Issue - meetings

Report of the Cabinet Member Finance- to follow

RESOLVED THAT

1.    The revised HRA forecast for 2018/19 be noted.

2.    The interim HRA budget proposals for 2019/20 (shown at Appendix 2) be approved for consultation including a proposed rent decrease of 1% and changes to other rents and charges as detailed within the report.

3.    The proposed HRA capital programme for 2019/20 as shown at Appendix 3 be approved.

4.    Authority be delegated to the Executive Director Finance and Assets, in consultation with the Cabinet Member for Finance, to determine and approve any additional material that may be needed to support the presentation of the interim budget proposals for consultation.

5.    Consultation responses be sought by 31^st January 2019.

The Cabinet Member Finance introduced the report and explained that there had been significant changes in Government Housing Policy during the year, most notably the abolition of the HRA debt cap. This, together with the certainty on rent policy until 2025, would have a positive impact on HRA resources enabling the Council to increase investment in new build and stock improvements.

Rents would again be reduced by 1% in April 2019 being the final year of the four year policy that commenced in April 2016 and would finish in March 2020.The Government had previously confirmed that rent policy would then revert back to the previous guidelines of allowing annual increases of up to CPI + 1% per annum for the following 5 years before a further review.

The  Cabinet Member reported that the 30 year HRA Business Plan had been updated to reflect:-

·         Anticipated revenue outturn for 2018/19.

·         The current development programme for the period from April 2019 to March 2022 which would deliver 105 new build units at a total cost of £14.83m.

·         Contingency budgets for market acquisitions and the purchase of new affordable units on sites where Section 106 planning agreements were in place.

·         A refreshed assessment of the 30 year “need to spend” on existing stock for both capital and revenue expenditure. This included a new showers programme which had been identified as one of the most popular improvements requested during both the 2017 survey of tenants and residents and the voids review undertaken by the tenant services improvement panel

The Cabinet Member paid tribute to CBH’s balanced approach to this budget which meant it would still be able to maintain existing service levels, retain the decent homes standard, continue delivery of the major windows and doors replacement, complete the new build programme, and deliver the new showers programme.

She wished to put on record her thanks to CBH’s finance team for bringing forward this budget.

The Leader reiterated his thanks to CBH referring to the changing policy of rent increases and decreases which it had well managed. The abolition of the debt cap meant there would be more opportunities going forward. 

RESOLVED THAT

1.    The revised HRA forecast for 2018/19 be noted.

2.    The interim HRA budget proposals for 2019/20 (shown at Appendix 2) be approved for consultation including a proposed rent decrease of 1% and changes to other rents and charges as detailed within the report.

3.    The proposed HRA capital programme for 2019/20 as shown at Appendix 3 be approved.

4.    Authority be delegated to the Executive Director Finance and Assets, in consultation with the Cabinet Member for Finance, to determine and approve any additional material that may be needed to support the presentation of the interim budget proposals for consultation.

5.    Consultation responses be sought by 31^st January 2019.