This report provides an update on the current Local Authority New Build (LANB) programme, seeks spend approval for £1.4m to start delivery of the next phase of the programme during the financial year 21/22 and sets out an intention to request spend and budget approval for additional funding to continue the delivery of Phase 4 of the Local Authority New Build and Acquisitions Programme.

The Executive Director of Economic Growth and Neighbourhood Services submitted a report which gave an update on the current Local Authority New Build (LANB) programme, which had to date delivered 174 local authority homes, with schemes in progress to deliver another 307 homes by 2024.

The report detailed proposals and funding arrangements for the next phase of the programme (phase 4).  The report sought spend approval for a budget of £1.4m to start delivery of the next phase of the programme during the financial year 2021/22, funded through a combination of HRA borrowing; Right to Buy receipts; S106 receipts and Homes England Grant where appropriate, and stated that the existing Capital Programme would be reprofiled with £1.4m moving from 2023/24 to 2021/22.  This change would be reflected in the July 2021 Budget Monitoring Outturn report to Policy Committee.

The report also set out an intention to request spend and budget approval for an additional £30.6m to continue the delivery of Phase 4 of the Local Authority New Build and Acquisitions Programme from 2022/23, as part of the budget approval within the 2022/23 Medium Term Financial Strategy process.

The report sought authority for the Assistant Director of Housing and Communities in consultation with the Lead Member for Housing, the Leader of the Council, the Assistant Director of Legal and Democratic Services and the Director of Finance (as appropriate) to:

• agree which sites to progress, following engagement with relevant ward councillors;
• to tender for and enter into contracts with the winning bidders in respect of multi-disciplinary/consultancy services and works to deliver the schemes, subject to the further spend approval and budget being approved and;
• continue to approve the purchase of existing properties from the open market limited to a maximum purchase price of £500k.

Resolved -

(1)      That the spend of up to £1.4m on phase 4 during the financial year 2021/22 be approved and the required reprofiling of the budget currently within the existing Capital Programme for Phase 4 of the LANB programme (£1.4m) from 2023/24 to 2021/22 be noted;

(2)      That the intention to request spend and budget approval for an additional £30.6m to continue the delivery of Phase 4 of the Local Authority New Build and Acquisitions Programme from 2022/23, in parallel to the budget approval within the 2022/23 Medium Term Financial Strategy process be noted;

(3)      That the Assistant Director of Housing and Communities in consultation with the Lead Councillor for Housing, the Leader of the Council, the Director of Legal and Democratic Services and the Director of Finance be granted authority to agree which sites are suitable to progress within the spend approval and restrictions set out in the report;

(4)      That the Assistant Director of Housing and Communities in consultation with the Lead Councillor for Housing, the Leader of the Council, the Assistant Director of Legal and Democratic Services and the Director of Finance be granted authority to: (a) tender; and (b) enter into contracts in connection with the Phase 4 LANB programme with the winning bidders in respect of multi-disciplinary/consultancy services and works to deliver the housing schemes as set out in the report;

(5)      That the Assistant Director of Housing and Communities in consultation with the Assistant Director of Legal and Democratic Services and the Director of Finance, be granted authority to approve the purchase of existing properties from the open market for the purpose of providing affordable housing, with a maximum limit of £500,000 per single unit.