Issue - meetings

(1)       To consider the HRA budget for 2024/25 as set out in the report;

(2)       To approve the proposed minimum rent increase of 6.5%;

(3)       To approve a garage rent increase of 6.5%;

(4)       To approve the increase in service charges to full cost recovery with the exception of aerial charges which will be frozen until a new contract is negotiated;

(5)       That the tenant hardship fund be topped up to a cap of £0.350m from any surplus reserves generated in year, if required; and

(6)       To consider the proposed HRA Capital Programme for 2024/25 as set out in appendix B.

Councillor Bibby introduced the report which presented the draft Housing Revenue Account (HRA) 30-year Financial Business Plan and the proposed HRA Budget for 2024/25.

The strategic context for this year’s HRA budget setting included the following:

·         Ensure affordability for tenants is at the core of our considerations

·         Continued drive to ensure all service costs are efficient and that value for money can be achieved

·         Ensure the treasury management strategy continues to meet the HRA’s new and ongoing borrowing requirements

·         Setting a balanced budget with a minimum of 3% surplus revenue over expenditure

·         Maximisation of revenue efficiencies to minimise the borrowing required to meet Welsh Housing Quality Standards (WHQS)

·         Delivery of new build Council housing

·         Continued drive to ensure homes are Energy Efficient and explore Decarbonisation

·         Provision of adequate ongoing capital to maintain WHQS levels.

The Chief Officer (Housing and Communities) explained that the report had been submitted to Community and Housing Overview and Scrutiny Committee and feedback was that the service charge for aerials be frozen which was reflected in the Cabinet report and recommendation (d), and that a hardship fund be set up which was reflected in the report recommendation (e).  She added at the Welsh Government (WG) rent cap for social housing was 6.7%, with Flintshire’s proposed increase being 6.5%.  The garage rent increase was also lower than the WG cap.

The Strategic Finance Manager expressed the need to focus on affordability.  WHQS 2 had just been announced which proposed to reduce the carbon emissions from social housing and in doing so, contribute to the Welsh target of Net Zero Carbon.  There was no funding from WG to support that so the Council needed to ensure the HRA could cover the cost of those works.

RESOLVED:

(a)       That the Housing Revenue Account budget for 2024/25 be considered;

(b)       That the proposed minimum rent increase of 6.5% be approved;

(c)        That the garage rent increase of 6.5% be approved;

(d)       That the increase in service charges to full cost recovery with the exception of aerial charges which will be frozen until a new contract is negotiated be approved;

(e)       That the tenant hardship fund be topped up to a cap of £0.350m from any surplus reserves generated in year, if required; and

(f)        That the proposed Housing Revenue Account Capital Programme for 2024/25 be approved.