The council have pledged to spend £41 on maintaining and repairing council houses, including issues with damp and mould

Cambridge City Council will be increasing rents for its council houses as part of a 10-year plan to improve the properties. The council has set out plans to invest significantly in the repair, maintenance and improvement of its tenants’ homes and build 1,300 more new council homes over the next 10 years.

The proposals include spending £41 million during 2026-2027 for the management, repair, maintenance and improvement of council homes, paid for from housing rents and service charges – a significant investment to improve the condition and energy-efficiency of council homes for its tenants.

As part of this, £9.8 million would be invested in improving the Energy Performance Certificate (EPC) rating of council homes in the coming year, as part of a £39.3 million programme over the next four years to make more homes warmer, fit for the future and with lower energy bills. This project will complement the council’s vision for the city to be net zero carbon by 2030.

It also proposes an additional £750,000 per year to address damp, condensation and mould, supporting full compliance with Awaab’s Law. In addition, there would be significant ongoing investment in the management of homes, including using new technology and additional officer posts to boost the council’s tenancy audit programme, its support for tenants and to allow better management of rent arrears.

The report also sets out the council’s proposals on council rents for the year ahead. For 2026-2027, rents are proposed to rise by 4.8 percent, in line with the new Rent Standard issued by the national Regulator of Social Housing this year.

This would mean an average increase of £6.14 per week for tenants on the lowest rents (discounted to around 40 percent of market rents), or £9.44 per week for those on ‘affordable rents’ (discounted to around 60-80 percent of market rents). A £9.44 weekly increase means that some households could be paying up to £490 extra each year.

Currently 65 percent of council tenants receive some form of benefit support, with 55 percent receiving maximum housing benefit or Universal Credit housing costs. For most of these households, any rent increase will be fully covered from their benefits, meaning that there will be no net financial impact on the household.

Cllr Gerri Bird, Cabinet Member for Housing, said: “Despite significant financial challenges as a result of increasing regulation, cost inflation and high interest rates, the council remains ambitious and committed to investing in our existing council homes so that all tenants can benefit from improvements – and in helping tackling the wider housing crisis by building new, modern energy-efficient council homes and homes for private sale.

“Increasing rents is always a difficult decision, and we are mindful of the financial pressures facing our tenants. However, it is necessary so we can continue to invest in high quality housing within the city. We will continue to provide financial and budgeting advice to anyone who needs it and will work with tenants to ensure they are claiming all the financial assistance they are entitled to.”