Issue - meetings

To approve the Council’s Housing Revenue Account Budget for the Municipal Year 2020/21.

The Cabinet met on 5^th February 2020 to consider the attached report on the Housing Revenue Account – Rents and Charges 2020/21.

Cabinet Minute 66 realting to this report is attached (Pages 139 to 140).

The Council considered (a) a joint report of the Cabinet Member for Housing and Public Safety and the Corporate Director, Communities and Housing, concerning the proposed Housing Revenue Account – Rents and Charges 2020/21, and (b) Minute 66 of the Cabinet (Housing Revenue Account – Rents and Charges 2020/21).

            Councillor Cathy Martyn moved and Councillor Russell Holland seconded:

“That Council approves that:

(1) That the proposed average social rent for Housing Revenue Account (HRA) dwellings for 2020/21 of £81.25 per week (52 week basis), which is an increase of 2.7%, be approved. This will be an average increase of £2.14 per week (on a 52 week basis). The range of increases are shown in paragraph 3.8 of the joint report.
(2) That the Director of Housing be authorised to seek authority from the Secretary of State to extend permission to provide a budget of £200k within the HRA for payments to Council’s tenants under the Discretionary Housing Payments scheme in 2020/21 as detailed at paragraphs 3.23 of the joint report.
(3) That the housing related support charges for 2020/21 and service charges for 2020/21 as outlined in Appendix 2 be approved.
(4) That the leaseholder service charges are set for 2020/21 as shown in Appendix 3 of the joint report be approved.
(5) That based on the proposals within this report, the Housing Revenue Account (HRA) proposed budget 2020/21, shown in Appendix 4, be approved and that the HRA Capital Budget and Funding as shown in Appendix 5 of the joint report be approved.
(6) That the draft 3 year capital projects and planned maintenance programme be approved at an indicative funding level of £15.5m (2019/20 prices) for 2020/21 Appendix 6 of the joint report.
(7) That the Director of Housing be authorised to undertake a new acquisition programme and approve the acquisition programme budget of £4m for 2020/21 in accordance with paragraph 3.19 of the joint report, to include the purchase of 1-4 bedroom properties to help meet priority housing needs arising from homelessness and clients supported by Adult Social Care.
(8) That rents charged on General Fund properties be increased in line with the Government’s Direction on the Rent Standard 2019 also applied to Housing Revenue Account rents. This allows for rent increases of up to the CPI for the September of the preceding financial year, plus 1%. Increases for 2020/21 will therefore be capped at 2.7%. Service charges for General Fund properties, as shown in Appendix 7.
(9) That the charges for Private Sector Leased (PSL) accommodation for those accepted as homeless once published by the Government and as set out in Appendix 7 be approved.
(10) That any underspend or overspend on the 2019/20 Housing Revenue Account be managed through the general revenue reserves.”

            The resolution was put to the vote and declared carried.

The Cabinet Member for Housing and Public Safety along with the Corporate Director, Communities and Housing submitted a joint report setting out the proposed rents, service charges, support charges for 2020/21 and proposed Housing Revenue Account (HRA) budget for 2020/21.

Councillor Martyn introduced the joint report and summarised the different channels the Council had used to promote the consultation among tenants.  However, she drew Cabinet’s attention to the low response rate and the lack of a majority view for either option hence the report was recommending a rent increase. Councillor Martyn informed colleagues about the continued repayment of the HRA debt, the relocation of staff from Waterside to Hillmead, the ongoing consequences of the Government’s decision to impose year-on-year reductions in the levels of rent and how this has affected the volume of repairs and acquisitions undertaken.

Resolved – (1) That Cabinet recommends that Full Council approves the proposed average social rent for Housing Revenue Account (HRA) dwellings for 2020/21 of £81.25 per week (52 week basis), which is an increase of 2.7%, be approved. This will be an average increase of £2.14 per week (on a 52 week basis). The range of increases are shown in paragraph 3.8 of the joint report.

(2) That the Director of Housing be authorised to seek authority from the Secretary of State to extend permission to provide a budget of £200k within the HRA for payments to Council’s tenants under the Discretionary Housing Payments scheme in 2020/21 as detailed at paragraphs 3.23 of the joint report.

(3) That the housing related support charges for 2020/21 and service charges for 2020/21 as outlined in Appendix 2 be approved.

(4) That the leaseholder service charges are set for 2020/21 as shown in Appendix 3 be approved.

(5) That based on the proposals within this report, the Housing Revenue Account (HRA) proposed budget 2020/21, shown in Appendix 4, be approved and that the HRA Capital Budget and Funding as shown in Appendix 5 be approved.

(6) That the draft 3 year capital projects and planned maintenance programme be approved at an indicative funding level of £15.5m (2019/20 prices) for 2020/21 Appendix 6.

(7) That the Director of Housing be authorised to undertake a new acquisition programme and approve the acquisition programme budget of £4m for 2020/21 in accordance with paragraph 3.19 of the joint report, to include the purchase of 1-4 bedroom properties to help meet priority housing needs arising from homelessness and clients supported by Adult Social Care..

(8) That it be approved that rents charged on General Fund properties be increased in line with the Government’s Direction on the Rent Standard 2019 also applied to Housing Revenue Account rents. This allows for rent increases of up to the CPI for the September of the preceding financial year, plus 1%. Increases for 2020/21 will therefore be capped at 2.7%. Service charges for General Fund properties, as shown in Appendix 7.

(9) That the charges for Private Sector Leased (PSL) accommodation for those  ...  view the full minutes text for item 66