Highland Council rent arrears soar past £3m as tenants struggle with cost of living crisis
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A Highland Council report provides some early insight into the huge impact of the cost of living crisis on social housing tenants.
For the first time, rent arrears have tipped past the £3 million mark.
In the summer of 2022, council tenants owed a combined £3,053,430 in rent.
This is a steep increase even from the start of the financial year when rent arrears sat at £2,570,077.
The half a million pound increase is largely down to the cost of living crisis, according to housing bosses.
In particular, the housing report highlights the struggles facing the working poor.
Council bosses say rent arrears for low-income workers have increased by £152,000 since the end of March.
Council looks to avoid evictions and offer support
Despite the soaring debts, Highland Council remains committed to avoiding evictions.
In a separate report, housing officers state that tenants in arrears need help and support, and the council is committed to early intervention.
In fact, it has made just one eviction this year, of a tenant who repeatedly failed to pay rent or speak to support services.
This approach means Highland has among the lowest eviction rates of any local authority in Scotland.
Average arrears per tenant are also lower than elsewhere in Scotland.
However, rent arrears keep creeping up. In early 2019 they sat at just under £2 million but debts have steadily increased throughout the pandemic and beyond.
It adds to the challenging situation for many council tenants, with those living in remote areas also facing higher fuel bills and transport costs.
Highland councillors recently agreed a range of measures to support people affected by the cost of living crisis.
This includes a payment of £145 to each household in receipt of council tax reduction, and funding for specialist energy advisers in partnership with AliEnergy.
The council report states: “Officers remain supportive and sympathetic to all tenants facing financial hardship at this time and officers continue to signpost tenants to partner services who can provide specialist advice relating to income maximisation and benefits uptake.”
Councillors will consider the full housing performance report at the property committee tomorrow (Thursday).
