The budget was approved at a council meeting on 9 June.
The fund will be spent on the modernisation of existing council housing stock, the refurbishment of properties acquired via the open market and improving energy efficiency.
The council’s programme of disabled adaptations will also continue to assist people with mobility issues to live safely in the community.
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Councillor Norman Hampshire said: "The final planned programme reflects feedback received following consultation with our tenants and their identified top priorities of bathroom upgrades, energy efficiency improvements and kitchen upgrades are all included in this year’s works."
Councillor Hampshire said the number of bathroom upgrades planned for 2015/16 is almost double the amount carried out last year from 262 to approximately 500.
He added: "Other improvements including central heating modernisation and energy efficiency works such as cavity wall and loft insulation will greatly help tenants reduce fuel costs."
Mark Ormiston, Chair of the East Lothian Tenants and Residents Panel, said: "We are very pleased that the council have taken tenants’ views into account following the recent rent increase consultation.
"It’s great that more people will receive new bathrooms this year."
(LM/MH)
