Agenda item

FINAL HOUSING REVENUE ACCOUNT (HRA) AND RENT SETTING REPORT 2019/20

To consider a report for recommendation to Council concerning the 2019/2020 Housing Revenue Account and Budget.

Decision:

In view of 2019/20 being a 53 week rent year, the Leader requested officers to write to the Secretary of State for Work & Pensions, with a copy to the Shadow Secretary of State, expressing the Council’s concern that the Department of Work & Pensions (DWP) will only support 52 weeks of rent through Universal Credit, particularly in view of the significant number of claimants in Stevenage; and stressing that this matter should be resolved on a national basis, rather than by individual local authorities.

 

The Leader was pleased that £150,000 had been included in the 2019/20 HRA budget to help tackle damp and mould issues in Council homes.  It was confirmed that the Community Select Committee’s review of damp and mould had included a specific recommendation concerning the need for appropriate resources to be allocated to address this matter.  The Strategic Director (MP) undertook to feed this comment back to the Chair and Members of the Community Select Committee.

 

In respect of the chart set out in Paragraph 4.3.10 of the report, the Assistant Director (Finance & Estates) was requested to clarify to the Overview & Scrutiny Committee and Council that the figures contained in the chart were cumulative.

 

It was RESOLVED:

 

1.         ThatCouncil berecommended to approve that HRA dwellingrents notsubjectto the1%rentreduction(currentlyLowStart SharedOwnershipLSSOs) be increased,week commencing1 April 2019,by3.4%i.e.£3.86per week which has beencalculatedusingthe existingrentformula,CPI +1%inline with the RentandServiceCharge Policyapproved attheJanuary2018Council.

 

2.         That Council be recommended to notethatHRA dwellingrents,(other than thoseoutlinedin 1. above) are subjectto the 1%rentreductionfromweek commencing1 April 2019 or £0.96and£1.60 per weekfor social and affordablerentsrespectively, as outlinedin the Government’sWelfare ReformandWorkAct 2016.

 

3.         ThatCouncil berecommendedtoapprovethe 2019/20HRAbudget, as set out in AppendixA to the report.

 

4.         That Council be recommended to approve therevised 2018/19HRA budget,as setoutin AppendixA to the report.

 

5.         ThatCouncil berecommended to approve theHRA FeesandCharges, as outlinedin Appendix C to the report.

 

6.         ThatCouncil berecommended to approve the 2019/20servicecharges.

 

7.         ThatCouncil berecommended to approve theminimumlevel of reserves for 2019/20,as shownin Appendix D to the report.

 

8.         Thatthecontingencysum of £250,000withinwhichthe Executivecan approvesupplementaryestimates,beapprovedfor 2019/20(unchanged from 2018/19).

 

9.         ThatCouncil notesthecommentsfrom the Overviewand ScrutinyCommittee, as setoutin thereport.

 

10.      That, in view of 2019/20 being a 53 week rent year, officers be requested to write to the Secretary of State for Work & Pensions, with a copy to the Shadow Secretary of State, expressing the Council’s concern that the Department of Work & Pensions (DWP) will only support 52 weeks of rent through Universal Credit, particularly in view of the significant number of claimants in Stevenage; and stressing that this matter should be resolved on a national basis, rather than by individual local authorities.

 

Reason for Decision:  As contained in report and 10. To press the DWP for a national resolution of the 53 week rent year issue for 2019/20.

Other Options considered:  As contained in report.

Supporting documents: