Issue - meetings

To consider the Housing Revenue Accounts budget in relation to the rent increase guideline provided by the Government.

The Committee received the report updating on the draft Housing Revenue Account (HRA) Financial Planning Position for 2010/11 presented by Gerald Almeroth, Chief Finance Officer, and Rowan Limond, Executive Director of Resources.

The Committee noted that 86% of all Homes for Haringey properties would see a £1 or £2 increase or decrease in rent charges. Others would see a substantial decrease in rent charges due to new formulas.  The Council would need to fund the £1.2 million shortfall in the budget as a result and this would be reimbursed in future years by Communities & Local Government (CLG) funding.

Committee members expressed that they felt the Government’s rules were contradictory; recommending an average rent increase and then placing “caps and limits” on individual rents.                                                                                                       The Committee were informed that letters from the Council had been sent to the Housing Minister raising these and other concerns.

Approximately 16,000 letters consulting on rent proposals were sent to tenants in Haringey.  The Executive Director of Finance agreed to circulate the responses to the consultation to Committee Members.

Executive Director of Finance agreed to circulate the responses to the rent proposals consultation with tenants.

RESOLVED that the report be noted.