Issue - meetings

The covering report and Appendix 1 are attached.  Appendices 2 and 3 will follow in a supplementary pack.

The Deputy Chief Executive and Section 151 Officer presented the report on Housing Revenue Account (HRA) Rent Setting 2025/26.

Members were informed that it was a statutory requirement to set HRA rent and ensure that tenants were notified in a timely manner. At least 28 calendar days’ notice was required for tenants.

The report set out the rent for 5,539 properties, of which 5,443 were charged social rent and 96 affordable rents.

The existing HRA model had assumed a rent increase of 3% but this had been revised down to 2.7% which was linked to the Government formula of September 2024 CPI plus 1%. The average rent charged would be £106.16 for Social and £165.35 for affordable respectively.

Historically, service charges to tenants and leaseholders were approved as part of the annual fees and charges report. This would now change, and they would be considered alongside the annual rent setting report.

To support this, this Service Charge Policy was drafted.  It set out the Council’s approach to the charging of and consultation with tenants and leaseholders and in line with statutory and regulatory requirements.  This was set out in Appendix 1.

Appendix 2 set out service charges for core cleaning and health and safety checks for the 272 block which involves circa 1,900 tenants. It was noted that a charge of £6.40 would be made.  It also set out a service charge of £0.20 for temporary accommodation furniture/appliances and £0.16 for concessionary TV licences.

The Leader thanked officers for their work on this and also to put on record the positive meeting that had taken place previously.

The Portfolio Holder for Housing thanked officers. It was also proposed that an additional recommendation be added as follows:

Delegated authority be granted to the Deputy Chief Executive and Assistant Director Community & Housing following consultation with the Housing Portfolio Holder, to establish a Hardship Fund of £50,000 per annum to support homelessness prevention and this to be met from the HRA budget 2025/26 onwards.

Although the proposed recommendation would be new change it was hoped that it would help improve services in the future.

On being put to the vote the additional recommendation was carried.

Members agreed that the report provided a better deal for residents and a more efficient service.

RECOMMEND that

a)    The actual average rent increase for 2025/26 be set at 2.7%

b)    Garage rent be increased by 2.7%

c)    The Service Charge Policy at Appendix 1 be approved

d)    The Service Charges set out in Appendix 2 be approved

e)    Delegated authority be granted to the Deputy Chief Executive and Assistant Director Community & Housing following consultation with the Housing Portfolio Holder, to establish a Hardship Fund of £50,000 per annum to support homelessness prevention and this to be met from the HRA budget 2025/26 onwards.