Issue - meetings

To consider a joint report from the Director for Digital, Sustainability & Resources and the Director for Communities, a copy is attached as item 4.

The Executive had before it a joint report from the Director for Digital, Sustainability and Resources and the Director for Communities, attached to these minutes as item 4.

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 2021/22 as set out in the report. The report also considered some of the strategic challenges facing the Housing Revenue Account over the next few years and the impact that these would have over the next 30 years.

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. However, the Council was now permitted to increase rents on social rent and affordable 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 proposed by Councillor Neil Parkin, seconded by Councillor Carson Albury and unanimously supported.

Decision

The Executive:

(i)              approved the Housing Revenue Account estimates for 2021/22 as set out in Appendix 1;

(ii)            approved that the rents of Council Dwellings would increase by 1.5%, increasing the average council dwelling rent by £1.39 to £94.00 per week (average rent currently £92.61 per week);

(iii)           determined the level of associated rents and charges with effect from week one of 2021/22:

(a)            Rents of Council garages – agreed an increase of 1.5% to £10.73. (currently £10.57 per week, plus VAT for non-Council tenants);

(b)            Service Charges - delegated to the Head of Housing and Chief Financial Officer in consultation with the Executive Member for Customer Services, the setting of the service charges;

(iv)           approved the HRA Treasury Management Strategy contained in Appendix 3.

Reason for Decision

To set the rent level for 2021/22

Alternative options considered

As outlined in the report.

Call In

The call in deadline for this decision is Friday 12 February 2021 at 5.00pm.