Agenda item

(a)  That social & affordable housing dwelling rent increase by 7.7% from 1st April 2024 in line with current national rent setting formula.

(b)  That tenant service charges increase by 7.7% from 1st April 2024 in line with inflation and support the proposal to recover the additional costs currently being incurred by the HRA in respect of actual costs of services and income received.

(c)  That garage rents for council & private tenants and leaseholders increase by 7.7% from 1st April 2024 in line with inflation.

(d)  That it be noted that the HRA 30yr Business Plan & medium term revenue & capital budgets for 2024/25 will be considered by cabinet in February 2024.

The Lead Member for Highways, Housing & Transport introduced a report that set out the proposed changes to social housing rents and service charges for 2024/25.  This included approval for the proposed increases to both Housing Revenue Account (HRA) dwelling rents, affordable housing rents, garage rents and tenant service charges from 1^st April 2024.

A dwelling rent increase of 7.7% was proposed for 2024/25, plus 7.7% for non-dwelling rents and service charges based on the September CPI plus 1%, which was the government rent formula direction.  The Executive Director highlighted that the increase equated to an average increase of £9 per week and followed a period between 2015-19 of a 1% rise per year which was in effect a real terms rent reduction.  The proposed dwelling rent increases were in line with the governments current rent regulations and the increase was necessary to ensure there were adequate funds to run the services.  During discussion on the report Lead Members commented on the importance of ensuring the necessary support was in place for vulnerable tenants.

The Cabinet approved the recommendations.

Resolved –

(a)  That social & affordable housing dwelling rent increase by 7.7% from 1st April 2024 in line with current national rent setting formula.

(b)  That tenant service charges increase by 7.7% from 1st April 2024 in line with inflation and support the proposal to recover the additional costs currently being incurred by the HRA in respect of actual costs of services and income received.

(c)  That garage rents for council & private tenants and leaseholders increase by 7.7% from 1st April 2024 in line with inflation.

(d)  That it be noted that the HRA 30yr Business Plan & medium term revenue & capital budgets for 2024/25 will be considered by cabinet in February 2024.