Issue - meetings

Report of the Cabinet Member for Finance and Assets

The Cabinet Member for Finance and Assets began by saying that the incentives and opportunities which made Arms’ Length Management Organisations (ALMOs) so attractive in the early 2000s have faded over time, which is why Cheltenham Borough Homes has been welcomed back to Cheltenham Borough Council the last year. This not only ensures more joined-up working, but also offers a launch pad to deliver the ambitious social housing strategy that our town deserves.   She was happy to present the first HRA budget to be created and delivered in house, and went on to highlight the following:

-       the budget delivers the right number and mix of social housing in Cheltenham, where rents are high and home ownership increasingly out of reach for many families; this is a constant challenge, with demand growing every day;

-       despite enormous challenges, CBC doesn’t shy away from doing the right thing, from setting aside £0.75m to support fire safety improvements, to addressing both the climate emergency and cost of living crisis head on with bold decarbonisation programmes to make homes not only more sustainable but also warmer, safer and cheaper to live in;

-       another challenge is tackling voids – properties unfit to be lived in – with action plans to bring them back into use or, where appropriate, dispose of them to invest in more safe, clean homes;

-       former Councillor Max Wilkinson set an ambitious council budget of £180m to be spent on social housing over the lifetime of the Golden Valley development, and this HRA is a serious step towards that goal, undertaking to invest £40m in existing homes and new acquisitions. Although the costs are eye-watering, the human cost of inaction is far greater.

She concluded that it is clear that CBC has the ambition and the plan and, with the help of Full Council, can deliver on its vision. 

The Cabinet Member for Major Development and Housing Delivery seconded the HRA Budget and reserved the right to speak.

There were no questions, and the Green Party had no further comments.

In debate, Members made the following points:

-       this is a great report and highlights the fact that tenants rather than bricks and mortar are at the heart of everything – their involvement, influence and ideas; it is wonderful that both the tenants panel and leaseholder panel are so active and represented on the Housing Cabinet Committee, and that there is money available to help them achieve and be part of the decision-making process;

-       with CBH now back in house, we are starting to see an increase in the provision of social housing in the town -  at Monkscroft, Swindon Road, and West Cheltenham. This is the most important thing the council can do.

In seconding the HRA budget proposals, the Cabinet Member for Major Development and Housing Delivery agreed that this budget sets a foundation to continue all the of CBH’s good work in housing.  He added, however, that we should not forget the national blight of  ...  view the full minutes text for item 10

Report of Cabinet Member for Finance and Assets

To follow as a supplement

RESOLVED THAT:  Cabinet recommends that Council:

1.            Approves the final HRA budget proposals for 2025/26 shown at Appendix 2;

2.            Approves a rent increase of 2.7% for social rent homes, affordable homes and shared ownership homes and changes to other rents and charges as detailed within this report;

3.            Approves the HRA capital programme as shown at Appendix 3 and the detailed capital programme in Appendix 4;

4.            Notes the revised HRA forecast for 2024/25 and impact on the HRA balance.

The Cabinet Member for Finance and Assets gave a brief introduction to her report, which she said would be discussed in more detail at the meeting of Full Council on Friday.  She said this is an exciting report – the first HRA budget since housing services were brought back in house – and it is good to be working with the former ALMO on ways to invest in Cheltenham’s future and save costs.  She asked Members to note the significant investment in homes, in particular the securing of additional council homes which are desperately needed throughout the country.  The budget also includes investment in fire safety measures and decarbonisation to ensure warmer, cheaper homes, and is part of an ambitious strategy to come.   

The Cabinet Member for Housing and Customer Services thanked the Cabinet Member for Finance and Assets for an excellent report, commenting on how good it is to have housing services back in CBC.  She welcomed the plans to build more homes, providing more Cheltenham residents with decent, warm and comfortable places to live, and was especially pleased that many of the new homes will be built in her ward of Swindon Village.  Looking at the homelessness figures, she noted that Cheltenham figures are lower than elsewhere in the county, and was grateful for the excellent work the council does to provide a safe space and a home for people to look forward to.

The Cabinet Member for Major Development and Housing Delivery agreed, saying that he is always amazed at the mind-boggling amount of money and what the council does with it.  He was pleased that the council is still investing and doing everything it can for residents during the housing crisis, but saddened by the homelessness figures, commenting that during Covid, accommodation was found for homeless people but they are now back on the streets.

RESOLVED THAT:  Cabinet recommends that Council:

1.            Approves the final HRA budget proposals for 2025/26 shown at Appendix 2;

2.            Approves a rent increase of 2.7% for social rent homes, affordable homes and shared ownership homes and changes to other rents and charges as detailed within this report;

3.            Approves the HRA capital programme as shown at Appendix 3 and the detailed capital programme in Appendix 4;

4.            Notes the revised HRA forecast for 2024/25 and impact on the HRA balance.