Tenants’ Engagement in the HRA

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Presentation transcript:

Tenants’ Engagement in the HRA June 2015

What is the Housing Revenue Account (HRA)? It’s not the General Rate Fund (GRF). HRA Income HRA Expenditure Management, maintenance and improvement Debt repayments Rent Sales income Bank interest

Guidance on the Operation of LA HRAs in Scotland Published by Scottish Gov’t (Feb ’14): how HRA should operate; who it should benefit; tenants or future tenants what outcomes it should achieve; supporting Charter principles; supporting tenant scrutiny

HRA Guidance Principles Improved working between housing and finance Evidencing HRA outcomes Meeting strategic housing outcomes Meeting Charter outcomes Best Value Tenant consultation Evidence-based methodologies for allocating HRA/non-HRA costs

Charter outcomes supported 13 – Social landlords manage all aspects of their business so that tenants, owners and other customers receive services that provide continually improving value for rent and other charges they pay.

Charter outcomes supported 14 – A balance is struck between the levels of service provided, the costs of the services and how far current and prospective tenants and service users can afford them.

Charter outcomes supported 15 – Tenants get clear information on how rents and other money is spent including information on items of expenditure above thresholds agreed between landlords and tenants.

Charter outcomes supported 2 – Tenants and other customers find it easy to communicate with their landlord and get the information they need about their landlord, how and why it makes decisions and the services it providers

Charter outcomes supported 3 – Tenants and other customers find it easy to participate in and influence their landlord’s decisions at a level they feel comfortable with

Repairs & maintenance expenditure per house

Supervision & management expenditure per house

Balance: income - expenditure

Problems Who should pay for it #1? (HRA or GRF?) new council homes a playground in a new council estate the new road leading to the new estate Quality versus Cost? Rolls Royce or Skoda? who decides?

More problems Is the HRA delivering ‘value for money’? What is it, and how do you know? Who should pay for it #2? (HRA or GRF?) lift maintenance in a block including owners? grass cutting on an estate including owners?

Yet more problems Who should pay for it #3? – council overheads (HRA or GRF?) central IT/HR/legal support? housing office space? councillors? Concern that HRA is being used to subsidise GRF.

Finally VERY TECHNICAL How can/should tenants be involved in HRA decision-making? What information do tenants really need?

Tenants Engagement in the HRA Tim Pogson 0131 240 5226 tim.pogson@shbvn.org