THE lowest rent rise for many years was announced by West Devon Homes this week.

On average the borough's 1,400 tenants will see their property rentals increase by less than two per cent next year.

The announcement coincides with West Devon Homes' first birthday following the transfer of housing from the borough council.

Stuart Davies, chief executive of the housing company, said: 'We came into being as a direct result of tenants showing their confidence in West Devon Homes.

'Keeping rent rises to a minimum is important because it shows that tenants can trust the company to keep its promises.'

He said tenants who transferred with the houses in February 1999 will be asked for a 1.8 per cent increase in rent in April — which amounts to 85p per week for a typical two bedroom house.

'The good news doesn't stop there,' said Mr Davies.

'Service charges to elderly residents with on- site support will only increase by 1.8 per cent in the coming year, whilst garage rents will be held at 1999 levels.'

Margaret Tucker, tenant and chairman of West Devon Homes housing committee, said: 'I am really pleased to see such small increases in rent, particularly as West Devon Homes has also doubled the amount of money spent on repairing and improving our homes.'

More than £1.5-million has been ear-marked in the current year to catch up maintenance and improvements on the housing stock. Next year this is set to rise to £2- million when the company carries out further refurbishments, such as installation of double glazing and central heating.