Issue - meetings

Cabinet

APPROVED   the HRA Medium Term Financial Strategy as set out in Appendix 1 to this report, including:

·      changes in financial assumptions as detailed in Appendix B to the HRA MTFS

·      mid-year revenue budget changes, as detailed in Appendix D to the HRA MTFS, which impact future forecasts for the HRA

·      mid-year capital budgets changes, as detailed in Appendix E to the HRA MTFS

·      update to the new build schemes included in the Housing Capital Investment Plan, incorporation of the latest budgetary figures in respect of new build schemes, and re-phasing of expenditure in line with anticipated build timetables

·      changes in anticipated receipt and use of capital resources for the HRA, as included in Appendix H to the HRA MTFS

·      recognition of the delegated decision to acquire a number of existing market homes, thus utilising retained right to buy receipts with the required timescales.

This decision was first published on Thursday 17 November and so the deadline for call-in is Thursday 24 November at 5pm. If not called-in this decision can be implemented on Friday 25 November.

Cabinet

APPROVED   the HRA Medium Term Financial Strategy as set out in Appendix 1 to this report, including:

·      changes in financial assumptions as detailed in Appendix B to the HRA MTFS

·      mid-year revenue budget changes, as detailed in Appendix D to the HRA MTFS, which impact future forecasts for the HRA

·      mid-year capital budgets changes, as detailed in Appendix E to the HRA MTFS

·      update to the new build schemes included in the Housing Capital Investment Plan, incorporation of the latest budgetary figures in respect of new build schemes, and re-phasing of expenditure in line with anticipated build timetables

·      changes in anticipated receipt and use of capital resources for the HRA, as included in Appendix H to the HRA MTFS

·      recognition of the delegated decision to acquire a number of existing market homes, thus utilising retained right to buy receipts with the required timescales.

Councillor Lynda Harford, Housing Portfolio Holder, presented this item which updated Cabinet in respect of the financial position and forecasts for the Housing Revenue Account, allowing review of financial assumptions, approval of mid-year budgetary changes and agreement of the budgets strategy for 2017/18 and beyond. Councillor Harford explained that the appendices to the report provided details on how the Council planned to deal with the uncertainties and challenges facing the Housing Revenue Account. Councillor Harford praised the Housing staff, who were innovative and professional and provided certainty in an uncertain situation facing the Council.

It was noted that the Scrutiny and Overview Committee had discussed this item on 9 November 2016.

Praise for new format of the Strategy

Cabinet and opposition councillors present praised the new format of the Housing Revenue Accounts Medium Term Financial Strategy which was written in plain English and was clearly laid out.

Stock number

In response to concerns about stock numbers the Director of Housing explained that the figures for 1 April 2017 were estimates and more information could be provided outside the meeting.

Spending proceeds from Right to Buy

It was noted that the Government would claim back any Right to Buy receipts which were not spent within three years, including interest on these amounts. Councillor Harford confirmed that the receipts received from right to buy would be spent within the Government’s three years deadline.

Depreciation of Housing Stock

In response to concerns about depreciation the Interim Chief Executive explained that work carried out to improve our housing stock also prolonged the life of these rent earning units.

Re-letting voids

In response to concerns about filling voids, the Director of Housing explained that the Council re-let its properties at the target rent.

Selling units

Councillor Harford explained that the Council was investigating ways of complying with the Government’s requirement to sell our most expensive housing units.

Cabinet

APPROVED   the HRA Medium Term Financial Strategy as set out in Appendix 1 to this report, including:

·      changes in financial assumptions as detailed in Appendix B to the HRA MTFS

·      mid-year revenue budget changes, as detailed in Appendix D to the HRA MTFS, which impact future forecasts for the HRA

·      mid-year capital budgets changes, as detailed in Appendix E to the HRA MTFS

·      update to the new build schemes included in the Housing Capital Investment Plan, incorporation of the latest budgetary figures in respect of new build schemes, and re-phasing of expenditure in line with anticipated build timetables

·      changes in anticipated receipt and use of capital resources for the HRA, as included in Appendix H to the HRA MTFS

·      recognition of the delegated decision to acquire a number of existing market homes, thus utilising retained right to buy receipts with the required timescales.