Decision Maker: Cabinet

Outcome: Recommmend Forward to Council

Is Key Decision?: Yes

Is Callable In?: No

Date of Decision: January 21, 2026

Purpose: This report summarises the proposed HRA Medium Term Financial Strategy, the revised HRA Reserves Strategy, the 2026/27 HRA draft budget and the 2026/27 through 2029/30 Housing Capital Investment Programme.   Full Council – 5 February 2026

Content: RECOMMENDATION TO FULL COUNCIL ON 05 FEBRUARY 2026   RESOLVED that Cabinet recommend Full Council approve:-   (i)            The HRA draft budget and business plan for 2026/27 and note the Medium Term Financial Strategy (MTFS), with any final amendments being delegated to the Cabinet Spokesperson for Regeneration and Culture and the Executive Director for Growth and Sustainability in consultation with the Cabinet Spokesperson for Core Services, the Director of Finance (S151 Officer); and Service Director Regeneration and Culture (Client lead for Berneslai Homes);   (ii)          A rent, non-dwelling rent, service charge and district heating kWh increase of 4.8% in line with the Government’s Rent Cap;   (iii)         The 2026/27 Berneslai Homes Management Fee totalling £17.4M, inclusive of investments totalling £0.6M for an Enhanced Neighbourhood offer £0.4M, Love Where You Live Officer £0.1M, Awaabs Law Team £0.1M, plus Gypsy and Traveller Management fee of £0.1M charged to the General Fund;   (iv)          The Core Housing Investment Programme for 2026/27 totalling £55.2M (£28.8M Capital (Appendix 2) and £26.4M Repairs and Maintenance (Table 4));   (v)          The Housing Added Value schemes for 20267/27 totalling £2.1M, consisting of £1M Building Safety Compliance, £0.3M Princess Street – Floor Replacement and £0.8M Environmental Estate Improvements; and   (vi)         That work is undertaken during 2026/27 to identify capital programme savings reprioritisation or managed slippage of £4.5M p.a. for years 2-5 totalling £18M in order to balance the business plan over the 30 year period. (NB: pending any discussion on rent convergence).