The Sheffield City Council's Housing Policy Committee met on 18 September 2025, and members agreed to recommission a psychology service, review the tenant levy, procure leasehold block insurance, and monitor the budget and housing performance. Councillor Paul Turpin voted against recommissioning the psychology service.

Tenant and Residents Association Levy Review

Following a petition to the committee in September 2024, the Housing Policy Committee reviewed the Tenant and Residents Association (TARA) levy, consulting with tenants on key issues such as increasing the levy, collecting it in areas without a TARA, and using the Housing Revenue Account (HRA) to pay the levy for tenants in arrears.

The committee agreed to maintain the current levy amount and collection arrangements, pending a broader review of tenant involvement. They supported developing ways to spend residual levy funds, in consultation with tenants, and endorsed providing additional support to TARAs to help them find other funding sources.

The decision was influenced by 840 responses to the consultation, which indicated that most tenants did not want the levy increased. The committee acknowledged concerns that increasing the levy would worsen financial struggles for some tenants, and some tenants said that they would opt out of the scheme if the levy was increased.

The committee recognised that stopping HRA payments for tenants in arrears would involve significant administrative work for minimal savings.

The committee agreed to provide additional support to TARAs, including publicising their activities, helping them to source funding, and sharing expertise among them. They also agreed to raise awareness among tenants about opting in or out of the levy scheme.

During the meeting, Councillor Douglas Johnson, Chair of Housing Policy Committee, responded to questions from Diane Wainwright, who asked if the committee accepted that TARAs are independent organisations, if the committee agreed that genuine communication is important to promote community cohesion, if the committee agreed that TARAs play a vital role as a link between the council and their tenants, why the Residual Levy fund isn't being used to help the smaller TARAs achieve their goals, and if the committee agreed that mutual trust and respect must be a two-way process between council officers and TARA reps.

Councillor Douglas Johnson also responded to questions asked by Michael Brown, who asked if the Tenants Residual Levy collected across the city, including in places where there are no Tenants and Residents Associations to distribute funds, if new residents are still being asked to pay the Tenants Residual Levy when they sign leases, and how tenants and community groups can access their Residual Levy in areas which do not have a Tenants and Residents Association.

Commissioning of a Psychology Service

The Housing Policy Committee approved the recommissioning and re-procurement of a psychology service for five years, with a core contract value of £97,068 per year (£485,340 total contract value), to provide reflective practice and case formulation support to staff working with homeless individuals who have experienced complex trauma. Councillor Paul Turpin voted against this recommendation.

The committee also approved the distribution of additional income as outlined in the report.

However, the committee also recorded its concern about the proposed closure of the therapy service for women in supported accommodation.

The current service, provided by Paradigm Psychology Services, is recognised by the Ministry of Housing and Local Government as best practice. It helps staff in commissioned supported accommodation services to better support people with multiple and complex needs, build stronger relationships, reduce evictions, increase accommodation sustainment, and improve move-on options.

The new contract aims to provide reflective practice for 15 commissioned services and three internal homelessness services, delivering around 350 group sessions annually. It will also allow for the expansion of service scope if grant funding becomes available.

The therapy service for women in all commissioned supported accommodation services, funded by Adult Social Care, will not continue due to budget pressures. An exit strategy will be implemented to support existing service users and signpost them to alternative provisions.

Quarter 1 Budget Monitoring Report

The committee reviewed the Quarter 1 Budget Monitoring Report, which summarised Sheffield City Council's 2025-26 revenue budget position. The report noted key variances, risks, and opportunities as of Q1 2025/26.

The committee noted the updated information on the 2025/26 Revenue Budget Outturn, including detailed budget monitoring information and management actions. They also noted the targeted actions and ongoing work to reduce the in-year forecast overspend.

The council is projecting a £28.2 million overspend for 2025-26, which includes mitigations for homelessness, high-cost social care placements, and a contribution from the collection fund surplus from 2024-25¹. Key areas of budget pressure include adult social care, children's services, and homelessness services.

The council has implemented targeted actions across key service areas to reduce overspending and expects the overall overspend to be brought below £20 million by the end of the financial year.

Quarterly Housing and Repairs Performance Report 2025-26

The committee reviewed the Quarterly Housing and Repairs Performance Report 2025-26, which provided an overview of housing performance for various services. The report enabled the committee to monitor progress against the Housing Strategy² ambitions, the Regulator of Social Housing Tenant Satisfaction Measures, and other key housing performance indicators.

The committee agreed to the approach and performance target setting for 2025/26, as proposed in the report. They also noted the housing performance update for Quarter 1 2025/26 (April - June 2025).

Overall satisfaction rose to 69%, up from 68% in 2024/25, surpassing the median benchmark of 66%. Satisfaction with repairs improved, and satisfaction with contacting the service increased from 52% to 57%. The highest performing measure remains fairness and respect, rising from 80% to 82%. However, complaints handling remains the lowest performing area, with satisfaction falling to 30% from 34% in quarter 1. Satisfaction with the landlord's contribution to neighbourhoods also rose from 66% to 70% in quarter 1. Cleanliness and maintenance of communal areas improved from 61% to 68%, and satisfaction with anti-social behaviour handling increased slightly from 61% to 62% in quarter 1.

Procurement of Leasehold Block Insurance

The Housing Policy Committee approved the commissioning of a new contract for Leasehold Block Insurance for approximately 3000 council-owned properties. The contract will be for a period of five years, with an estimated policy value of up to £3 million.

The decision will enable the council to continue providing this key service and ensure compliance with procurement law and best value. Under the terms of the lease, the council, as the freeholder, is required to arrange and maintain leasehold block insurance for the building.

Work Programme

The committee considered the work programme and agreed to a number of amendments. It was confirmed that the Housing Capital Programme Final Position report had been rescheduled to the October meeting of the Committee.