Agenda item

Report by Portfolio Holder for Housing and Landlord Services to provide a clear delivery plan and to set a five-year capital programme.

Cabinet

1)    ENDORSED the HRA Asset Management Plan, and;

2)    RECOMMENDED to Council that the HRA Asset Management Plan and associated action plan be approved and is used to inform the revenue and capital budget proposals for 2023/24.

The Director for Housing and Communities (Deputy Chief Executive), Michelle Howard, introduced the HRA Asset Management Plan 2023 – 2028, the purpose of the plan is to provide a clear delivery plan based on the recommendations in the HRS Business Plan and set a five-year capital programme. Mrs Howard explained that the plan placed an emphasis on decent and safe homes, was informed by tenant feedback on priorities and was underpinned by detailed stock condition data for over 90% council homes.

The Director stated this was an important piece of work and she highlighted certain areas of the report, such as the acceleration of the replacement of Storage Heaters in all properties.

She said that they had engaged the support of Savills, who are a sector specialist to check and validate the plan and a summary feedback report will be included with the report when presented to Council.

The Director reported that the service is confident that, despite high financial uncertainty, the HRA is still considered sustainable, although the rent ceiling the government is proposing could have an impact on this. She is positive that this is a robust plan, and that the Council will be able to deliver it.

The Portfolio Holder for Housing and Landlord Services, Councillor Ronan Browne, said that this report shows that we are in touch with the communities as we are putting the needs of tenants as the highest priority. The plan also aims to help tenants to save money with the acceleration of the replacement of storage heaters and replacement windows to improve the energy efficiency of homes. He praised the team for the number of properties that they had gained access to, to compile the stock condition survey, noting that it is an excellent figure in comparison with other councils. Councillor Browne added that the Council needs to be committed to improving our housing stock.

Councillor Browne said he has written to both Michael Gove and the local MP regarding the proposed ceiling on rent that has been proposed and the detrimental effect a cap could have on the funding needed to improve and provide social housing.

Councillor Browne thanked the Senior Corporate Policy officer for all his hard work in supporting the team and thanked all the officers that have been involved in developing the Asset Management Plan. He also thanked the Scrutiny Committee as they have played a big part in a lot of the work that is being carried out.

The Leader also thanked the Scrutiny Committee, the officer team, and the Portfolio Holder, Councillor Ronan Browne.  He said he had supported Councillor Browne’s letter to Michael Gove and was confident that he would get a response from him.

Cabinet

1)    ENDORSED the HRA Asset Management Plan, and;

2)    RECOMMENDED to Council that the HRA Asset Management Plan and associated action plan be approved and is used to inform the revenue and capital budget proposals for 2023/24.

Reason for Recommendations:

The Asset Management Plan will support the Council to achieve its commitments to deliver high quality council homes across Melton and to manage its available finances and associated capital investment plans effectively.

The Asset Management Plan provides a clear plan through which recommendations from the HRA Business Plan will be implemented.

The Council has made significant improvements to its housing and landlord services and whilst it is still on its housing improvement journey, is ready to transition from delivery of the Housing Improvement Plan to a more proactive, assurance led approach.

The Asset Management Plan is a significant programme of work for the Council. It marks another a key transitional step in how the Council manages its homes and the evidence led investments it makes to ensure homes are fit for the future.

It is also important to note that the Asset Management Plan has been developed at a continuing time of significant regulatory and financial change for the housing sector. The ability to review and respond to this changing context in a planned and managed way is key to the way in which the Council manages its Housing Revenue Account. This is particularly important given the uncertainty relating the recent Government consultation on a rent ceiling between 1st April 2023 and 31st March 2024, the outcome of which is awaited.