Agenda item

7.1

The Committee received a presentation, which was introduced by Janet Sharpe (Director of Housing and Neighbourhood Services), on the implications for the Council of the Housing and Planning Bill, which was presently going through Parliament. 

7.2

Liam Duggan (Manager, Housing Business Plan Team) gave the presentation, which covered the background, significant national policy announcements for social housing in 2015, the extension of Right to Buy, higher rents for higher earners and the review of lifetime tenancies.  The presentation concluded by considering the major implications for housing in the joint Autumn Statement and Spending Review. 

7.3

Members made various comments and asked a number of questions, to which responses were provided as follows:-

·                The Secretary of State would arrive at a calculation as to what was a high value Council home and also consider how quickly such homes would turn over, and then set a bill for Sheffield each year, which would fund the extension of Right to Buy for Housing Association tenants.  It would be up to the Council to decide as to how the funding for this bill was to be raised, which could involve selling properties or raising the funds by other means.  Any late payments would attract interest. 

·                It was not yet known how higher earning tenants would be identified, but it could be through either disclosure by the tenant or via tax records from Her Majesty’s Revenue and Customs.

·                One approach which the Council could adopt would be to sell off high value Council properties, so the basis for the Government’s calculation would be reduced for the following year.

·                The Housing Bill as drafted contained provisions, which required the Government to consult with Local Government before raising the charge relating to high value Council homes.

·                Officers would be working with the Housing Associations in Sheffield, in relation to the approach to the extension of Right to Buy provisions and how social housing in the City might be best protected.  At the moment, there was some uncertainty in the sector as to whether they would be fully compensated and what would happen if Housing Associations chose not to adopt the policy.

·                The homes which would be considered high value by the Government were likely to be “normal” Council homes, but in areas where the local housing market was strong.

·                It was not yet known how the Government would determine “high value”.

·                The homes which Housing Associations must provide, to replace those lost through Right to Buy, would not necessarily be homes for rent, but could be other tenures such as shared ownership.

·                A property was classed as being vacant at the change of tenancy, but officers would check the detail of this.

·                The London Borough of Barnet had introduced fixed term tenancies.

7.4

RESOLVED: That the Committee:-

(a)       thanks Janet Sharpe and Liam Duggan for their contribution to the meeting;

(b)       notes the contents of the presentation and responses to questions; and

(c)        in view of the importance of these legislative proposals, extends an invitation to the attending officers to attend future Committee meetings, to provide updates on the implementation of the Housing and Planning Bill, as and when appropriate.