The council is to debate the proposal detailed in an internal report at a meeting on Monday.

The document recommends increasing the rents for all council tenants by 7.7%, which is within the Government’s suggested rate.

The authority says changes in government policy and nationwide price pressures means Lambeth Council must increase its rents.

If it doesn’t it says the council would fall into budget deficit.

This means it would not then have the funds it needs to manage and maintain its existing homes under its 30-year Business Plan.