Agenda item

AGREED recommendations.

Reasons for the decision – as detailed in the report

Other options considered – as detailed in the report

Conflicts of interest / dispensations granted – none

RESOLVED:

(a) To agree to retain the ambition of building 750 new council homes, as detailed in the report of the Executive Member for Finance, Planning and Performance.

(b) To approve plans to build approximately 178 new council homes, as well as 10 shared ownership homes, at the Finsbury Leisure Centre, Vorley Road, Harvist Estate and Bemerton Estate (south) sites, subject to ongoing viability reviews and planning permission.

(c) To approve plans to commence the design of schemes seeking to deliver a further 570 new council homes, as set out in exempt appendix two of the report, subject to ongoing viability reviews and potential replacement schemes.

(d) To note that the expected resources needed to deliver these new council homes and commence design of further schemes were approved by the Executive on 9 February 2024. (e) To note the risk that all or part of the costs of the pipeline programme in exempt appendix 2 of the report might need to be written off if these schemes did not proceed to construction, to be mitigated by robust gateway management and the early cessation of non-viable schemes

(f) To note that some previously publicised schemes would no longer proceed on viability grounds and that these decisions had been communicated to residents as appropriate, as well as local ward members

(g) To note that the New Council Homes Programme’s strengthened governance and assurance processes had also been reviewed by Audit Committee in January 2024 and were subject to an Internal Audit review in 2024/25.

(h) To delegate authority to the Corporate Director of Community Wealth Building to settle any claims arising from the schemes under construction as set out in exempt appendix one of the report, following consultation with the Corporate Director of Resources, the Monitoring Officer and the Executive Member for Finance, Planning and Performance.

(i) To approve increased fee spend of £0.492m on the Finsbury Leisure Centre Scheme to cover additional costs up to the submission of the planning application.

(j) To note that the Council continued to lobby the Government to allow more flexible use of receipts and grants and to increase funding for new genuinely affordable homes.

Reasons for the decision - Despite the many significant risks and challenges, including the significant financial pressures on the Housing Revenue Account, the Council retained its ambition to deliver new council homes. Schemes that offered poor value for money, had been stopped and any remaining budgets would be used to support schemes that offered better value for money and a more effective and efficient use of Council resources. To improve the likelihood that schemes would become viable and deliverable, significant new governance, assurance and control processes had been put in place to manage costs and control risk at both scheme and programme wide levels, as well as a new delivery team structure, which were all subject to ongoing scrutiny and review.

Other options considered – all as detailed in the report of the Executive Member for Finance, Planning and Performance.

Conflicts of interest / dispensations granted – none