Issue - items at meetings - KD 4126 Housing Revenue Account (HRA) Tenancy Policy and HRA Rent Setting Policy

Issue - meetings

KD 4126 Housing Revenue Account (HRA) Tenancy Policy and HRA Rent Setting Policy

Meeting: 21/10/2015 - Cabinet (Item 12)

12 Housing Revenue Account (HRA) Tenancy Policy and HRA Rent Setting Policy pdf icon PDF 225 KB

A report from the Director of Regeneration and Environment is attached. This presents an updated HRA Tenancy Policy and HRA Rent Setting Policy for the Council. (Key decision – reference number 4126)

(Report No.84)

(8.50 – 8.55 pm)

 

Additional documents:

Minutes:

Councillor Ahmet Oykener (Cabinet Member for Housing and Housing Regeneration) introduced the report of the Director of Regeneration and Environment (No.84) presenting an updated Housing Revenue Account (HRA) Tenancy Policy and HRA Rent Setting Policy for the Council.

 

NOTED

 

1.               That the HRA Tenancy Policy would remain as published in December 2013 with minor amendments to bring it up to date, as set out in Appendix A to the report. The updated HRA Rent Setting Policy clarified the direction that the Council would take in setting its HRA rents with effect from 1 April 2016, Appendix B to the report referred.

 

2.               Councillor Oykener highlighted the effect of the Government’s new Welfare Reform and Work Bill 2015 as set out in the report. This would have a significant impact on the HRA 30 year business plan; a comprehensive review of the Plan was therefore currently being undertaken.

 

3.               Members were advised of the Council’s current approach to tenancies and affordable rent levels. The potential impact of further Government legislation was noted. Further reports would be presented to Cabinet at the appropriate time for consideration.

 

Alternative Options Considered: The Council was required by its own Tenancy Strategy, and by law, to publish a Tenancy Policy. It was also good practice to publish a Rent Setting Policy (section 4 of the report referred).

 

DECISION: The Cabinet agreed

 

1.               The updated Housing Revenue Account Tenancy Policy and Housing Revenue Account Rent Setting Policy as appended and circulated with the Cabinet report.

 

2.               To note the proposal to review these policies on an annual basis.

 

3.               To note that the Government’s new rent proposals (about to become legislation) create large shortfalls in the Council’s HRA 30 year Business Plan which would need to be addressed.

 

4.               That the Council seek clarification from Central Government as to how the proposal to charge higher rents to tenants on higher incomes would work in practice.

 

Reason: Section 5 of the report set out in full the reasons for the recommendations in the report. It was proposed that the two policies would be reviewed annually so that they remain current and continue to reflect the Council’s ambitions around maximising the delivery of affordable housing.  

(Key decision – reference number 4126)