Decision

1)         To thank
the Tenants and Leaseholders Forum, Housing Scrutiny Commission and
others who have commented on our draft Housing Revenue Account
budget.
 

2)         I am
grateful for the recognition from consultees of the challenging
financial position the multiple budget pressures create.
 
To recommend to
Council the following:
 
3)         Approve
the Housing Revenue and Capital budgets for 2026/27;
i)         
Approve rent changes for tenants for 2026/27 as follows:
-          
4.8% increase to core rent;
-          
4.8% increase to garage rent.
-          
4.8% increase for Hostel rent and service charges;
-          
4% increase for Gypsy and Traveller plot rent;

ii)         Approve
service charge changes for tenants and leaseholders for 2026/27 as
follows:

-          
A reduction in the charges for District Heating as set out in
section 4.6.2, including a 16% reduction in the variable charge for
metered heat, a 22% reduction in the fixed metered charges.
-          
applying increases to all other service charges of 3.8%, in line
with CPI.

iii)        Agree to
delegate to the City Mayor the authority to reduce service charges
by the extent to which this represents a change to the cost of
providing those services.

iv)       
Note the equality impact assessment of the proposed revenue and
capital reductions required to present a balanced budget, at
Appendix J;

v)         Note
that the scheme of virement (included within the General Fund
Revenue Budget report which is also on your agenda) applies also to
the HRA budget with total expenditure and total income acting as
budget ceilings for this purpose;

vi)       
Agree that the delegations and determinations applicable to the
main capital programme (which is also on your agenda) shall also
apply to the capital programme in this report;
vii)       Note that the
capital strategy in that report also applies to the HRA.
 

Reasons for the decision

The Housing Revenue
Account budget forms part of the budget and policy framework. Its
approval is the responsibility of the full Council; the City Mayor
is responsible for the preparation of a proposal for Council
consideration.
A draft programme was
considered by Housing Scrutiny Commission on 7th January 2026.