Decision Maker: Cabinet

Outcome: Decision approved (subject to call-in)

Is Key Decision?: Yes

Is Callable In?: Yes

Date of Decision: December 16, 2025

Purpose: The Housing Revenue Account (HRA) represents the Council’s obligation to account separately for income and expenditure relating to its social housing stock – including day-to-day management and maintenance, as well as major works, stock improvement and increasing the supply of Council social housing. The HRA Business Plan is a financial model for the Housing Revenue Account, and is updated annually to reflect changing economic assumptions, government policy, and landlord proposals.   The report will summarise these changes, and ask for Cabinet approval of the proposed increases to rents for social housing tenants, in line with government policy; to agree proposed increases to service charges; and to agree the HRA Business Plan report.

Content: For the reasons set out in this report and its appendices, Cabinet RESOLVED to Agree to:   i)  The updated Housing Revenue Account (HRA) Business Plan as set out in Appendix 1. ii)  A 4.8% rent increase on all Council-owned rented accommodation (including homes managed under a PFI contract) with effect from 1st  April 2026 2.3. To agree a 4.8% increase to tenant service charges with effect from 1 April 2026 2.4. To agree the Rent Setting Policy included at Appendix 2 to this report.   Alternatives considered   a)  The HRA Business Plan is a live document and reflects an updated position and current assumptions, reflecting economic circumstances and the Council’s wider plans, including new homes and regeneration schemes. Large schemes such as these are subject to continuous development and evolution – the Business Plan is regularly updated to reflect these changes. b)  As noted in this report, the operating and regulatory environment is changing significantly, and the Business Plan will be updated regularly to take account of these.