Issue - meetings

The Cabinet Member for Housing presented a report on the progress of the interim investment programme for the Council’s housing stock approved by the Cabinet on 14 June 2011 (Minute 4 refers) together with proposals for additional investment in the current financial year to accelerate the programme in advance of the introduction of the Housing Revenue Account (HRA) self-financing scheme from April 2012.

The Cabinet Member advised that the opportunity to accelerate the programme had arisen following a review of the Council’s borrowing capacity in advance of the new HRA self-financing arrangements.  As a consequence, it was proposed to invest an additional £10m in the current financial year, funded from borrowing via the Public Works Loan Board over a five-year period.  It was noted that the total borrowing costs over the five-year period would be approximately £1.1m and the Corporate Director of Finance and Resources advised that this would need to be assessed as part of the financial modelling for the project to ensure that it represented value-for-money and that the business case for appropriate benefits against the £1.1m extra cost was sufficiently made.

The Cabinet Member referred to the range of works that would be undertaken to Council houses across the borough, in accordance with the Council’s strategic housing investment priorities, and the longer-term benefits that would be achieved.  In respect of the procurement of the various schemes, the Cabinet Member confirmed that an element would be undertaken by the Council’s housing repairs and maintenance contractor, Enterprise, and wherever appropriate the remaining works would be packaged in such a way to encourage local and small-scale firms to bid for work.

Cabinet agreed:-

  (i)  To note the progress made in delivering the interim housing capital investment programme as set out in Appendix 1 to the report;

  (ii)  The additional investment programme totalling £10m as set out in Appendix 2 to the report; and

 (iii)  To authorise the Corporate Director of Housing and Environment, in consultation with the Corporate Director of Finance and Resources, the Divisional Director for Legal and Democratic Services and the Cabinet Member for Housing, to procure the additional works, agree terms and award contracts in respect of each scheme.

(The Chair agreed that the report could be considered at the meeting as a matter of urgency under the provisions of Section 100B(4)(b) of the Local Government Act 1972.)