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Waverley Borough Council Committee System - Committee Document

Meeting of the Executive held on 06/01/2004
Draft Housing Revenue Account Capital Programme 2004/2005



Summary & Purpose
This report provides further opportunity for the Executive to consider the draft 2004/05 Housing Revenue Account (HRA) Capital Programmes.

In considering the Programme the Executive is reminded, in particular, of the constraints being imposed by the Government from 2004/05 with the pooling of housing capital receipts and the Government pressure to achieve the decent homes standard within the housing stock.

Quality of Life Implications
Natural Resource Use
Pollution Prevention and Control
Biodiversity and Nature
Local Environment
Social Inclusion
Safe Communities
Local Economy
Natural
Resource Use
Pollution
Prevention and Control
Biodiversity
and Nature
Local
Environment
Social
Inclusion
Safe, Healthy
and Active
Communities
Local
Economy
N/A
N/A
N/A
N/A
Positive
Positive
Positive


APPENDIX C.1

WAVERLEY BOROUGH COUNCIL

EXECUTIVE – 6TH JANUARY 2004

Title:
DRAFT HOUSING REVENUE ACCOUNT CAPITAL PROGRAMME FOR 2004/2005
[Wards Affected: All]

Summary and Purpose

This report provides further opportunity for the Executive to consider the draft 2004/05 Housing Revenue Account (HRA) Capital Programmes.

In considering the Programme the Executive is reminded, in particular, of the constraints being imposed by the Government from 2004/05 with the pooling of housing capital receipts and the Government pressure to achieve the decent homes standard within the housing stock.

E-Government implications:

There are no E-Government implications.

Resource and legal implications:

There are no specific legal implications as a result of this report. Resource implications are contained throughout the report.

Introduction

1. Each year the Council reviews its three-year Capital Programme and, in particular, agrees the provision to be made within the Programme for the year ahead. The overall parameters for the Capital Programme are set out within the Council’s Financial Strategy.

Housing Revenue Account

2. The content of the draft programme at Annexe 1 is broadly the same as the first draft seen by the Executive in December. Additional provision has been made for risk management in relation to trees in line with decision taken by the Executive at its meeting on 2nd December last. An additional 500,000 is also being proposed in 2004/05 in relation to Decent Homes work and to maintain the budgets for disabled adaptations and community safety work. Current proposals allow for some 13.5m being spent on ‘decent’ homes during the next three years.

3. The proposals for 2004/05 and the indicative programme for the subsequent 2 years draw heavily on the existing unapplied capital receipts resource at a time when there is likely to be a significant drop in new usable receipts as a result of the introduction of capital receipts pooling on 1st April 2004. A significant fall in the number of right-to-buy sales is also anticipated.

Affordable Homes

4. It is considered, however, that current resources could support a small affordable housing programme of, say, some 500,000 in 2004/05 when Waverley will also receive 1.1m of Government support via the Housing Corporation. The Council has already agreed to use 1.2m of the resources allocated in its original Local Authority Social Housing Grant Programme for 2003/04 to fund affordable housing at the former Institute of Oceanography site in Witley. Given the lack of certainty as to whether Government funding will continue, it is suggested that 1m affordable housing provision is made in each of the years 2005/06 and 2006/07.

Prudential Borrowing

5. As part of the Budget process, the Council will be considering Prudential Borrowing. However, with the current high level of capital receipts generated from council house sales it is not envisaged that borrowing will be undertaken in 2004/05.

Recommendation

It is recommended that the Executive gives further consideration to the draft capital programmes and agrees, subject to comments from the Community Overview & Scrutiny Committee, to the financing of an affordable homes programme totaling 2.5m over the next three years.

Background Papers (DoF)

There are no background papers (as defined by Section 100D(5) of the Local Government Act 1972) relating to this report.

CONTACT OFFICER:

Name: Ms G Pope Telephone: 01483 523252

E-Mail: gpope@waverley.gov.uk

comms/exec/425