Issue - meetings

To consider a joint Report of the Leader of the Council and Cabinet Member for Policy, Finance and Devolution and the Cabinet Member for Communities and Housing.

The Leader of the Council and Cabinet Member for Policy, Finance & Devolution (Councillor Alex Ganotis) submitted a report (copies of which had been circulated) requesting the Council Meeting to set the level of rent and service charges in the Housing Revenue Account (HRA) and approve the HRA budget for 2018/19.

RESOLVED – (55 for) That approval be given to:-

(i)         A reduction in the average social rent of 1% for dwelling rents;

(ii)        An increase of 4.4% for rents of shared ownership properties;

(iii)       Service charge increases as outlined in Section 3;

(iv)       Increases in Sheltered Warden, Laundry and Carecall charges as outlined in Section 4; and

(v)        The Housing Revenue Account Budget for 2018/19 as set out in Appendix 1.

The names of those councillors voting on this resolution were recorded as follows:-

Those councillors who voted for the resolution were:-

The Deputy Mayor (Councillor Walter Brett); Geoff Abell, Malcolm Allan, Brian Bagnall, Sheila Bailey, Kenny Blair, Laura Booth, Kate Butler, Anna Charles-Jones, Richard Coaton, Christine Corris, Stuart Corris, Becky Crawford, Dickie Davies, Tom Dowse, Roy Driver, Annette Finnie, Dean Fitzpatrick, Colin Foster, Alex Ganotis, Lord Goddard, Chris Gordon, Tom Grundy, Yvonne Guariento, Paul Hadfield, Philip Harding, Daniel Hawthorne, Keith Holloway, Sylvia Humphreys, Mark Hunter, Oliver Johnstone, Julian Lewis-Booth, Syd Lloyd, John McGahan, Tom McGee, Wendy Meikle, Chris Murphy, Adrian Nottingham, John Pantall, Paul Porgess, Iain Roberts, Lisa Smart, June Somekh, Andy Sorton, David Sedgwick, Charlie Stewart, John Taylor, Jon Twigge, Alanna Vine, Lisa Walker, Wendy Wild, David Wilson, Elise Wilson, John Wright and Suzanne Wyatt.

To consider a joint report of the Cabinet Member for Communities & Housing and the Leader of the Council.

The report recommends the rent and service charge levels for the Housing Revenue Account (HRA) in 2018/19 and provides a recommended HRA Budget for 2018/19.

The Cabinet is invited to recommend that the Council Meeting approves:

·         A reduction in the average social rent of 1% for dwelling rents;

·         An increase of 4.4% for rents of shared ownership properties;

·         Service charge increases as outlined in Section 3;

·         Increases in Sheltered Warden, Laundry and Carecall charges as outlined in Section 4; and

·         The Housing Revenue Account Budget for 2018/19 as set out in Appendix 1.

Officer contact: Michael Cullen, 0161 474 4631, Michael.cullen@stockport.gov.uk

A joint report of the Leader of the Council and Cabinet Member for Policy, Finance & Devolution and the Cabinet Member for Communities & Housing was submitted (copies of which had been circulated) inviting the Cabinet to consider the rent levels and service charges for the Housing Revenue Account (HRA) and a recommended budget for 2018/19.

The Cabinet Member for Communities & Housing highlighted that because of the reductions in rent and efforts by Stockport Homes to freeze heating costs the vast majority of tenants would either receive no increase or a reduction in their costs.

The Cabinet Member also highlighted the proposal to hold in reserve the current surplus within the HRA to provide flexibility to address pressures caused by the levels of Right to Buy.

Cabinet members commended officers and the Cabinet Member for their work in developing a fair proposal.

RESOLVED – That the Council Meeting be recommended to approve the following in relation to the Housing Revenue Account:-

·           a reduction in the average social rent of 1% for dwelling rents;

·           an increase of 4.4% for rents of shared ownership properties;

·           service charge increases as outlined in Section 3;

·           increases in Sheltered Warden, Laundry and Carecall charges as outlined in Section 4; and

·           the Housing Revenue Account Budget for 2018/19 as set out in Appendix 1.

To consider a joint report of the Corporate Director for Place Management and Regeneration and the Borough Treasurer.

The report provides the Scrutiny Committee with the opportunity to comment on an illustrative Housing Revenue Account (HRA) Budget. The Executive will be meeting on 6 February to recommend to Council an HRA budget for 2018/19, including the level of rent and service charges.  The illustrative budget is based on a number of key assumptions set out in the report regarding income from rent and service charges; expenditure commitments contained within the HRA 30 year Business Plan and Asset Management Strategy and indicative spending requirements to support inflationary pressures and identified investment priorities.

This report takes account of the HRA Rent Strategy 2012 – 2017 which was approved by the Executive on 7 January 2013 and changes by the Department for Communities and Local Government with regard rents for social housing from 2016/17.  

The Scrutiny Committee is recommended to comment on the report and the illustrative HRA Budget for 2018/19.

Officer contact: Michael Cullen on 0161 474 4631 or by email: michael.cullen@stockport.gov.uk

The Corporate Director for Place Management & Regeneration submitted a joint report of the Corporate Director and the Borough Treasurer (copies of which had been circulated) detailing an illustrative Housing Revenue Account (HRA) Budget, including the level of rent and service charges.  The illustrative budget was based on a number of key assumptions set out in the report regarding income from rent and service charges; expenditure commitments contained within the HRA 30 year Business Plan and Asset Management Strategy and indicative spending requirements to support inflationary pressures and identified investment priorities.

This report also took account of the HRA Rent Strategy 2012-2017 which was approved by the Executive on 7 January 2013 and changes by the Department for Communities and Local Government with regard to rents for social housing from 2016/17.

The Cabinet Member for Communities and Housing (Councillor Sheila Bailey) attended the meeting to present the report and respond to councillors’ questions.

The following comments were made/ issues raised:-

·         It was noted that there were 186 bronze service level Carecall customers that would be subject to the proposed 70p per week charge increase, of which 12 were living in a tenancy.

·         There would be no increase in personal heating charges in 2018/19 as a result of efficiencies, in particular energy efficiency works.

·         Further clarity was requested in relation to the allocation of earmarked reserves within the Housing Revenue Account.

·         With regard to the proposed increase in the cost of the service charge for the concierge service, it was requested that further information be provided in relation to what was offered as part of this service. 

·         It was further suggested that Stockport Homes should be requested to submit a report to a future meeting of the Scrutiny Committee providing a summary of the services provided as part of the Carecall and Concierge services.

·         The reduction in rent charges would more than offset the proposed increases in service charges for the vast majority of tenants.

RESOLVED – That the report be noted.