Purpose

This report
summarises the proposed HRA Medium Term Financial Strategy, the
revised HRA Reserves Strategy, the 2026/27 HRA draft budget and the
2026/27 through 2029/30 Housing Capital Investment
Programme.
 
Full Council –
5 February 2026

Decision

RECOMMENDATION TO FULL COUNCIL
ON 05 FEBRUARY 2026
 
RESOLVED
that Cabinet recommend Full Council
approve:-
 
(i)           
The HRA draft budget and business plan for 2026/27
and note the Medium Term Financial Strategy (MTFS), with any final
amendments being delegated to the Cabinet Spokesperson for
Regeneration and Culture and the Executive Director for Growth and
Sustainability in consultation with the Cabinet Spokesperson for
Core Services, the Director of Finance (S151 Officer); and Service
Director Regeneration and Culture (Client lead for Berneslai
Homes);

 
(ii)         
A rent, non-dwelling rent, service charge and
district heating kWh increase of 4.8% in line with the
Government’s Rent Cap;
 
(iii)        
The 2026/27 Berneslai Homes Management Fee totalling
£17.4M, inclusive of investments totalling £0.6M for an
Enhanced Neighbourhood offer £0.4M, Love Where You Live
Officer £0.1M, Awaabs Law Team £0.1M, plus Gypsy and
Traveller Management fee of £0.1M charged to the General
Fund;
 
(iv)        
 The Core Housing
Investment Programme for 2026/27 totalling £55.2M
(£28.8M Capital (Appendix 2) and £26.4M Repairs and
Maintenance (Table 4));
 
(v)         
The Housing Added Value schemes for 20267/27
totalling £2.1M, consisting of £1M Building Safety
Compliance, £0.3M Princess Street – Floor Replacement
and £0.8M Environmental Estate Improvements; and
 
(vi)        
That work is undertaken during 2026/27 to identify
capital programme savings reprioritisation or managed slippage of
£4.5M p.a. for years 2-5 totalling £18M in order to
balance the business plan over the 30 year period. (NB: pending any
discussion on rent convergence).