Issue details

Response to the "Buy Out" Offer for Reform of Council Housing Finance

Report of the Head of Finance in association with the Executive Director - Neighbourhoods, seeking approval of the response to the Government’s “buy-out” offer for Reform of Council Housing.

 

For some time the Government has been considering the future funding arrangements for council housing at a national level.  Formal consultation on possible options took place during 2009 and due to overwhelming support nationally for one option it is understood that the Government will make and offer to Council’s in Spring 2010 to be able to buy themselves out of the Housing Subsidy system.  The Council’s subsidy payment to the Government for 2010/11 is £8.5 million.

 

The timing of this decision is dependent on when the Council is advised on the buy out offer from the Government, and the subsequent timetable for response to this offer.  Council delegated this item to the Executive Director for Resources dependent on the consultation response period. However given the allotted time period, Cabinet will be able to respond.

 

 

Decision type: Key

Reason Key: Expenditure > £500,000;

Decision status: Withdrawn

Wards affected: (All Wards);

Decision due: 20 Dec 2010 by Officer Decision Making

Lead member: Cabinet Member for Resources and Workforce Planning

Lead director: Rob Carr

Department: Resources and Workforce Planning Portfolio

Contact: David Singleton 023 8083 2236 Email: david.singleton@southampton.gov.uk Email: david.singleton@southampton.gov.uk.

Consultation process

Emails and meetings.

Consultees

Officers in Legal, Finance, Human Resources and Property Services

Cabinet Member for Housing and Local Services

Executive Director for Neighbourhoods

Solicitor to the Council

Council Tenants

Public Comments may be sent to: David Singleton Finance Manager - Neighbourhoods 023 8083 2236 david.singleton@southampton.gov.uk

Slippage/Variations/Reason for Withdrawal: Decision date amended from 15th April 2010 to 27 September 2010 to enable consultation on receipt of any Government "buy-out" offer with all parties in line with the timetable proposed by Government. Decision date further amended to the 20th December 2010 in anticipation of receiving information from Government within this time-frame. An announcement that the reform of Housing Revenue Account Finance will be subject to legislation via the Localism Bill and that Central Government will not enter into any voluntary arrangements before the legislation is in place. This item is therefore no longer required and being withdrawn from the Forward Plan.