Issue - meetings

Housing Revenue Account - 2013-14 - Rent Setting

Meeting: 12/02/2013 - Executive (Item 147)

147 Housing Revenue Account - 2013-14 - Rent Setting pdf icon PDF 65 KB

To consider the Initial Estimates for the Housing Revenue Account for 2013/14 and the proposed dwelling rents for 2013/14.

 

(Report attached)

Additional documents:

Minutes:

Officers explained that 2013 was the first year out of the Housing Subsidy system. Because of the proportion of the national housing debt inherited by the Council, the Council was no longer in a position to borrow to fund the future capital programme.

 

A further major change was the requirement to calculate depreciation on the Council’s housing stock, although there was a five-year transitional period before a final depreciation figure was required.

 

A Member noted that the total figure for Landlords, Costs, Insurance etc. seemed to be extremely modest and Officers were asked how much insurance was being paid per property as a proportion of this figure. Officers undertook to provide this information to Members of the Committee.

 

Members were keen that the Council continued to maintain a good quality housing stock.

 

RECOMMENDED that

 

1)         the draft 2013/14 Estimates for the Housing Revenue Account attached to the report at Appendix A, be approved;

 

2)         the actual average rent increase for 2013/14 be 3.8% (2.6% RPI plus 1.2% due to rent restructuring); and

 

3)         £3.5m be transferred to a reserve as a Revenue Contribution to Capital to fund the future Capital Programme and repay borrowing.