Issue - meetings
Housing Revenue Account 2014/2015
Meeting: 11/02/2014 - Cabinet (Item 7)
7 Housing Revenue Account Capital and Revenue Budgets 2014/2015 
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Additional documents:
Minutes:
Background:
This report provided details of the Housing Revenue Account (HRA) revenue and capital budgets for 2014/2015. It also set out details of the proposed rent and service charges levels for 2014/2015.
It was noted that the new ‘self-financing’ regime for the HRA had come into force on 1 April 2012 and the report summarised the proposals for 2014/2015 as they related to: rent, service charges, performance management, expenditure assumptions, housing repairs, borrowing and headroom and new house building.
The Business Support Overview and Scrutiny Committee had considered this report on 4 February 2014. The Committee had supported the recommendations set out in the report and details of the discussion were set out in an addendum report (Supplementary Agenda No. 3). The addendum report also provided details of a budget consultation meeting that had taken place with tenants on 31 January 2014.
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Decision number: |
Decision: |
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22/2014 |
The Cabinet noted the recommendations from the Business Support Overview and Scrutiny Committee and agreed to take account of them. |
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23/2014 |
The Cabinet recommended to Council: (a) The proposed revenue and capital budgets for 2014/2015, inclusive of an average rent increase of £3.13 per week (based upon 50 collection weeks and equating to an average increase of 3.79%); and a rent increase of 3.2% for garages. (b) Service charges for 2014/2015 reflect the full cost incurred in providing that service (excepting the Homes for Independent Living Service Charge as set out in 5.2 of the report), using above inflation increases to do so as per Appendix B to the report. The average decrease will be 2.6% or £0.32 per week. (c) To approve the repayment of debt based on a minimum revenue payment of 2% on outstanding debt. (d) To increase the 2014/2015 HRA capital programmes by the following amounts: · House Building Programme £0.806 million · Planned Maintenance Programme £4.529 million · HRA Disabled Adaptations Programme £0.250 million. |
Reasons:
The Council is required to carry out an annual review of rents and notify tenants not less than 28 days prior to the proposed date of change. The Council is required under the Local Government and Housing Act 1989 to ensure that the Housing Revenue Account does not fall into a deficit position.