Update - Cabinet
Housing Revenue Account: Business Plan and Budgets 2021/22 (Decision: 110553) PDF 747 KB
Additional documents:
Minutes:
Councillor Johnson introduced the report and stated that this updated the HRA 30 year business plan to ensure that there was a sufficient income to pay for services. He stated that the proposed increase in rent would help to maintain the current level of service, and would ensure all residents lived in good quality housing. He outlined that the projects in Claudian Way and the Tops Club had now been finished, and the Calcutta Road project was almost finished. He added that the HRA New Build project, using return on right to buy receipts would increase the council’s housing stock by 70 homes. He explained that the 1.5% proposed rent increase would lead to £462,000 additional monies for the HRA, which would be used to continue the Council’s statutory duties, as well undertaking projects residents had wanted during the consultation survey, which included the external decoration programme. He stated that the rent increase would equate to an average increase of £1.35 per week for residents, but would be covered by Universal Credit and housing benefit for those residents who were on it. He added that the money would also be used to help manage fire safety, tower block refurbishment and carbon neutral properties.
The Leader thanked Councillor Johnson for his report and highlighted that the proposed increase in rent would help maintain the current service level, and would provide, safe and secure housing for tenants. He stated that some tenants still lived in poor quality, old housing stock, which would need investment to keep up with modern lifestyles, such as working and teaching from home, which put a strain on older houses. He explained that he was aware of some residents with damp and mould issues, which would be tackled through investment. He added that plans were currently in place to increase the number of council houses in the future, and the housing team were currently looking at alternative buildings, which would require less maintenance and repairs.
Councillor Redsell added that she had received feedback from residents near the new Chadwell housing site, who had felt that the new accommodation looked lovely.
RESOLVED: That Cabinet:
1. Agreed the changes in the base budget for 2021/22.
2. Agreed an increase in domestic rent of 1.50% from 5 April 2021, in line with the 30-year HRA business plan.
3. Agreed the increase in service charges to reflect the costs of running each service, in line with the 30-year HRA business plan, from 5 April 2021 (detailed in table 5).
4. Agreed the charges for garage rents (paragraph 3.10).
5. Considered the recommendation made by the Housing Overview and Scrutiny Committee set out in section 7.
Reason for decision: as outlined in report.
This decision is subject to call-in.
Consultation has concluded