Agenda item

That the Housing Revenue Account (HRA) 30 Year Financial Business Plan be approved.

The Chief Officer (Housing and Assets) and the Strategic Finance Manager – Commercial and Housing, introduced the Housing Revenue Account (HRA) 30 Year Financial Business Plan report, which included proposed rent increases which had been considered at Cabinet on 21^st January 2020.

            A presentation was delivered which covered:

·         30 year Business Plan;

·         Welsh Government Rent Policy 2020/21;

·         Proposed Rent Uplift 2020/21;

·         Other Income;

·         Service Charges 2020/21;

·         Revenue Efficiencies;

·         Revenue Pressures;

·         Capital Programme Delivery;

·         Draft Capital Programme 2020/21;

·         HRA Capital Funding 2020/21;

·         HRA – Considering Value for Money; and

·         Reserves

Councillor Attridge moved approval of the recommendation.  He provided details of a comment he had made at Community and Enterprise Overview and Scrutiny Committee on the cumulative effect of rent increases and other service charges.  For tenants who were struggling, including residents in sheltered housing, assurance had been given from the Chief Officer that those charges were covered by housing benefits.  A lot of work had been done over recent years to ensure that tenants were getting value for money which was pleasing to see.

Councillor Dave Hughes seconded the recommendation and said he was very proud of what had been achieved and officers would seek to build on the current levels of ambition. The rent policy had been set by WG for 5 years, which was the maximum amount that could be charged and landlords should consider value for money alongside affordability for tenants, taking into account the full cost of living in a property as part of their rationale of setting rent increases. 

Councillor Peers commented on the 30 Year Financial Business Plan Summary that was appended to the report and said in 2020/21, expenditure was 65% of the income, increasing in year 10 to 67% of income.  He asked how this related to the Welsh average.  The Chief Officer said that when that information became available it would be shared with Members.

In response to a question from Councillor Carver, the Finance Manager confirmed that the transitional uplift to tenants who were currently under target rent was £2 per week as it had been in previous years.

Councillor Richard Jones commented on the many people who struggled with car parking at sheltered accommodation properties as it was not always elderly residents that occupied such premises.  He suggested that investment in car parking should be considered.

The Chief Officer said that a review of sheltered accommodation was taking place, including in the wider context.  Car parking generally was also being dealt with under the WHQS and a detailed evaluation matrix had been agreed at Community and Enterprise Overview and Scrutiny Committee as to what was the need and how parking could be accommodated in various places.

In response to a comment from Councillor Hinds on water charges now being billed directly to residents, the Chief Officer explained that this had been a specific requirement of the water company and was out of the Councils control.  Councillor Gay said she had attended a drop in session and was informed by the water company that by billing tenants direct, it would enable residents to access help via a number of schemes; if billing was to continue through the local authority those options would not be available to tenants.

Councillors Palmer and Rosetta Dolphin welcomed the works undertaken on Council properties as part of the WHQS.

On car parking, Councillor Ellis asked if colleagues in Housing and Highways worked together, citing an example of where she had been told a scheme did not score high enough for residents only car parking spaces when the road in question was adjacent to a school and was causing issues every day. 

On being put to the vote the recommendation was carried.

RESOLVED:

That the Housing Revenue Account (HRA) 30 Year Financial Business Plan be approved.