Councillor Sarah Williams, Cabinet Member for Housing and Planning and Deputy Leader, approved increases to Housing Revenue Account (HRA) rents and service charges for the 2026/27 financial year. The meeting, which was confirmed to have been held, saw the approval of a 4.8% rent increase for existing tenancies and a decision to maintain previously approved rents for other tenancy types. Additionally, average service charges were approved for increase, with individual tenant variations noted.

Housing Revenue Account Rents and Service Charges

The primary focus of the meeting was the approval of proposed rent and service charge increases for the Housing Revenue Account (HRA) for the 2026/27 financial year. The HRA is a ring-fenced account used for income and expenditure related to the Council's housing stock, with funds generated from tenants and leaseholders being reinvested into maintaining and improving homes, building new council homes, and delivering services.

The decision to approve a 4.8% increase in rent for existing tenancies was made. This increase is in line with government policy, which permits local authorities to raise rents by the Consumer Price Index (CPI) plus 1% annually. For 2026/27, this equates to an increase based on the September CPI of 3.8% plus 1%. This proposed increase will result in an average weekly rent rise of £6.64, from £138.38 in 2025/26 to £145.02 in 2026/27. The report detailed the proposed average weekly rents by property size, showing a consistent 4.8% increase across all dwelling types.

The meeting also approved proposed average service charge increases. Service charges are set to recover the full cost of services provided to tenants that are not covered by rent. The report outlined various property charges, such as concierge, grounds maintenance, and communal lighting, as well as support charges for sheltered housing. While an average increase was approved, it was noted that the actual increase for individual tenants would vary depending on the specific services they receive. For example, some heating charges saw decreases, while others, like the Rosa Luxemburg - District Heating, experienced a significant increase of 39%.

The rationale behind these decisions was to ensure the financial sustainability of the HRA. This sustainability is crucial for the Council to meet its obligations to tenants, maintain their homes to at least the Decent Homes Standard, invest in new council housing, and ensure the long-term viability of the HRA. The report highlighted that the Council's tenant population has specific characteristics, including a higher proportion of young and older people, individuals with disabilities, and those from various religious backgrounds, and that the proposed rent and service charge adjustments were considered in light of the public sector equality duty under the Equality Act 2010.

The meeting was informed that there is no statutory requirement for tenant consultation on existing rent and service charge increases, although tenants must be given at least four weeks' notice. However, the Council did present the HRA business plan and seek feedback from tenants and leaseholders at the Resident Voice Board on 15 January 2026, addressing their queries regarding the HRA business plan and the Rent Charge Collection Officer (RCCO).

The decision to approve these increases was made by Councillor Sarah Williams, Cabinet Member for Housing and Planning (Deputy Leader). The report considered was the Housing Revenue Account Rents & Service Charges document, available at Public reports pack 26th-Feb-2026 09.00 Cabinet Member Signing. The minutes of the meeting can be found at Printed minutes 26th-Feb-2026 09.00 Cabinet Member Signing.