(Surplus) / Deficit (198) (3,233) A comprehensive review of the Housing Revenue Account and associated landlord functions has been carried out during 2017-18 following the implementation of the Place Review. HRA Estimates by Income & Expenditure 2017-18 to 2018-19 2017-18 2018-19 Description Estimate Estimate Variance £000 £000 £000 Rent Income Dwellings (15,024) (14,713) 311 – Charges for Services & facilities (958) (1,178) (220) Total Income (15,982) (15,891) 91 Repairs & Maintenance 3,486 3,317 (169) Supervision & Management 2,413 2,655 242 Service Charge Costs 1,129 1,234 105 Depreciation 2,300 2,923 623 Provision for Doubtful Debts 119 169 50 Total Expenditure 9,447 10,298 852 Contribution from Operations (6,535) (5,593) 943 Financing charges 2,360 2,360 - Capital Expenditure charged to 3,977 - (3,977) Revenue Net operating (surplus)/Deficit (198) (3,233) (3,035) Explanation of Budget Variations Rent Income - Dwelling Rents In determining future rental income the following factors have been taken into account: A rent reduction of 1% from 17-18 to 19-20 and nil inflation imposed by the Government. The Council had 3,804 HRA dwellings at 1st 2017 with an average weekly rent of £76.32 (on a 52 week basis). The average rent in 2017-18 will be £75.57 per week An assumed rent loss of 1% for void properties and 1.5% for bad and Estimated net rent arising from additional units included within the HRA capital programme from 2019/10 onwards. Charges for Services and Facilities Sewage Charges Historically charges for sewage have been increased in line with the annual increase applied by Anglian Water. Charges were increased by 2.5% in 2017-18 to catch up for several years’ increases which had not been actioned. For 2018-19 it is proposed that charges be increased in line with the annual increase applied by Anglian Water. This
(Surplus) / Deficit (198) (3,233) A comprehensive review of the Housing Revenue Account and associated landlord functions has been carried out during 2017-18 following the implementation of the Place Review. HRA Estimates by Income & Expenditure 2017-18 to 2018-19 Description 2017-18 Estimate 2018-19 Estimate Variance £000 £000 £000 Rent Income – Dwellings (15,024) (14,713) 311 Charges for Services & facilities (958) (1,178) (220) Total Income (15,982) (15,891) 91 Repairs & Maintenance 3,486 3,317 (169) Supervision & Management 2,413 2,655 242 Service Charge Costs 1,129 1,234 105 Depreciation 2,300 2,923 623 Provision for Doubtful Debts 119 169 50 Total Expenditure 9,447 10,298 852 Contribution from Operations (6,535) (5,593) 943 Financing charges 2,360 2,360 - Capital Expenditure charged to Revenue 3,977 - (3,977) Net operating (surplus)/Deficit (198) (3,233) (3,035) Explanation of Budget Variations Rent Income - Dwelling Rents In determining future rental income the following factors have been taken into account: A rent reduction of 1% from 17-18 to 19-20 and nil inflation imposed by the Government. The Council had 3,804 HRA dwellings at 1st 2017 with an average weekly rent of £76.32 (on a 52 week basis). The average rent in 2017-18 will be £75.57 per week An assumed rent loss of 1% for void properties and 1.5% for bad and Estimated net rent arising from additional units included within the HRA capital programme from 2019/10 onwards. Charges for Services and Facilities Sewage Charges Historically charges for sewage have been increased in line with the annual increase applied by Anglian Water. Charges were increased by 2.5% in 2017-18 to catch up for several years’ increases which had not been actioned. For 2018-19 it is proposed that charges be increased in line with the annual increase applied by Anglian Water. This
Appendix_A_-_Council_2018_19_Estimates.docx