Cabinet Member for Finance
In accordance with Council Procedure Rule 19.3, immediately after any vote is taken at a budget decision meeting of the Council the names of Councillors who cast a vote for the decision or against the decision or who abstained from voting shall be recorded in the Minutes of that meeting.
At its meeting on 7 February 2022, Cabinet considered Paper MCa/21/35, the Housing Revenue Account Budget for 2022/23. Paper MC/21/27 is unchanged from the Cabinet meeting and includes the necessary recommendations.
Minutes:
72.1 Councillor Whitehead, the Cabinet Member for Finance, introduced the report and provided Members with details of the proposed budget including the reasons for the proposed 4.1% increase in housing rent.
72.2 The recommendations in the report were proposed by Councillor Whitehead and seconded by Councillor Hadingham.
72.3 Councillor Whitehead, and the Assistant Director for Corporate Resources, responded to a question from Councillor Matthissen, and confirmed that it would not be possible to transfer funds from the General Fund into the HRA.
72.4 In response to further questions from Members, the Assistant Director for Corporate Resources provided further clarification regarding the transfer of funding between the General Fund and HRA and confirmed that funding for biodiversity improvements to HRA land could be funded from the General Fund.
72.5 Members debated the report on issues including: the need to improve fuel efficiency in housing, the fact that the proposed increases would disproportionately affect residents who can least afford them, the existing reduction in rent applicable to social housing residents through means testing and Right to Buy receipts and the possibility of entering into an agreement with the Secretary of State to keep all receipts.
72.6 Clarification was sought on how many residents would now qualify for benefits after the rent increase and what the equation was to balance this out.
72.7 Members also debated whether it would be possible to borrow money to invest in new energy efficient social housing.
72.8 Councillor Hadingham stated that the HRA fund was ringfenced. and it was necessary to increase rents to meet the Council’s ambition to build new energy efficient stock and bring the existing housing stock up to EPC ‘C’ level and above.
72.9 Councillor Whitehead in his summing up said that he would not shirk away from making difficult decisions. Most councils across Suffolk had increased their rents by 4.1%. Between 45% and 60% of social housing residents received benefits. He detailed the average rents that were being paid and said that social housing was subsidised and well below market rent. The Council was planning to deliver 331 new social houses which would be of benefit to everyone.
In accordance with Council Procedure Rule 19.3, the vote was recorded as follows:
For |
Against |
Abstain |
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Oliver Amorowson |
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Gerard Brewster |
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David Burn |
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|
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Terence Carter |
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James Caston |
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|
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Austin Davies |
|
|
Rachel Eburne |
|
Paul Ekpenyong |
|
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Paul Ekpenyong – Chairs Casting Vote |
|
|
|
John Field |
|
Julie Flatman |
|
|
Jessica Fleming |
|
|
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Helen Geake |
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Kathie Guthrie |
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Lavinia Hadingham |
|
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Matthew Hicks |
|
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Barry Humphreys |
|
|
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Sarah Mansel |
|
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John Matthissen |
|
|
Andrew Mellen |
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Richard Meyer |
|
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Suzie Morley |
|
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David Muller |
|
|
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Mike Norris |
|
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Penny Otton |
|
Tim Passmore |
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Daniel Pratt |
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Harry Richardson |
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|
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Keith Scarff |
|
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Andrew Stringer |
|
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Rowland Warboys |
|
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Keith Welham |
|
John Whitehead |
|
|
Total 17 |
Total 16 |
Total |
On the Chairs casting vote,
It was RESOLVED:
1.1 That the HRA Budget proposals for 2022/23 set out in the report be endorsed for recommendation to Council on 21 February 2022.
1.2 That the CPI + 1% increase of 4.1% in Council House rents, equivalent to an average rent increase of £3.42 a week for social rents and £4.99 a week for affordable rents be implemented.
1.3 That garage rents are kept at the same level as 2021/22.
1.4 That Sheltered Housing service charges are kept at the same level as 2021/22.
1.5 That the Sheltered Housing utility charges increase of 50p per week for heating and 25p per week for water be implemented.
1.6 That the budgeted surplus of £95k be transferred to the Strategic Priorities reserve in 2022/23.
1.7 That in principle, Right to Buy (RTB) receipts should be retained to enable continued development and acquisition of new council dwellings.
Supporting documents: