Issue - meetings

To consider the report of the Head of Treasury Services.

Scrutiny Committee – Community considered the report at their meeting on 20 January 2009 and their comments will be reported.

(Report circulated)

The report of the Head of Treasury Services was submitted, recommending a rent increase from 1 April 2009 for Council dwellings.  Scrutiny Committee – Community considered the report at their meeting on 20 January 2009 and the support and comments of Members were noted.

The Director Community and Environment reported that the average rise in rent per collection week for 2009/10 would be £4.26 not £3.77 as set out in the report.

In response to a query regarding the Council’s policy of collecting rent over 48 weeks, the Director Community and Environment reported that the arrangement had been made in consultation with tenants who welcomed the “rent-free” periods particularly over Christmas.

Some members expressed disappointment at the Government’s proposed 6.2% average rent increase for Exeter, since this was significantly above the current level of inflation. Councillor Edwards questioned the ability of the Council to deviate from the Government’s rent convergence requirements.  He was advised by the Director Community and Environment that the implications of doing so would be very serious and against her professional advice. Seconded by Councillor Mrs Morrish, Councillor Edwards proposed an amendment to the recommendation to agree an average rent increase of 3.2% to include a general increase of 2.5% together with the phased introduction of the Government’s rent restructuring proposals. The motion was put to the vote and lost.

Executive resolved that the rents of Council dwellings be increased from 1 April 2009, by an average of 6.2% which includes a general increase of 5.0% together with the phased introduction of the Government’s rent restructuring proposals.

(In accordance with Standing Order 43, Councillor Edwards requested that his name be recorded as having voted against the resolution and Councillor Mrs Henson requested that her name be recorded as having abstained) 

The report of the Head of Treasury Services was submitted, recommending a rent increase from 1 April 2009 for Council dwellings.  Scrutiny Committee – Community considered the report at their meeting on 20 January 2009 and the support and comments of Members were noted.

The Director Community and Environment reported that the average rise in rent per collection week for 2009/10 would be £4.26 not £3.77 as set out in the report.

In response to a query regarding the Council’s policy of collecting rent over 48 weeks, the Director Community and Environment reported that the arrangement had been made in consultation with tenants who welcomed the “rent-free” periods particularly over Christmas.

Some members expressed disappointment at the Government’s proposed 6.2% average rent increase for Exeter, since this was significantly above the current level of inflation. Councillor Edwards questioned the ability of the Council to deviate from the Government’s rent convergence requirements.  He was advised by the Director Community and Environment that the implications of doing so would be very serious and against her professional advice. Seconded by Councillor Mrs Morrish, Councillor Edwards proposed an amendment to the recommendation to agree an average rent increase of 3.2% to include a general increase of 2.5% together with the phased introduction of the Government’s rent restructuring proposals. The motion was put to the vote and lost.

RESOLVED that the rents of Council dwellings be increased from 1 April 2009, by an average of 6.2% which includes a general increase of 5.0% together with the phased introduction of the Government’s rent restructuring proposals.

(In accordance with Standing Order 43, Councillor Edwards requested that his name be recorded as having voted against the resolution and Councillor Mrs Henson requested that her name be recorded as having abstained) 

(Report circulated)

To consider the report of the Head of Treasury Services – report circulated.

The Head of Housing Services presented a report recommending a rent increase from 1 April 2009 for council dwellings.

In response to a Member, the Head of Housing Services confirmed that rent convergence was a Government requirement for both local authorities and housing associations. However, the date for full convergence to be achieved had now been put back to 2024/25.

It was noted that there would be an average rise of £4.26 per collection week for 2009/10 rather than £3.77 as set out in the report.

The Scrutiny Committee - Community noted the report, including the amended figure in respect of the average rent collected per week, and recommended Executive approve that rents of Council dwellings are increased from 1 April 2009 by an average of 6.2%, which includes a general increase of 5.0%, together with the phased introduction of the Government’s rent restructuring proposals.

(Report circulated)