The rent increase was agreed by elected members in January 2025 as part of a three-year rent strategy, following a formal consultation with tenants in late 2024. Tenants were asked to choose between different options for how rents would rise over three years, with their preferred option adopted by the council last year.

A review was carried out, which confirmed that the increase is needed to meet rising costs and to fund repairs, safety works and deliver new homes.

The proposed Housing Investment Programme would see £239.9m invested between 2026 and 2031 to maintain existing homes, improve energy efficiency and increase the supply of affordable housing. Around 27% of the total programme would be spent on building new council homes and buying back former council properties, helping to increase the number of affordable homes across the Falkirk Council area.

Falkirk Council currently manages around 17,000 homes.

The previously agreed 9% rent increase would raise the average weekly rent from £86.14 to £93.89, an average increase of £7.75 a week. In 2025-26, Falkirk Council had the 7th lowest rent amongst all Scottish local authorities.

More than half of council tenants are protected from rent increases through Housing Benefit or Universal Credit. Around 56% of tenants receive full or partial help with their housing costs, meaning the increase will be covered for those on the lowest incomes.

Alongside rents, the report also proposes a simplified charge for lock-up garages. From April 2026, all lock-ups would be charged £9.29 per week. Most current renters would pay less than they would under the existing system.

The investment programme would build on recent housing delivery across the area. During 2024-25, 123 new affordable homes were completed, including 69 new council homes and 49 homes bought back into council ownership. A further 111 homes at Woodend Farm in Hallglen are due to be completed in January 2026, with another 137 homes planned at the former Denny High School site.

Investment would also continue in existing homes, including windows, insulation, heating and major repairs, to make properties safer, warmer and more cost effective to run. 

Kenny Gillespie, head of communities, innovation and housing, said: “The rent increase agreed last year allows us to keep council housing financially stable while continuing to invest in homes. It helps pay for day-to-day repairs, major safety works and new affordable council housing, while making sure we meet all legal requirements for the homes we provide.

“At the same time, we are very aware of the pressures many households are under. That is why we use affordability checks, provide income and debt advice and make sure tenants who are entitled to support receive it.”

Read the report here.