Decision details

That it be recommended to Council:*

1.          That the HRA Financial Plan operating account, including annual working balances be noted, as detailed in Appendix 6 of report CAB3540.

2.          That the 2026/27 Housing Revenue Account budget be approved, as detailed in Appendices 1 and 2 to the report. 

3.          That the proposed capital programme for maintenance, improvements and renewals totalling £162.7m be approved.

4.          That capital expenditure be approved and authority be delegated to the Strategic Director with responsibility for housing to enter into necessary contracts for the 2026/27 capital programme of £22.8m, as detailed in Appendix 3 of the report in accordance with Financial Procedure Rule 7.4.

5.          That a change in approach to delivery of retrofit installation of solar panels and batteries to achieve best value for money following the decision by the Department for Energy Security and Net Zero to withhold Social Housing Decarbonisation Fund grant on battery installations be approved, as outlined at paragraphs 11.56 to 11.63 of the report.

6.          That the proposed 10 year capital programme for new homes totalling £202.8m, and expenditure of £21.8m in 2026/27 be approved, as detailed in Appendix 4 of the report in accordance with Financial Procedure Rule 7.4.

7.          That the financing of the HRA Capital Programme be approved as detailed in Appendix 5 of the report, (noting the planned repayment of borrowing following the 1000 homes programme).

8.          That the revenue savings target of £1.13m at Appendix 7 of the report as amended be approved, which was outlined to Cabinet in November 2025 (CAB3523) and includes additional savings as outlined at paragraphs 11.32-11.38 of the report.

9.          That the Section 151 Officer be authorised, in consultation with the Strategic Director with responsibility for Housing to approve buybacks of individual former HRA properties sold under the Right to Buy during 2026/27, following positive financial appraisal, utilising the unallocated New Homes budget (see paragraph 11.26 of the report).

10.      That subject to the acceptance of the expression of interest to the Local Authority Housing Fund (LAHF) round 4:

a.      the Strategic Director with responsibility for Housing be authorised to enter into a revised Memorandum of Understanding with Ministry of Housing, Communities & Local Government to secure additional LAHF funding.

b.      Authority be delegated to the Section 151 Officer to approve capital expenditure (subject to financial appraisal, in accordance with Financial Procedure Rule 7.4) of up to £12m to purchase up to 30 properties between 2026/27 and 2029/30 using the approved HRA unallocated new build budget, to be part-financed by LAHF grant with any balance via prudential borrowing.

c.      The Corporate Head – Asset Management and the Strategic Director with responsibility for Housing be authorised to purchase up to 30 properties. (Paragraphs 11.74-11.78 of the report).

11.      That the average rent increase for 2026/27 for all affordable, Shared Ownership and social housing of 4.8% be approved, based on the September 2024 CPI figure of 3.8% +1% (Paragraphs 11.6-11.8 of the report).

12.      That amendments to HRA tenant service charges in 2026/27 be approved to reflect cost recovery based on 2024/25 actual costs (see paragraphs 11.41 to 11.45 of the report).

13.      That it be noted that the draft HRA Business 30-year Plan is viable and sustainable and has the capacity to support the delivery of 1,000 new affordable homes.

*NB recommendations to Council are not subject to call-in