Issue - meetings

To consider the Initial Estimates for the Housing Revenue Account for 2011/12 and the proposed dwelling rents for 2011/12.

(Report attached)

Members considered a report setting out the initial estimates for the Housing Revenue Account and the proposed dwelling rents for the coming year.

With respect to the dwelling rent the Committee was informed that the data included in the Housing Revenue Account Subsidy Determination for 2011/12 had resulted in a proposed actual average rent increase for 2011/12 of 5.99%.

Officers explained that it was anticipated that 2011/12 would be the final year of housing subsidy. It was expected that the Council would be in a negative subsidy position to the extent of around £6,000,000 in the coming year. However, it was expected that transitional arrangements would result in the Council not retaining the negative subsidy money for the first few years following the ending of subsidy.

RECOMMENDED that

1)      the draft 2011/12 Estimates for the Housing Revenue Account attached to the report at Appendix A, be approved;

2)      the actual average rent increase for 2011/12 be 5.99%; and

3)      £1,000,000 be transferred to a reserve as a Revenue Contribution to Capital to fund the future Capital Programme.