Issue - meetings

(NOTE: Councillors S. Curry, S.J.G. Gilasbey, H.A.L. Evans, P.M. Hughes, J. James, D. Thomas and D. Price having earlier declared an interest in this item, reiterated those declarations and left the meeting during its consideration)

Council was informed that the Executive Board, at its meeting held on the 22^nd  February, 2021 [minute 8 refers] had considered the Housing Revenue Account Budget 2021/22 to 2023/24 and Housing Rent Setting for 2021/22 and had made a number of recommendations, as detailed within the Director of Corporate Services’ report, for Council’s consideration. It was noted that the report had also been considered, and endorsed, by the Community Scrutiny Committee at its meeting held on the 2^nd February 2021 as part of the budget consultation process.

The Executive Board Member for Resources advised that the report brought together the latest proposals for the Revenue and Capital Budgets for the Housing Revenue Account 2021/24 and reflected the latest proposals contained within the 30 year Business Plan, being the primary financial planning tool for delivering the Carmarthenshire Homes Standard Plus (CHS+) for the future.

The Executive Board Member for Resources advised that capital investment in the region of £231m had delivered the Carmarthenshire Home Standard for tenants and, more recently, up to the end of the current financial year, a further £64m would have been spent in maintaining the CHS+ home standard for properties and tenants.  Over the next 3 years it was expected that a further £56m would be spent on maintaining and upgrading the housing stock. The budget alsoprovided funding of some £49m over the next 3 years to support the Affordable Homes Programme, which was on top of the £45m expenditure already incurred to the end of this current financial year. The Strategy would also see the increase in the supply of affordable housing throughout the County through various solutions including our new build programme (such as Glanmor Terrace, Burry Port and Dylan, Bynea)  and the buyback scheme.

The Council was reminded that since 2015 the Authority had been required to adopt the Welsh Government Policy for Social Housing Rent Harmonisation, meaning that the proposed rent increase was prescribed by Welsh Government guidance and provided an equitable distribution of the rents for the social sector tenants.  While that policy ended in 2018/19, and an interim policy applied for 2019/20 the Welsh Government had subsequently developed a new policy for implementation in 2020/21 to apply for a period of 5 years from 2020/21 and contained some additional/amended requirements, as detailed within the report. The main elements of that policy allowed Local Authorities to uplift the total rent envelope by the Consumer Price Index (CPI) +1% for each of the five years to 2024/25. It also allowed for the level of rent for individual tenants to rise by up to an additional £2 over and above CPI +1% for rent harmonisation, on condition that total rental income collected by the social landlord increased by no more than CPI +1%.

The  ...  view the full minutes text for item 5

(NOTE: Councillor H Evans having earlier declared an interest in this item left the meeting during its consideration)

The Executive Board considered a report prepared by the Director of Corporate Services, in conjunction with officers from the Communities Department, that brought together the latest proposals for the Revenue and Capital Budgets for the Housing Revenue Account 2021/22 to 2023/24. It was noted the report had been considered, and endorsed, by the Community Scrutiny Committee at its meeting held on the 2nd February 2021 as part of the budget consultation process.

The report had been prepared reflecting the latest proposals contained in the Housing Revenue Account (HRA) Business Plan, being the primary financial planning tool for delivering the Carmarthenshire Homes Standard Plus (CHS+) for the future. It was noted the proposed investment within the current business plan had delivered the CHS by 2015 (to those homes where tenants had agreed to have the work undertaken) provided investment to maintain the CHS+ and continued investment for the Council’s Affordable Housing Commitment.

The Executive Board Member for Resources advised that capital investment in the region of £231m had delivered the Carmarthenshire Home Standard for tenants and, more recently, up to the end of the current financial year, a further £64m would have been spent in maintaining the CHS+ home standard for properties and tenants.  Over the next 3 years it was expected that a further £56m would be spent on maintaining and upgrading the housing stock. The budget alsoprovided funding of some £49m over the next 3 years to support the Affordable Homes Programme, which was on top of the £45m expenditure already incurred to the end of this current financial year. The Strategy would also see the increase in the supply of affordable housing throughout the County through various solutions including our new build programme (such as Glanmor Terrace, Burry Port and Dylan, Bynea)  and the buyback scheme.

The Executive Board was reminded that since 2015 the Authority had been required to adopt the Welsh Government Policy for Social Housing Rent Harmonisation, meaning that the proposed rent increase was prescribed by Welsh Government guidance and provided an equitable distribution of the rents for the social sector tenants.  While that policy ended in 2018/19, and an interim policy applied for 2019/20 the Welsh Government had subsequently developed a new policy for implementation in 2020/21 to apply for a period of 5 years from 2020/21 and contained some additional/amended requirements, as detailed within the report. The main elements of that policy allowed Local Authorities to uplift the total rent envelope by the Consumer Price Index (CPI) +1% for each of the five years to 2024/25. It also allowed for the level of rent for individual tenants to rise by up to an additional £2 over and above CPI +1% for rent harmonisation, on condition that total rental income collected by the social landlord increased by no more than CPI +1%.

UNANIMOUSLY RESOLVED TO RECOMMEND TO COUNCIL: