Issue - meetings
Housing Rents & Service Charges
Meeting: 14/01/2020 - Executive (Item 8)
8 Housing Rents and Service Charges 2020-21 PDF 78 KB
To consider the report of the Chief Finance Officer.
Additional documents:
Decision:
Agreed |
RECOMMENDED that Council approve:-
(1) the increase of Council dwelling rent by 2.7% from 1 April 2020; (2) the increase of garage rent by 2.7% from 1 April 2020; and (3) service charges remaining at their existing levels with the exception of charges specified below from 1 April 2020:-
(a) 5.9% increase in emergency light testing in line with routine testing costs and additional installations; (b) 2% decrease in respect of the Older Persons’ property service charge due to vacant posts; (c) 0% increase in water charges in respect of Magdalen Gardens in line with contract prices; (d) 5% decrease in respect of door entry systems in line with system maintenance costs; and (e) 5% increase in fire alarm charges to reflect the contract for weekly fire alarm testing.
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Reason for Decision: |
As set out in the report.
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Minutes:
The Executive received the report which set out the proposed increase to Council house rent, garage rent and service charges with effect from 1 April 2020 that would not override a landlords statutory requirement to complete the four year social rent reductions.
Particular reference was made to the 1% social rent reductions made by the Council over the past four years, and that it was now permitted to apply the new central government policy to make a 1% increase above CPI for 2020/21. The increase to the charges would support additional maintenance, the Capital Programme and support the management of existing properties for tenants.
During the discussion, the following points were raised:-
· The 1% reduction left the Council with a deficit of £8 million but had only equated to 75p less rent per week for tenants. The increase would also put the Council back to its 2016 budgetary position; and
· The increase would provide support for staffing, spending on maintenance and would support the Council’s HRA budget.
RECOMMENDED that Council approve:-
(1) the increase of Council dwelling rent by 2.7% from 1 April 2020;
(2) the increase of garage rent by 2.7% from 1 April 2020; and
(3) service charges remaining at their existing levels with the exception of charges specified below from 1 April 2020:-
(a) 5.9% increase in emergency light testing in line with routine testing costs and additional installations;
(b) 2% decrease in respect of the Older Persons’ property service charge due to vacant posts;
(c) 0% increase in water charges in respect of Magdalen Gardens in line with contract prices;
(d) 5% decrease in respect of door entry systems in line with system maintenance costs; and
(e) 5% increase in fire alarm charges to reflect the contract for weekly fire alarm testing.