Decision details

Draft Housing Revenue Account Budget 2021/22 and Rent Setting

Decision Maker: Cabinet

Decision status: For Determination

Is Key decision?: Yes

Is subject to call in?: No


The Cabinet considered a joint report of Executive Director (Finance and Resources) and Deputy Chief Executive and Executive Director (Housing & Growth) setting out the Housing Revenue (HRA) budget for 2021/22, together with the information necessary to set a balanced budget as required by legislation.




1. That an average rent increase of 1.50% on all tenancies, be endorsed.


2. An average rent increase of 1.50% on shared ownership properties, be endorsed.


3. That an increase of 1.50% for garage rents to £12.20 per week for tenants and £14.64 for non-tenants (being £12.20 plus VAT), a rise consistent with the proposal for the main rent increase (all variants on a standard garage will receive a proportionate increase), be endorsed.


4. That the proposed rent charges in 1-3 above be effective from 5th April 2021.


5. That the South Essex Homes core management fee at £6,336,000 for 2021/22, be endorsed.


6. That South Essex Homes proposals for average increases of 2.52% in service charges and 10.39% in heating charges to reflect the actual costs incurred be endorsed.


7. That the following appropriations be endorsed:


·       £60,000 to the Repairs Contract Pensions Reserve; 

·       £5,073,000 to the Capital Investment Reserve; and

·       £7,644,000 from the Capital Investment Reserve


8. That subject to resolutions 1 to 7 above, the HRA budget for 2021/22, as set out in Appendix 1 to the submitted report, be approved.


9. That the value of the Council’s capital allowance for 2021/22 be declared as £68,672,000, as determined in accordance with regulation 16 of the Local Authorities (Capital Finance and Accounting) (England) Regulations.


Reasons for Decision


Part of the process of maintaining a balanced budget for the HRA is to undertake an annual rent review and assessment of other service and facilities charges.  Full Council will need to approve the HRA budget and any changes to rent and other services prior to the start of the financial year.


Other Options


There are other options available to councillors in relation to the proposed rent and other services and facilities increases.


Note: This is an Executive Function save that approval of the final budget following Cabinet on 16th February 2021 is a Council Function

Referred direct to Policy and Resources Scrutiny Committee

Cabinet Member: Cllr Gilbert

Report author: Joe Chesterton

Publication date: 15/01/2021

Date of decision: 14/01/2021

Decided at meeting: 14/01/2021 - Cabinet

Accompanying Documents:


Get the best from this site

We use simple text files called 'cookies'. Some of these cookies are essential to make our site work and others help us to improve by giving us some insight into how the site is being used. For more information, including how to turn cookies off, see more about cookies - or simply click the Continue button to use this site as normal.