Issue - meetings

A report to provide information on actual expenditure and income incurred on the Housing Revenue Account (HRA) compared to the latest approved budget for the period 1 April 2023 to 30 June 2023 for revenue and capital budgets.

Cabinet:

1)    NOTED the financial position on the HRA at 30 June 2023 and the year-end forecast for both revenue and capital.

2)    APPROVED the increase to the overall value of the HRA capital programme to include £118k for the estimated expenditure on 3 fire damaged properties to be funded from insurance and a virement from another capital programme item.

The Portfolio holder for Corporate Finance, Property and Resources introduced the report the purpose of which was to provide information on actual expenditure and income incurred on the Housing Revenue Account (HRA) compared to the latest approved budget for the period 1 April 2023 – 30 June 2023 for revenue and capital budgets.

The Portfolio holder for Corporate Finance, Property and Resources advised that this was the first report of this financial year on the HRA, the main area of concern are rent arrears which need to be addressed and resources made available to ensure rents are paid. Cabinet and Scrutiny will be keeping an eye on this.

A comment was made that it was good to see an underspend in the repairs budget due to costs being lower than budgeted, rather than budgeted repairs not being done.

Cabinet:

1)    NOTED the financial position on the HRA at 30 June 2023 and the year-end forecast for both revenue and capital.

2)    APPROVED the increase to the overall value of the HRA capital programme to include £118k for the estimated expenditure on 3 fire damaged properties to be funded from insurance and a virement from another capital programme item.

Reasons for Recommendations:

The Council, having set an agreed budget at the start of the financial year, needs to ensure that the delivery of the budget is achieved. Consequently, there is a requirement to regularly monitor progress so that corrective action can be taken when required, which is enhanced with the regular reporting of the financial position.

During this and the previous year the housing stock has been affected by a number of fires in its properties, which require capital works to remedy. The works to the properties are covered by insurance, less a £5k excess per property claim. The increase of £118k will be covered by the insurers to the value of £109k.