Decision details

Introducing the Council’s Housing Revenue Account (HRA) Business Plan 2022 to 2052.  The purpose of the Plan is to set out the Council’s expectations and plans for council homes for the next 30 years and the financial sustainability of the Council’s housing services.

Cabinet:

(1)  ENDORSED the HRA Business Plan 2022 to 2052;

(2)  RECOMMENDED to Council that:

(a)  The Housing Revenue Account (HRA) Business Plan 2022 – 2052 and associated policy recommendations be approved;

(b)  Delegated authority be given to the Director for Housing and Communities in consultation with the Director for Corporate services and the Portfolio Holder for Housing and Landlord Services to review           and update the financial modelling within the HRA Business Plan on an annual basis to reflect the most up to date stock condition data;

(c)   Delegated authority is given to the Director for Housing and Communities in consultation with the Director for Corporate services and Portfolio Holder for Housing and Landlord Services to access the HRA Development and Regeneration Reserve to progress projects and activities in support of the HRA up to a limit of £100k per project and up to a maximum of £500k in any one year subject to the financial viability of the HRA Business plan not being undermined;

(d)  The target working balance of the HRA be revised to £1m with effect from 1 April 2023;

(e)  That the affordability of new borrowing be measured using industry standard indicators, and these be tracked alongside the HRA business plan;

(f)    That the current policy of not providing for the repayment of debt within the HRA be continued in respect of existing and any new borrowing;

(g)  The rent for re-let properties is set to the 5% upward

           tolerance allowed on formula rent;

(h)  That the Director for Housing and Communities is designated as the nominated person with responsibility for compliance with landlord health and safety on behalf of the Council;

(i)    That the Assistant Director for Housing Management is designated as

the nominated person with responsibility for ensuring that the consumer

           standards, as set out by the Social Housing Regulator are met;

(j)    That the following finance principles set out at Section 9.8 are agreed

·       that overhead recharges remain as is with annual uplift for inflation

·       that any growth in management and maintenance costs is met by reductions elsewhere within the HRA

·       that actual rent increases are in line with Government policy to maximise income to the HRA.