022-23 because of a “challenging couple of years” for tenants.
Angus, Highland, and Stirling councils kept rent rises below 1.1%.
Angus Council had planned to increase rents by 2%, but decided to slash it to 1%, “given the massive cost of living crisis facing residents”.
UK households are facing soaring energy bills due to rising wholesale gas prices.
Responding to the crisis last month, chancellor Rishi Sunak announced a one-off £200 discount to all UK households’ energy bills, which will be paid back by £40 per year over five years from 2023.
Scotland was allocated an additional £290m of funding as a result of Barnett consequentials from a council tax cut announced in England.
This will will be on top of the £200 loan for households.
Council | Rent increase |
Aberdeen | No increase |
Aberdeenshire | 1.5% |
Angus | 1% |
Clackmannanshire | 3.1% |
Dundee | 1.5% |
Edinburgh | No increase |
East Ayrshire | 1.5% |
East Dunbartonshire | 2.5% |
Falkirk | 2% |
Fife | 2.5% |
Highland | 1% |
Midlothian | No increase |
Moray | 1.5% |
North Ayrshire | 2.5% |
North Lanarkshire | 3% |
Orkney Island | 2.6% |
Perth and Kinross | 3% |
Renfrewshire | 2% |
Shetland Islands | 2.5% |
South Ayrshire | 1.5% |
South Lanarkshire | 2.2% |
Stirling | 1.1% |
West Dunbartonshire | 2% |
West Lothian | 3% |
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