The Head of Housing Services has submitted a report to seek project approval and delegations to enable the spending of Retained Right to Buy Receipts and s.106 funding for the purpose of delivering, or enabling the delivery of, more affordable housing, through new build or acquisition activity.

Recommendations: That Cabinet resolves to:

1.    Give project approval to the proposals, to purchase accommodation or issue grants, as set out in this report, and within the allocated capital budgets, for the purpose of delivering more affordable housing in Oxford;

2.    Note that the proposals set out in this report, in relation to Retained Right to Buy Receipts (RRTBRs) - £13.2m in the HRA in 20/21, and £2.35m in 21/22; Recycled Capital Grant Funds (RCGF) - £370k in the HRA in 20/21; and s.106 funds - £3m in the General Fund in 20/21; have informed the budget setting process and that the implications for budgets are included within the 2020/21 consultation budget;

3.    Recommend to Council that a capital budget for £3m of expenditure, subsidised using RRTBRs, is approved in 2019/20, to enable an off-plan purchase of Social Rented homes, this sum being effectively brought forward from the overall £13.2m identified in 2020/21 in the consultation budget, which would then reduce to £10.2m in 20/21 accordingly;

4.    Delegate authority to the Director of Housing, in consultation with the Cabinet Member for Affordable Housing; the Head of Financial Services/Section 151 Officer; and the Council’s Monitoring Officer, to enter into agreement for the award of grant, contractual arrangement and/or spend, for the provision of additional affordable housing in perpetuity, using Retained Right to Buy Receipts or Recycled Capital Grant funding;

5.    Delegate authority to the Head of Planning Services, in consultation with the Cabinet Member for Affordable Housing; the Head of Financial Services/Section 151 Officer; and the Council’s Monitoring Officer, to enter into agreement for the award of grant, contractual arrangement and/or spend, for the provision of additional affordable housing in perpetuity, using s.106 funds; and

6.    Delegate authority to the Chief Executive, in consultation with the Cabinet Members for Finance and Asset Management, and Affordable Housing, to approve any property or development purchases over £500,000 for affordable housing, within this project approval.

The Head of Housing Services had submitted a report which sought  project approval and delegations to enable the spending of Retained Right to Buy Receipts and s.106 funding for the purpose of delivering, or enabling the delivery of, more affordable housing, through new build or acquisition activity.

Councillor Mike Rowley, Cabinet Member for Housing , introduced the report which brought together a number of different funding streams to enable the delivery of  more affordable housing through new build or acquisitions. This amounted to a little over £17m over the next two years and was estimated to provide about 200 new affordable rented Council homes.  He was  pleased to be able to report the recent agreement to purchase 45 homes for social rent from a developer in Littlemore.

Dave Scholes, Housing Strategy & Needs Manager, said the proposals, with particular reference to the delegations,  would enable the Council to respond more swiftly than would otherwise be the case to opportunities for the purchase of affordable housing which might arise.

The Chair was pleased to see this initiative which was another means to address the pressing need for affordable housing.

Cabinet resolved to:

1.    Give project approval to the proposals, to purchase accommodation or issue grants, as set out in this report, and within the allocated capital budgets, for the purpose of delivering more affordable housing in Oxford;

2.    Note that the proposals set out in this report, in relation to Retained Right to Buy Receipts (RRTBRs) - £13.2m in the HRA in 20/21, and £2.35m in 21/22; Recycled Capital Grant Funds (RCGF) - £370k in the HRA in 20/21; and s.106 funds - £3m in the General Fund in 20/21; have informed the budget setting process and that the implications for budgets are included within the 2020/21 consultation budget;

3.    Recommend to Council that a capital budget for £3m of expenditure, subsidised using RRTBRs, is approved in 2019/20, to enable an off-plan purchase of Social Rented homes, this sum being effectively brought forward from the overall £13.2m identified in 2020/21 in the consultation budget, which would then reduce to £10.2m in 20/21 accordingly;

4.    Delegate authority to the Director of Housing, in consultation with the Cabinet Member for Affordable Housing; the Head of Financial Services/Section 151 Officer; and the Council’s Monitoring Officer, to enter into agreement for the award of grant, contractual arrangement and/or spend, for the provision of additional affordable housing in perpetuity, using Retained Right to Buy Receipts or Recycled Capital Grant funding;

5.    Delegate authority to the Head of Planning Services, in consultation with the Cabinet Member for Affordable Housing; the Head of Financial Services/Section 151 Officer; and the Council’s Monitoring Officer, to enter into agreement for the award of grant, contractual arrangement and/or spend, for the provision of additional affordable housing in perpetuity, using s.106 funds; and

6.    Delegate authority to the Chief Executive, in consultation with the Cabinet Members for Finance and Asset Management, and Affordable Housing, to approve any property or development purchases over £500,000 for affordable housing, within this project approval.