Issue - meetings

To consider the final report on the housing revenue account budget 2016/17 and agree recommendations.

Appendix F of this item was circulated separately, which contains the results of consultation ongoing at the time of agenda publication.

RESOLVED:

1.  That a rent decrease of 1.0% for all housing revenue account (HRA) dwellings (including estate voids and hostels) be agreed with effect from 4 April 2016; subject to the final provisions of the Welfare Reform and Work Bill currently passing through Parliament once enacted.  This is contrary to previous council policy regarding rents.  The average dwelling rent in 2016/17 under such a reduction will be £100.24 per week (a fall of £1.01 per week on average).  Paragraphs 18 and 19 of the report contain further detail.

2.  That it be noted that the rental base will reduce by c. £28 million over the next four years from that previously predicated in the HRA business plan.  The compound effect of the rent reduction and loss of resources over the same period is c. £62 million, which has necessitated changes to the business plan model going forward.

3.  With regard to other HRA-wide charges, that it be agreed that no change be made to tenant service charges, comprising the estate cleaning, grounds maintenance, communal lighting and door entry maintenance charges as set out in paragraph 24 of the report with effect from 4 April 2016.

4.  That it be agreed that no increase be made to sheltered housing service charges as set out in paragraph 25 of the report with effect from 4 April 2016.

5.  That it be agreed that direct charges for garages, store sheds and parking bays remain at the same level as 2015/16 as set out in paragraph 26 of the report with effect from 4 April 2016.

6.  That it be agreed that there be no increase to district heating and hot water charges as set out in paragraph 27 of the report with effect from 4 April 2016.

7.  That it be noted that water and sewerage charges levied by Thames Water are liable to an inflationary uplift as set out at paragraph 28 of the report, but as yet the council has not been informed by Thames Water of what that increase will be.

8.  That cabinet's commitment to ensure that savings made are primarily based on efficiencies, and where staffing reductions form part of any said savings, that due consultation and process is followed with trade unions, be reaffirmed.

9.  That the decision of Tenant Council on 4 January 2016 to establish a ‘task and finish’ group to examine the proposed 2016/17 savings in more detail as set out in paragraph 38 of the report be noted, and therefore also that the revised HRA budget for 2016/17 may be subject to revision within the envelope set out in Appendix A to the report be noted.