Chair Rent Increase - Response Letter

A response letter for when your chair rent is being increased, with options to accept, negotiate, or reject.

Chair Rent Increase - Response Letter

Disclaimer: This is a template - always read the linked guide first. BeautyKiln gives general information, not legal advice.

From: [YOUR FULL NAME] Date: [DATE]

To: [SALON OWNER'S FULL NAME] Business: [SALON NAME] Address: [SALON ADDRESS]

Dear [SALON OWNER'S NAME],

Thank you for your letter/email/message dated [DATE OF THEIR NOTICE] regarding the proposed increase to my chair rent.

I've had a chance to consider the increase and I'd like to discuss it with you. I've set out my thoughts below.

Current and proposed rent:

My contract terms:

My current licence agreement / contract (signed on [CONTRACT DATE]) states:

• Rent review clause: [WHAT DOES YOUR CONTRACT SAY? e.g., "Rent may be reviewed annually with 30 days' written notice" / "No rent review clause exists" / "Rent is fixed for 12 months"]
• Notice period for changes: [WHAT NOTICE IS REQUIRED? e.g., "30 days" / "not specified"]
• Contract end date: [FIXED TERM END DATE or "rolling / no end date"]

[CHOOSE ONE OF THE THREE OPTIONS BELOW - DELETE THE OTHERS:]

OPTION A: I ACCEPT THE INCREASE

After consideration, I am happy to accept the rent increase to £[NEW AMOUNT] per week, effective from [DATE].

However, I would like to request the following:

1. Written confirmation of the new rent amount and the date it takes effect
2. An updated licence agreement reflecting the change (or a signed addendum to the existing agreement)
3. Confirmation of what's included at the new rate - I want to make sure the facilities and provisions remain the same, specifically:
   • [LIST WHAT YOU CURRENTLY GET: e.g., "use of backwash, towels provided, product supply, Wi-Fi, utilities, reception/booking, parking space, storage"]

Please confirm the above in writing and I'll be happy to proceed.

OPTION B: I WANT TO NEGOTIATE

I appreciate that costs go up and I understand you may need to review the rent. However, I have some concerns about the proposed increase and I'd like to discuss it with you.

My concerns:

1. The size of the increase: A jump from £[CURRENT] to £[PROPOSED] represents a [PERCENTAGE]% increase. This is [significantly above inflation / more than I can absorb given my current client numbers / not in line with what other salons in the area are charging].

2. Justification: I would appreciate understanding what has driven this increase. Has there been a specific cost increase (rent, utilities, insurance) that I can see evidence of?

3. Market rate: From my research, chair rent in [YOUR AREA/TOWN] typically ranges from £[LOW] to £[HIGH] per week for a comparable station. The proposed rate of £[PROPOSED] is [at the top of / above] this range.

4. What I receive for my rent: [If facilities have declined: "Some of the facilities have not been maintained as I'd expect - specifically [LIST ISSUES: e.g., broken backwash, no hot water last month, reception not staffing the desk properly, car park in poor condition]."]

My counter-proposal:

I'd like to suggest one of the following:

• A smaller increase to £[YOUR PROPOSED AMOUNT] per week (a [PERCENTAGE]% increase rather than [THEIR PERCENTAGE]%)
• The full increase, but phased: £[MID AMOUNT] from [DATE] and £[FULL AMOUNT] from [DATE 3-6 MONTHS LATER]
• The full increase, but with additional provisions: [e.g., "products included in the rent", "guaranteed prime station", "improved facilities"]

I'd welcome a conversation about this. Could we meet on [SUGGEST DATE/TIME]?

OPTION C: I REJECT THE INCREASE

I have considered the proposed increase carefully and I am not able to accept it.

My reasons:

1. [STATE YOUR REASONS - e.g., "The increase is above market rate for the area", "My client base does not support this level of rent", "The facilities do not justify the increase", "The notice period in my contract has not been met"]

2. [IF RELEVANT: "My contract states that rent is fixed until [DATE] / that changes require [X] weeks' notice. The proposed increase does not comply with these terms."]

My position:

I intend to continue paying my current rent of £[CURRENT AMOUNT] per week as agreed in my licence agreement dated [DATE]. If you wish to change the terms, I believe this requires [mutual agreement / proper notice as set out in the contract].

If you do not accept this, please let me know in writing what you propose to do, and I will take advice on my position.

I look forward to hearing from you.

Yours sincerely,

[YOUR FULL NAME] [YOUR PHONE NUMBER] [YOUR EMAIL ADDRESS]

Notes for you (delete before sending):

• Choose Option A, B, or C and delete the others
• Check your contract carefully before responding - the rent review clause (or lack of one) is key
• If your contract has a fixed term and no rent review clause, the landlord may not be able to increase rent until the term ends
• If you don't have a written contract, you're in a weaker position but you still have rights based on the verbal agreement
• Research local chair rent rates before negotiating - check salon job ads, ask other renters, look at salon rental listings
• Keep everything in writing - even if you discuss it in person, follow up with an email confirming what was agreed
• If you reject the increase, they may give you notice to leave - check your contract for the notice period
• Get advice from the NHBF (National Hair and Beauty Federation) if you're a member - they have a legal helpline