Issue - meetings

The Housing Revenue Account (HRA) Budget (2026/27), Rents & Service Charges (2026/27) & HRA 10 Year Business Plan (2026/27 – 2035/36)

 

 

Meeting: 09/02/2026 - Cabinet (Item 6)

6 The Housing Revenue Account (HRA) Budget (2026/27), Rents & Service Charges (2026/27) & HRA 10 Year Business Plan (2026/27 - 2035/36) pdf icon PDF 349 KB

Decision:

That Cabinet agreed:

 

  1. To approve the Housing Revenue Account 2026/27 budget for council homes as set out in Table 1.

 

  1. To approve the HRA 10-year Business Plan for Council Homes (2026/27 – 2035/36) as set out in paragraphs 3 - 4 of this report and Appendices 1 - 5.

 

  1. To approve a rent increase of 4.8% from 6 April 2026 (in line with September 2025 CPI+1%), which equates to an average weekly increase for tenants of £6.69 in 2026/27.

 

  1. To approve an increase to shared ownership rents of 4.8% from 1 April 2026 (in line with September 2025 CPI+1%).

 

  1. To approve changes to tenant service charges to reflect the costs of providing communal services from 6 April 2026, which equate to an average weekly increase for tenants of £1.52in 2026/27.

 

  1. To approve a reduction to charges for heating and hot water to reflect the costs of provision of the district heating service from April 2026, which equate to an average weekly reduction for tenants and leaseholders on the scheme of £0.29 (communal heating), £1.27 (tenants’ personal heating) and £2.08 (leaseholders’ personal heating) in 2026/27.

 

  1. To approve an increase to the management fee for temporary on licence properties of 3.8% (in line with September 2025 CPI) from 6 April 2026.

 

  1. To approve an increase to the rent and service charges for hostels of 4.8% from 6 April 2026 (in line with September 2025 CPI+1%).

 

  1. To increase garage charges for council tenants, resident leaseholders, and for other customers from 6 April 2026 by 3.8% (in line with September 2025 CPI).

 

  1. To note that any change to parking charges on housing estates were considered separately with the Council’s parking plans at Cabinet in January 2026.

 

  1. To increase car space rental charges for all customers by 3.8% from April 2026 (in line with September 2025 CPI).

 

  1. To approve an increase in the Leasehold After Sale – Home Buy fees by 3.8% from April 2026 from £237 to £246 (in line with September 2025 CPI).

 

  1. To approve an increase in the Leasehold Property Alterations fees by 3.8% from April 2026.

Minutes:

Councillor Rowan Ree (Cabinet Member for Finance and Reform) introduced the report that set out the Housing Revenue Account (HRA) budget proposals for the financial year 2026/27 including changes to rent levels and other charges as well as an updated HRA 10-year Business Plan. Councillor Ree paid tribute to Councillor Frances Umeh (Cabinet Member for Housing and Homelessness) for her help delivering another balanced HRA budget. He noted that a few years ago the Council eliminated the structural deficit in the Account and was now adding to its reserves, while securing some of lowest rents in London and improving the housing stock.

 

Councillor Adronie Alford asked for more detail on the efficiencies mentioned in the report. Councillor Ree said efficiencies would come from capitalising costs, the new housing company, and staff reorganisation.

 

Councillor Alford welcomed the additions to reserves, but asked how the Council was achieving it. Councillor Ree said they had built in additions to balances in the budget, through the 10 year rents plan and operational efficiencies.

 

The Leader thanked Richard Shwe, Councillor Frances Umeh, and Councillor Rowan Ree for their work on the HRA budget.

 

The report and recommendations were unanimously agreed.

 

RESOLVED

 

That Cabinet agreed:

 

  1. To approve the Housing Revenue Account 2026/27 budget for council homes as set out in Table 1.

 

  1. To approve the HRA 10-year Business Plan for Council Homes (2026/27 – 2035/36) as set out in paragraphs 3 - 4 of this report and Appendices 1 - 5.

 

  1. To approve a rent increase of 4.8% from 6 April 2026 (in line with September 2025 CPI+1%), which equates to an average weekly increase for tenants of £6.69 in 2026/27.

 

  1. To approve an increase to shared ownership rents of 4.8% from 1 April 2026 (in line with September 2025 CPI+1%).

 

  1. To approve changes to tenant service charges to reflect the costs of providing communal services from 6 April 2026, which equate to an average weekly increase for tenants of £1.52in 2026/27.

 

  1. To approve a reduction to charges for heating and hot water to reflect the costs of provision of the district heating service from April 2026, which equate to an average weekly reduction for tenants and leaseholders on the scheme of £0.29 (communal heating), £1.27 (tenants’ personal heating) and £2.08 (leaseholders’ personal heating) in 2026/27.

 

  1. To approve an increase to the management fee for temporary on licence properties of 3.8% (in line with September 2025 CPI) from 6 April 2026.

 

  1. To approve an increase to the rent and service charges for hostels of 4.8% from 6 April 2026 (in line with September 2025 CPI+1%).

 

  1. To increase garage charges for council tenants, resident leaseholders, and for other customers from 6 April 2026 by 3.8% (in line with September 2025 CPI).

 

  1. To note that any change to parking charges on housing estates were considered separately with the Council’s parking plans at Cabinet in January 2026.

 

  1. To increase car space rental charges for all customers by 3.8% from April 2026 (in line with September 2025 CPI).  ...  view the full minutes text for item 6