Agenda item

That the Committee note the revised Business Plan and that Flintshire is now able to achieve the Wales Housing Quality Standard by 2020/21.

The Director of Community Services presented the final revised Housing Revenue Account (HRA) Business Plan which had been submitted to the Welsh Government (WG).  There were two potential options to achieve the Welsh Housing Quality Standard (WHQS) either by securing a 2022/23 deadline with no borrowing or for a 2020/21 deadline with prudential borrowing.  In detailing the background in the report, he referred to the team effort on this matter including work undertaken by Rachael Corbelli on the business plan.

Following the request by WG for all Councils to review their original requests for borrowing capacity in light of the changes arising from the HRA Subsidy review, Flintshire had reduced this figure from £50m to £45m.  The Head of Housing explained that although a settlement of £1.85bn had been reached by WG on the ‘buy out’ figure to be divided equitably amongst councils, the final outcome was not yet known, however it was hoped that this would be positive in revenue terms for Flintshire.

The Director reported that a significant amount of work had been undertaken, led by senior Members and officers, to demonstrate achievement of the WHQS within the timescale.  The ending of the HRA Subsidy system was likely to be a further benefit although the extent of this was yet to be confirmed.

In response to questions from Councillor George Hardcastle on boilers and smoke alarms, the Director explained that the decision to extend the expected life cycles of these appliances was a viable approach also taken by other Councils and had been borne out of practical experience.  Boilers would continue to be checked annually and the longer life cycle meant that unnecessary replacement was avoided where the appliance remained in working order.  The Head of Housing spoke of the positive financial impact of this, including labour costs, and confirmed that boilers which failed would be replaced.

Councillor Gareth Roberts felt that this change could be justified if improved boilers were used with improved running costs.  In response to comments, the Head of Housing provided clarity on non-traditional stock.

Councillor Rosetta Dolphin asked about the frequency of smoke alarm testing and whether testing on smoke alarms and boilers was undertaken at the same time.  The Head of Housing said that the Council had a legal responsibility to test electrical appliances within a set timeframe and would provide a separate response by email.

When asked about the potential to use the borrowing from WG to build houses, the Director advised that the amount requested would allow some flexibility but that this would be reliant on the business plan.  The Cabinet Member for Housing said that this tied in with the current review of HRA land and garage sites.  The Head of Housing said that any proposals to develop would need to take into account the necessary skills to take this forward, however the priority was to demonstrate to WG that the WHQS could be achieved by 2020.

In response to a question on the removal of the Right to Buy (RTB) option on housing, the Cabinet Member for Housing said that evidence was required on why a particular area would need the exemption.  The Head of Housing said that any developments made through the HRA would include social housing units and that discussions would need to be held with WG on the rules to restrict RTB.

Councillor Ray Hughes welcomed the report and asked that Members’ thanks be passed on to all those involved.  He spoke of the need for the Council to re-build where there were pockets of land available, particularly to provide options to those affected by the Bedroom Tax.

Whilst Councillor Peter Curtis hoped for a positive outcome, he recognised the priority to achieve the WHQS and said that options must be realistic in view of the current financial climate.

In response to comments on the potential to build houses, the Head of Housing stressed that any borrowing costs would be met by rental income.

The Chair suggested that Carl Sergeant AM be invited to a future meeting of the Committee.  In response to a query on Stock Condition Surveys, the Head of Housing advised that appointment interviews were scheduled for the following week, with results expected before Christmas.  She provided an explanation on the use of data from the surveys, in line with practice in other councils.

On the Capital Programme, the Head of Housing referred to the review of the Asset Management Strategy now taking place to meet the 2020 target.  A report with proposals and options on the Asset Management Strategy would be brought to a future meeting for Members’ consideration.

RESOLVED:

That the Committee note the revised Business Plan and that Flintshire is now able to achieve the Wales Housing Quality Standard by 2020/21.