TENANTS with River Clyde Homes will see their rent go up at the start of April — but by less than expected.

Payments will rise by 2.3 per cent, which is equivalent to the retail price index (RPI), rather than the planned 3.8 per cent.

The housing association’s board cut the increase because it said that continuing economic problems were still having a significant impact on many tenants.

Jim Aird, RCH’s director of business support, right, said: “The association has rearranged its finances so that it can maintain all current services and introduce the improvements customers want to see.

“To minimise the rent increase while maintaining current services and providing new services for the future is good news.

“We are always listening to what our customers are saying, and are aware many are still experiencing the effects of the financial downturn.” Explaining the rent decrease, Mr Aird said that during a consultation in December 2013, a majority of customers agreed to proposals to increase rents for the next five years by RPI plus 1.5 per cent.

For this year that would have meant a rent hike of 3.8 per cent.

Mr Aird, pictured, added that at another rent consultation just before Christmas, an overwhelming majority of customers backed the board’s proposed reduction.

Charges for services such as caretaking and lock-up garages will meanwhile either increase by 2.3 per cent or to levels agreed with customers previously.

The factoring fee for homeowners will go up by two per cent to cover the cost of running the service.

All customers will be written to at the beginning of March to outline their personal rent and charges for the next 12 months.

l Everyone who took part in the consultation was entered into a prize draw to win a new TV and the winner has been named as Karsten Nilsen of Greenock.