Decision details

Housing Revenue Account (HRA) Budget, Rent Setting 2020/2021 and Budget Projections for future years

Decision Maker: Cabinet

Decision status: For Determination

Is Key decision?: No

Is subject to call in?: No

Decision:

2.1      Cabinet recommended to Council to approve:

a)        An average maximum rent increase of 2.7% per dwelling, in line with the legislation and the government’s national rent standard, to take effect from 6th April 2020.

b)        The HRA budget for 2020/21 of £53.7m expenditure detailed in Appendix 1.

c)         The HRA capital programme for 2020/21, including future year commitments, and proposed financing as set out in Appendix 2.

d)        The proposed service charges listed in Appendix 3.

e)        That Cabinet be authorised, once the capital programme has been set, to approve new capital schemes and variations to existing schemes during 2020/21, subject to the funding being available and the schemes being in accordance with the objectives and priorities of the Council.

f)         The Total Fees proposed for NPH to deliver the services in scope for 2020/21 detailed in Appendix 4.

2.2      Cabinet acknowledged the issues and risks detailed in the Chief Finance Officer’s statement on the robustness of estimates and the adequacy of the reserves.

2.3      Cabinet agreed that the Council be recommended to confirm the reserves strategy of protecting balances wherever possible to allow the option of supporting future years’ budgets, aiming for a minimum level of unallocated Housing Revenue Account balances of at least £5m for 2020/21 having regard to the outcome of the financial risk assessment.

2.4      Cabinet agreed that authority be delegated to the Chief Finance Officer to make any technical changes necessary to the papers for the Council meeting of 24 February 2020.

2.5      Cabinet agreed that Council be recommended to delegate authority to the Chief Executive and Chief Finance Officer to implement any retained HRA budget options and restructures.

2.6      Cabinet agreed that authority be delegated to the Chief Finance Officer in consultation with the Portfolio Holder for Finance, and where appropriate the relevant Head of Service and Portfolio Holder to:

·         Transfer monies to/from earmarked reserves should that become necessary during the financial year.

·         Transfer monies to /from HRA working balances between the Council and NPH for cash flow purposes should that become necessary during the financial year.

·         Transfer monies, within the Capital Programme, between Developer Affordable Homes opportunities (budget head) and Buy backs and Acquisitions (budget head) during the financial year subject to the funding being available and the schemes being in accordance with the objectives and priorities of the Council.

·         Update the budget tables and appendices, prior to Council should any further changes be necessary.

·         Update prudential indicators in both the Prudential Indicators report and Treasury Strategy report, for Council for any budget changes that impact on these.


 

Publication date: 19/02/2020

Date of decision: 19/02/2020

Decided at meeting: 19/02/2020 - Cabinet

Accompanying Documents: