Decision

That Cabinet recommend that Council*

1.   
Note the HRA Financial Plan operating account,
including annual working balances, as detailed in Appendix 6 of
report CAB3490.

2.   
Approve the 2025/26 Housing Revenue Account budget
as detailed in Appendices 1 and 2 to the report. 

3.   
Approve the proposed capital programme for
maintenance, improvements and renewals totalling
£167.868m.

4.   
Approve capital expenditure and delegate to the
Strategic Director with responsibility for housing authority to
enter into necessary contracts for the
2025/26 capital programme of £21.134m, as detailed in
Appendix 3 of the report in accordance with Financial Procedure
Rule 7.4.

5.   
To approve the award of a contract, by direct award,
for technology-based retrofit works of £4.3m per year in
2025/26, 2026/27 and 2027/28 (totalling £12.8m), contingent
on funding secured from the Department of Energy Security and
NetZero Social Housing Fund Wave 3 Grant, equivalent to 190
properties over 3 years. (See Para 11.62 to 11.65 of the
report).

6.   
Approve the proposed 10 year capital programme for
new homes totalling £237.7m, and expenditure of £5.255m
in 2025/26, as detailed in appendix 4 of the report in accordance
with Financial Procedure Rule 7.4, 

7.   
Approve the financing of the HRA Capital Programme
as detailed in Appendix 5 of the report, (noting the planned
repayment of borrowing following the 1000 homes
programme).

8.   
Approve the revenue savings target of £2m
outlined to Cabinet in the November options paper and subsequently
consulted upon and summarised at appendix 7 of the
report.

9.   
Authorise the Section 151 Officer, in consultation
with the Strategic Director with responsibility for Housing to
approve the buy-back, during 2025/26, of individual former HRA
properties sold under the Right to Buy, following positive
financial appraisal, utilising the unallocated New Homes budget
(see para 11.26 of the report).

10. Subject to the acceptance of the expression of interest to the
Local Authority Housing Fund (LAHF) round 3:

a.   
Authorise the Strategic Director with responsibility
for Housing to enter into a revised
Memorandum of Understanding with Ministry of Housing, Communities
& Local Government to secure additional LAHF funding estimated
at £2.841m

b.   
Delegate authority to the Section 151 Officer to
approve capital expenditure (subject to financial appraisal, in
accordance with Financial Procedure Rule 7.4) of up to £6.0m
to purchase up to 12 properties using the approved HRA unallocated
new build budget, to be part-financed by LAHF grant with any
balance via prudential borrowing.

c.    
Authorise the Corporate Head – Asset
Management and the Strategic Director with responsibility for
Housing to purchase up to 12 properties. (Para 11.70-11.72 of the
report) 

Approve the average rent increase for 2025/26 for all
affordable, Shared Ownership and social housing of 2.7% based on
the September 2024 CPI figure of 1.7% +1% (see para 11.6-11.7 of
the report).
Approve amendments to HRA tenant service charges in 2025/26 to
reflect cost recovery based on 2023/24 actual costs, subject to
capping at 5% or £5, whichever is greater, and noting that
capped charges will be subject to gradual increases in future years
(see para 11.41 to 11.45 of the report). 
Note that the previously approved consultation on the move to
full cost recovery for both private and tenant connections of the
council’s sewage treatment works will now take place in
2025/26 (see para
11.46-11.51 of the report).
Note that the draft HRA Business 30-year Plan is viable and
sustainable and has the capacity to support the delivery of 1,000
new affordable homes.

*NB recommendations to
Council are not subject to call-in.