Rents for council houses, garages and gypsy and traveller sites in Powys are all set to rise by 2.7 per cent from 1 April, the maximum increase allowed by the Welsh Government.

At a meeting of Powys County Cabinet on 14 January senior councillors received a report recommending that that the average rent for homes and gypsy pitches will rise from £108.24 to £111.16.

The cost of occupying a gypsy/traveller plot will also go up by 2.7 per cent from £122.09 to £125.39 a week.

Garage rents are also set to increase by 2.7 per cent, with the weekly cost rising from £14.65 to £15.05, also from 1 April.

A council report put before Cabinet members said: “Taking into account the consultation with the TSP (Tenants Scrutiny Panel) the challenges facing the council in managing the impacts of comparatively high inflation and challenges collecting rent, the conclusion is that a rent increase of 2.7 per cent is necessary to make sure that the Housing Service is sustainable and able to provide homes and services for both current and future tenants.

“Such an increase allows rents to remain affordable and is in line with the inflation rate for September 2024.”

The report also explains that the council’s housing service is currently buying up properties in a bid to provide more homes and bring down the current waiting list in Powys.

Despite the garage fee increase, the money made by the council by renting out garages is set to drop from £625,140 this year to £592,370 next year.

This is because “the garage estate is reducing over time as garages are withdrawn from use due to condition and reducing demand,” the report said.

“Wherever practical the intention is to repurpose obsolete garage sites for use as car parking or new homes.”