Decision details

The Cabinet had before it a report from the Director for Sustainability and Resources and the Director for Housing and Resources, copy attached to these minutes as item 6.

The report set out the current and future financial prospects for the Housing Revenue Account and requested that Members agree to set the rent levels and service charges for 2024/25 as set out in the report. The report also considered some of the strategic challenges facing the Housing Revenue Account and the need to maximise income in order to continue to deliver the improvement plan following the self-referral to the social housing regulator.

Members noted that the rent limitation announced in 2015/16 had significantly affected the financial viability of the Housing Revenue Account for the past few years which had been in deficit for five years. However, the Council was now permitted to increase rents on social rent properties by up to the September CPI +1% each year from 2020. It was the Government’s intention that this arrangement should remain in place for a period of at least five years.

The recommendations in the report were unanimously supported.

Decision

1)    That the Housing Revenue Account estimates for 2024/25 as set out in Appendix 1 be approved;

2)    That the rents of council dwellings will increase by 7.7%, increasing the average council dwelling rent by £8.16 to £114.26 per week (average rent currently £106.10 per week, paragraph 6.2) be approved

3)    That the level of associated rents and charges be determined with effect from week one of 2024/25:

4)    Rents of council garages – agree an increase of 6.7% to £13.11. (currently £12.29 per week, plus VAT for non-Council tenants, paragraph 6.6)

5)    Service charges - delegate to the Assistant Director for Housing and Homelessness Prevention and Chief Financial Officer in consultation with the cabinet member for Adur Homes and customer services, the setting of the service charges (paragraph 9.2)

6)    That the HRA Treasury Management Strategy contained in Appendix 3 be approved.

Reason for Decision

To set the rent level for 2024/25.

Alternative options considered

As outlined in the report.

Call In

The call-in deadline for these decisions is Tuesday 13 February 2024 at 5.00pm.