Issue - meetings

AGREED that Cabinet recommend to Council at its meeting on 7 February 2023:

a)          the HRA budget for 2023/24, as set out in Appendix A1 to this report be approved;

b)         an increase of 5% in the 2022/23 rents of all properties in the HRA as at 31 March 2023 be applied from 1 April 2023;

c)         a rent increase for all relets of 11.1%;

d)         the 2023/24 service charges, as set out in Appendix C, to this report be approved; and

e)         that a fund of £300,000 be created, funded by the Newark and Sherwood Homes Transfer Reserve to fund initiatives to support tenants impacted by the increased charges including a tenant welfare fund.

The Portfolio Holder for Homes & Health presented a report which detailed the proposed Housing Revenue Account budget for 2023/24 and charges in rent and service charge levels as from 1 April 2023 for recommendation to the Full Council at the meeting to be held on 7 February 2023 for approval.

The report examined the proposed income and expenditure on the Housing Revenue Account for 2023/24 in accordance with Section 76 of the Local Government and Housing Act 1989 and provided indicative figures of income and expenditure for the financial years 2024/25 to 2026/27. The report also made recommendations to set rent levels and service charges for 2023/24.

The setting of the Housing Revenue Account budget and the approval of rent levels would be presented to the Full Council Meeting in February 2023, which would allow the required time to notify tenants of proposed changes to rents in accordance with the legislation. 

AGREED      (with 5 for and 1 against) that Cabinet recommend to Council at its meeting on 7 February 2023:

a)            the HRA budget for 2023/24, as set out in Appendix A1 to this report be approved;

b)            an increase of 5% in the 2022/23 rents of all properties in the HRA as at 31 March 2023 be applied from 1 April 2023;

c)             a rent increase for all relets of 11.1%;

d)            the 2023/24 service charges, as set out in Appendix C, to this report be approved; and

e)            that a fund of £300,000 be created, funded by the Newark and Sherwood Homes Transfer Reserve to fund initiatives to support tenants impacted by the increased charges including a tenant welfare fund.

Reasons for Decision

To advise Members of the proposed HRA budget and charges in rent and service charge levels for 2023/24 and for these to be recommended to Council at its meeting on 7th February 2023.

Options Considered

Various modelling was undertaken to assess the impact of different rent levels on the viability of the HRA 30-year business plan to arrive at the recommendations in the report.

Consideration was also given to varying the increases between general needs and supported (sheltered and extra care) accommodation but no rationale was found to support this, alongside the equitable nature of any decision to do so.