Decision details

RESOLVED:

That Cabinet recommend that Council approves:

1.     that from 06 April 2026, an increase in dwelling rents of 4.8% from the 2025/26 weekly rent level, in accordance with Government guidelines, be agreed;

2.     that from 06 April 2026, an increase in garage rents of 4.8% from the 2025/26 weekly rent level be agreed;

3.     that from 06 April 2026, shared ownership property rents be increased in line with the applicable rent review provisions within each lease. For the eight properties held under leases allowing RPI+0.5%, an increase of 5.00% from the 2025/26 weekly rent level be agreed, for all properties which are subject to CPI+1% under the current model lease, an increase of 4.8% be agreed and the weekly rent of one property sold under previous legislation be agreed to increase by 4.8%;

4.     that from 06 April 2026 Service Charges will continue to reflect actual charges;

5.     that the HRA budget, as set out in Appendix 1 of this report, be agreed; and

6.     that a Housing Capital Programme to 2028/29, as set out in Appendix 4, be agreed.

KEY DECISION:

Report to Cabinet and Council.

PORTFOLIO:

Housing and Homelessness

ALTERNATIVE OPTIONS CONSIDERED/REJECTED:

As set out in the report.

DECLARATIONS OF INTEREST:

None.

DISCUSSION:

The Portfolio Holder for Housing and Homelessness presented the report. He was pleased that the proposed Housing and Revenue Account (HRA) budget for 2026/27 was a balanced budget. He explained that the budget underpinned the corporate plan priorities and was supported by a 30-year business plan forecast.  

He highlighted several points of significance within the report. These included:  

• A £19 million spend on the maintenance of tenants’ properties in 2026/2027. 

• A £15.2 million spend on the continued development and acquisition of new Council dwellings.  

• There would be rent increases in order to achieve a balanced budget, however these were in line with the Government’s guidelines. 

• A £1.3 million budget was proposed to ensure continued and improved fire safety compliance. 

• A £3 million budget was proposed for Home Energy Improvement programmes.  

The Assistant Director of Finance provided further information on the report. He explained in further detail the recommendations before Cabinet, including increases to rent and service charges plus the approval of the HRA Capital Programme. 

He explained that, as required, the HRA budget was balanced and was also supported by the 30-year business plan. The proposed HRA budget prudently maintained the HRA reserve of £1 million. Cabinet heard that there was sufficient capacity within the budget to meet statutory, regulatory and landlord obligations. It was reported that rents were being increased by 4.8% in line with Government policy. The enhanced level of income would enable the Council to continue to invest in its existing housing stock. The Assistant Director for Finance summarised the various elements of the budget, including the Capital Programme. The report had been considered by the Tenant Involvement Group and the Council’s Housing and Communities Overview and Scrutiny Panel. 

The Assistant Director of Finance explained that there were certain corrections to be made in relation to the report. Paragraph 34 should state a figure of £824,000, paragraph 38 should refer to paragraphs 26-28 rather than section 3, and paragraph 56 should contain reference to paragraphs 33 and 34. 

Overall, the proposed budget was financially sustainable, protects tenants’ safety and service standards, enables continued delivery of new affordable homes, aligns with national policy and the Council’s corporate priorities. 

The Portfolio Holder for Finance and Corporate commented on the Maintenance Programme, the level of funding that the Council puts into it and the subsequent high standard of housing provision. He hoped that the new authority following Local Government Reorganisation (LGR), would meet the challenge of continuing the high standard of service provided by NFDC. 

The Portfolio Holder for Housing and Homelessness answered a question from a non-executive member on EPC Energy Efficiency targets. He explained that despite the challenging nature of the Government’s ever-changing EPC ‘C’ rating criteria, the Council was on  target to meet required standards.