Agenda item

Housing Revenue Account Base Budgets and Rent Setting 2016-17

Minutes:

Councillor J. Kent, Portfolio Holder for Finance, presented the report that set out the proposals for the Housing Revenue Account based budget for 2016/17 and highlighted the proposals for rent and service charges. The report also identified the changes within the base budget between 2015/16 and 2016/17.

 

In July 2015, the Government announced key policy changes that impacted the Housing Revenue business plan and these were:

 

           1% reduction in social rents for four years from 1 April 2016

           Pay to Stay proposals from 2017/18

           The disposal of high value properties as they become vacant

 

Councillor J. Kent referred Members to the six recommendations in the report to which he proposed were accepted. These recommendations had been through the Overview and Scrutiny and Cabinet process.

 

Councillor J. Kent stated that when the item was discussed by Cabinet the Shadow Portfolio Holder for Housing was not present, no questions or no calls-ins were made.

 

Councillor Ojetola apologised for arriving late into the Council Chambers.

 

Councillor Ojetola stated that he had taken the comments on board and that he did not attend Cabinet anymore as no real answers were given. The ‘Call In’ process was used recently at the Housing Overview and Scrutiny Committee on the proposed demolition of Seabrooke Rise Flats. Councillor Ojetola commented that help should be given to those on the housing waiting list as required and as and when homes became available.

 

Councillor G. Rice stated that in 1979 Thurrock Council had reached the gold standard with 25,000 council homes in the borough until Margaret Thatcher decided to sell them off but not having the opportunity to replace them. In 1979, it took six months for a married couple to have a council house compared to the waiting list of 6,500 people today, which was a disgrace.

 

Councillor Redsell asked what action was being taken to clear the traveller’s site on Gammon Fields.

 

Councillor Worrall updated Members on the exemption in the 1 per cent reduction in rents; an initial meeting had taken place with DCLG but confirmed very little information was available and that proof of significant hardship would need to prove to warrant this 1 per cent reduction. Councillor Worrall stated that details had been released that increase to the rent could be made to Sheltered Housing Accommodation, which would mean that extra rent could be made to old age pensioners not nobody else. As a Cabinet it was decided not to penalise old age pensioners and those living in sheltered housing accommodation.

 

Councillor Hebb stated that young people should be given the opportunity to the ‘Right to Buy’ scheme and not feel they have to live off the welfare state system.

 

Councillor Kerin stated that with the increase in the Joint Income to £30,000 some residents might feel that working extra hours might result in them losing their homes.

 

Councillor Halden called a Point of Order at 8.56pm to go straight to the vote.

 

Councillor B. Rice explained to Members how hard it was for ordinary young people of Thurrock who did not want to rely on the state to be able  to buy a home.

 

Councillor B. Rice stated that even for the “Right to Buy” scheme young people could not even afford the deposit.

 

Councillor Gledhill called for a Point of Order – stating that Councillor Halden had called Point of Order at 8.56pm to go straight to vote. He asked that Legal  check the constitution for the correct process.

 

The Deputy Mayor invited the Chamber to vote on the recommendations.

 

Upon being put to the vote, Members voted unanimously in favour of the recommendations, whereupon the Deputy Mayor declared these to be carried.

 

RESOLVED

 

1.         That the changes included in the base budget for 2016/17 be agreed.

 

2.         That the 1% rent reduction outlined in the Summer Budget be noted.

 

3.         That a 1% increase in de-pooled service charges for 2016/17 be agreed.

 

4.         That a 2.5% increase in garage rents for 2016/17 be agreed.

 

5.         That a 1.5% increase in to central heating charges in 2016/17 be agreed.

 

6.         That a 2.5% increase in traveller’s sites rents be agreed.

Supporting documents: