Babergh and Mid Suffolk District Councils
Democratic Services

Mobile menu icon

Issue - meetings

Meeting: 13/01/2020 - Mid Suffolk Cabinet (Item 82)

82 MCa/19/38 DRAFT HRA BUDGET 2020/21 pdf icon PDF 211 KB

Cabinet Member for Finance

Additional documents:

Decision:

It was RESOLVED:-

 

1.1     That the draft HRA Budget proposals for 2020/21 and four-year outlook set out in the report and detailed below be endorsed for recommendation to Council on 27 February 2020, subject to further consideration at the next Cabinet meeting on 10 February 2020.

1.2     That the CPI + 1% increase of 2.7% in Council House rents, equivalent to an average rent increase of £2.19 a week be implemented.

1.3     That garage rents are kept at the same level as 2019/20.

1.4     That Sheltered Housing Service charges be increased by £2 per week to ensure recovery of the actual cost of service.

1.5     That Sheltered Housing utility charges be increased by 5% (average £0.62 increase per week).

1.6     That the budgeted deficit of £612k be transferred from the HRA Reserves in 2020/21.

1.7     That in principle, Right to Buy (RTB) receipts should be retained to enable continued development and acquisition of new council dwellings.

1.8     That the revised HRA Business Plan in Appendix B of the report be noted.

Reason for Decision: To bring together all the relevant information to enable Cabinet Members to review, consider and comment upon the Councils Housing Revenue Account budget before the February Cabinet and recommendations to Council.

Alternative Options Considered and Rejected: The Housing Revenue Account Budget for 2020/21 and four-year outlook is an essential element in achieving a balanced budget and sustainable medium-term position, therefore no other options are appropriate in respect of this.

Any Declarations of Interest Declared: None

Any Dispensation Granted: None

 

Minutes:

The Cabinet Member for Finance introduced the report and provided Members with details of the budget proposals laid out in the report. The recommendations were moved by Councillor Whitehead and seconded by Councillor Flatman.

 

Councillor Eburne raised the issue of plans for the site at Elmswell, and expressed concerns over the increases in charges for Sheltered Housing and enquired if these increases could be spread over a longer period of time. In response the Assistant Director for Housing confirmed that the site at Elmswell would be developed in the long-term and officers would start to consider options, however a decision had not yet been made. With regard to the increased charges for Sheltered Housing it was confirmed that a review of service charges would be undertaken to ensure all tenants receive value for money. The increased utility charges reflect increased costs and is the first increase for 2 years.  It was confirmed that the possibility of these increases being spread over the next 2 years could be looked into if Cabinet requested.

 

By a unanimous vote

 

It was RESOLVED:

 

1.1     That the draft HRA Budget proposals for 2020/21 and four-year outlook set out in the report and detailed below be endorsed for recommendation to Council on 27 February 2020, subject to further consideration at the next Cabinet meeting on 10 February 2020.

1.2     That the CPI + 1% increase of 2.7% in Council House rents, equivalent to an average rent increase of £2.19 a week be implemented.

1.3     That garage rents are kept at the same level as 2019/20.

1.4     That Sheltered Housing Service charges be increased by £2 per week to ensure recovery of the actual cost of service.

1.5     That Sheltered Housing utility charges be increased by 5% (average £0.62 increase per week).

1.6     That the budgeted deficit of £612k be transferred from the HRA Reserves in 2020/21.

1.7     That in principle, Right to Buy (RTB) receipts should be retained to enable continued development and acquisition of new council dwellings.

1.8     That the revised HRA Business Plan in Appendix B of the report be noted.

Reason for Decision: To bring together all the relevant information to enable Cabinet Members to review, consider and comment upon the Councils Housing Revenue Account budget before the February Cabinet and recommendations to Council.