Issue - meetings

To consider the Housing Revenue Account Budget and Housing Public Sector Capital Expenditure Programme and to recommend them to the Council for adoption.

RECOMMENDED:

(a)         that the Housing Revenue Account budget as set out in Appendix 1 of Report Item 7 considered by the Cabinet, as amended by the increase in the contribution to capital supporting the Housing Strategy to £9,091,000,  be agreed;

(b)     that from 3 April 2017 a reduction in rents of 1% from the 2016/17 rent level, in accordance with Government requirements, be agreed;

(c)     that from 3 April 2017 an increase of 1.25% in hostel service charges be agreed;

(d)     that from 3 April 2017 no change in older persons’ accommodation service charges be agreed;

(e)     that from 3 April 2017 no increase in garage rents be agreed; and

(f)      that a 2017/18 Housing Capital Programme of £15.290m, as set out in paragraph 6.1 of Report Item 7 considered by the Cabinet, be agreed.

Members considered the Housing Revenue Account budget, as set out as Appendix 1 to Report Item 7 considered by the Cabinet, and the Housing Public Sector capital expenditure programme for 2017/18.  This was the sixth year of the HRA self-financing system, with the first £4.1 million instalment of principal repayment of the settlement loan due to be made.

In accordance with the Government’s requirement rents would again be reduced by 1%, with the average weekly rent now being £99.97.  It was however proposed to increase the service charge for hostels in line with inflation to continue to achieve full cost recovery from the users of the service.  No increase was proposed for the service charge for older persons’ accommodation where the inflationary increase had been offset by other budget savings.

A summary of income sources was set out in Section 3, with the proposed expenditure in Section 4 of Report Item 7 considered by the Cabinet.  Of particular note was the proposal to increase the Disabled Facilities budget by £191,000 to £700,000 to meet the anticipated demand.  It was reported orally at the meeting that it had now been concluded that the proposed increase of £56,000 in the reactive maintenance budget, as shown in Appendix 1, was not needed and should be deleted.  This increased the contribution to Capital supporting the Housing Strategy to £9.091 million.

The proposed budget would leave the HRA reserve balance unaltered at £1.043 million.

The proposed capital programme, as set out in section 6 of the report, totalled £15.290 million, reflecting the housing buy-back and development strategy, which was approved by the Cabinet in November 2016 (minute 32 refers)

RECOMMENDED:

(a)         That the Housing Revenue Account budget as set out in Appendix 1 of Report Item 7 considered by the Cabinet, as amended by the increase in the contribution to capital supporting the Housing Strategy to £9,091,000,  be agreed;

(b)     That from 3 April 2017 a reduction in rents of 1% from the 2016/17 rent level, in accordance with Government requirements, be agreed;

(c)     That from 3 April 2017 an increase of 1.25% in hostel service charges be agreed;

(d)     That from 3 April 2017 no change in older persons’ accommodation service charges be agreed;

(e)     That from 3 April 2017 no increase in garage rents be agreed; and

(f)      That a 2017/18 Housing Capital Programme of £15.290m, as set out in paragraph 6.1 of Report Item 7 considered by the Cabinet, be agreed.