Issue - meetings

This report sets out proposals for Cabinet consideration to establish and deliver a Right to Buy (RTB) receipt enabled new supply housing programme for 2015-19. 

(i)         that approval be given to the continuing retention of Right to Buy receipts (subject to government legislation), as part of the Brent Retention Agreement (2012) with the Secretary of State for Communities and Local Government, until 31 March 2019.

(ii)        that approval be given to, from 1 September 2015 to 31 September 2016, the purchase of open market properties in accordance with criteria to be agreed by the Chief Finance Officer, for the provision of affordable housing, expending a minimum of £2.01m of RTB receipts (30%) and £4.69m of HRA (70%) capital resources, and to delegate authority to the Operational Director for Property and Projects to agree the final terms of these acquisitions;

(iii)       that approval be given to commence procurement of a Preferred Delivery Partner, either via the Greater London Authority London Development Panel ‘Mini Competition’ process or through the Official Journal of the European Union, to provide new affordable housing with the support of Right to Buy receipts in 2016-19 and to thereafter seek Cabinet approval to award this contract.;

(iv)       that a minimum of £11.64mRTB receipts be committed to the Delivery Partnership set out in recommendation 2.3 and that the balance be available to support investment in the two Housing Zones subject to further Cabinet approval.

The report from the Strategic Director, Regeneration and Growth set out proposals to establish and deliver a Right to Buy (RTB) receipt enabled new supply housing programme for 2015-19. Councillor McLennan (Lead Member, Housing and Development) reminded the Cabinet of the housing pressures faced by the council. She referred to the increase in Right To Buy applications since the government increased the discount available with 187 properties (142 flats and 44 houses) sold from 1 April 2011 to 31 March 2015.  Councillor McLennan stated that the focus was now on spending the receipts to accelerate the delivery of replacement affordable homes in line with the priorities set out in the Housing Strategy. The Cabinet noted that a number of different models were being considered including open market purchase using 30% of RTB receipts with a delivery partner, to build homes for residents and maximise the delivery of affordable homes.

Councillor Pavey (Deputy Leader) welcomed the report which he described as timely and creative. He referred to recently announced government policy to extend RTB to housing association tenants and how this would fit with the viability of registered social landlords and long term partnerships. Councillor McLennan responded that all would be welcome to bid and a further report would come to Cabinet once the position was clearer.

RESOLVED:

(i)         that approval be given to the continuing retention of Right to Buy receipts (subject to government legislation), as part of the Brent Retention Agreement (2012) with the Secretary of State for Communities and Local Government, until 31 March 2019;

(ii)        that approval be given to, from 1 September 2015 to 31 September 2016, the purchase of open market properties in accordance with criteria to be agreed by the Chief Finance Officer, for the provision of affordable housing, expending a minimum of £2.01m of RTB receipts (30%) and £4.69m of HRA (70%) capital resources, and to delegate authority to the Operational Director for Property and Projects to agree the final terms of these acquisitions;

(iii)       that approval be given to commence procurement of a Preferred Delivery Partner, either via the Greater London Authority London Development Panel ‘Mini Competition’ process or through the Official Journal of the European Union, to provide new affordable housing with the support of Right to Buy receipts in 2016-19 and to thereafter seek Cabinet approval to award this contract;

(iv)       that a minimum of £11.64m RTB receipts be committed to the Delivery Partnership set out in (ii) above and that the balance be available to support investment in the two Housing Zones subject to further Cabinet approval.