Cabinet received a report presenting the Final Housing Revenue Account (HRA) Budget for 2025/26.
Members were advised that the report proposed a 2.7% increase in dwelling rents. Service charges had been based on cost recovery or actual costs, with the largest increases being driven by utility costs.
The final budget would ensure support to the achievement of the Council’s key housing priorities and ensure the continued delivery of high-quality housing services.
Members noted the Chief Finance Officer Statement within the report which advised of the significant pressures on the HRA from repairs and voids and that additional measures had been taken to reflect this.
That it be RESOLVED that the following proposals be recommended to Council on 22 January 2025
1. That HRA dwelling rents be increased (week commencing 1 April 2025) by 2.7%. This equates to an average increase of £3.21 for social rents, £5.02 for affordable rents and £3.94 for Low Start Shared Ownership homes per week (based on a 52-week year).
2. That the 2025/26 service charges are approved as set out in paragraph 4.2.
3. That the HRA budget for 2025/26, set out in Appendix A, is approved.
4. The 2025/26 growth options as set out in section 4.4 are approved.
5. That the additional repair pressures of £2,674,860, as set out in 4.4.6, and the net salary savings of £551,920 at 4.4.10, are approved to be included in the working budget for 2024/25.
6. That the 2025/26 Fees and Charges as set out in Appendix B are noted.
7. That the revised minimum levels of balances for 2025/26 shown in Appendix C are approved.
8. That Members note the Rent Increase Equalities Impact Assessments (EqIA) appended to this report in Appendix D and the Rent Flexibility EqIA in Appendix F.
9. That Members note the Aids and Adaptations Policy Equalities Impact Assessments appended to this report in Appendix E.
10. That the contingency sum of £500K, within which the Cabinet can approve supplementary estimates, be approved for 2025/26 (£400K in 2024/25) as set out in paragraph 4.9.3.
11. That the decisions taken on recommendations 2.1 – 2.10 above be referred to the Overview and Scrutiny Committee for consideration in accordance with the Budget and Policy Framework rules in the Council’s Constitution.