Agenda item

To submit the report of the Head of Housing Services.

The report of the Head of Housing Services incorporating the Housing Revenue (HRA) Business Plan for 2026 to 2056 was presented for the Executive’s consideration.

Councillor Carwyn Jones, Portfolio Member for Housing and Community Safety presented the report noting that the HRA Business Plan sets out the Council’s 30 year strategy for managing, maintaining and investing in its housing stock while ensuring long term financial sustainability. The plan is a statutory requirement to secure Welsh Government’s Major Repairs Allowance of approximately £2.7m for 2026/27. It outlines how the Council will meet the Welsh Housing Quality Standards 2023, progress decarbonisation and deliver new affordable homes to meet rising local demand for housing, with over 950 people currently on the housing list. The plan includes a £16m capital programme for 2026/27 covering WHQS works, fire safety, adaptations, energy efficiency upgrades, and £4m for solar panel and battery installation. It also provides £15.5m for new development including an Extra Care facility in Menai Bridge, new council housing and buy backs.

Councillor Carwyn Jones highlighted that the plan is based on a number of assumptions, including a 4.3% rent increase, 2% inflation, and a development rate of 45 new homes per year throughout the plan period, supported by grants and borrowing. Overall, the plan confirms that the HRA remains viable, enabling the Council to respond effectively to population change, climate challenges and increasing demand for suitable homes. It reaffirms the Council’s commitment to delivering high quality, affordable homes across the island and to supporting resilient and thriving communities over the next 30 years.

Councillor Jeff Evans, Chair of the Corporate Scrutiny Committee reported from the committee’s meeting on 18 March 2026, which considered the HRA Business Plan 2026-2056. In reviewing the plan, members sought assurance on rent affordability, tenant support and engagement, the type of housing units being developed and the housing waiting list. Members also noted that the plan is ambitious, with £16m of planned capital expenditure in 2026/27, and that meeting the requirements of the plan and Welsh Government standards while keeping rents affordable will be challenging. Following discussion, and after considering the responses provided by officers and the Portfolio Member to the matters raised, the committee had resolved to support the HRA Business Plan 2026-56 and to recommend it for the Executive’s approval.

The Chief Executive noted that while the Business Plan is comprehensive and reflects a significant amount of work, the income coming into the system is insufficient. Continuing the Council’s programme of developing new housing, maintaining existing properties and  decarbonising the whole stock will therefore be challenging. Maintaining these three key priorities at the same level as in previous years will require changes at national level, and this will be an important strategic issue over the coming years.

Executive Members affirmed their support for the Council’s housing stock and expressed their satisfaction that the stock had been retained. Members also noted their hope for a more level playing field in future between councils with their own housing stock and Registered Social Landlords. Thanks were extended to the Housing Service and its teams for their work.

It was resolved to approve the Housing Revenue Account Business Plan 2026-2056 for submission to Welsh Government.