Common use of Fixed percentage increase Clause in Contracts

Fixed percentage increase. 9. Example 1. In this example, the fixed term tenancy is for three years and the rent is agreed at £300 per week for the first year with an option for the landlord to increase the rent by no more than 1.4% in each of the subsequent two years of the fixed term. The tenancy commences on 1 May 2020. If the landlord carries out a review and increases the rent by the maximum amount each year, the rent which will be payable each year will be (rounded to the nearest xxxxx): Year 1 (from 1 May 2020) Year 2 (from 1 May 2021) Year 3 (from 1 May 2022) £300 per week £300 x 1.014 = £304.20 per week £304.20 x 1.014% = £308.46 per week