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Agenda Item No.

 

THE VALE OF GLAMORGAN COUNCIL

 

SCRUTINY COMMITTEE (HOUSING AND PUBLIC PROTECTION): 7TH SEPTEMBER, 2011

 

REFERENCE FROM CABINET: 6TH JULY, 2011

 

 

"C1365          SOCIAL HOUSING GRANT PROGRAMME 2011 - 2014 (HCS) (SCRUTINY - HOUSING AND PUBLIC PROTECTION) -

 

Cabinet were advised of the amount of Social Housing Grant allocated to the Vale of Glamorgan Council by the Welsh Government for the provision of affordable housing in 2011/12, the indicative forward allocations for 2012/13 and 2013/14 and the schemes being supported.

 

Social Housing Grant (SHG) was a capital grant made available by the Welsh Government to Registered Social Landlords (RSLs) to provide new affordable housing for rent or for low cost home ownership.

 

Whilst SHG is paid to RSLs from 2011 it was incumbent on the local authority to submit and monitor a Programme Delivery Plan covering a three year period from 2011 to 2014 to the Welsh Government showing how they proposed to spend the SHG allocation based on the priority schemes that the RSLs had identified for possible future development.  Each developing RSL would then be responsible for the procurement and delivery of schemes in their agreed development programme.

 

The Vale of Glamorgan Council had been notified of its SHG allocation for 2011/12 and indicative allocations for 2012/13 and 2013/14 (which could be subject to change) on 31st March and given a deadline of 16th May, 2011 by which to submit the Programme Delivery Plan.  The Vale of Glamorgan was allocated, and had already committed its full grant allocation:

 

2011/12 £1,296,499.51

2012/13          £1,247,788.38

2013/14          £1,105,635.27.

 

Failure by the Council to ensure that the allocated budget for each year is spent would result in any underspend being redistributed by the Welsh Government to another local authority.

 

There were currently four RSLs who were zoned by the Welsh Government to develop in the Vale of Glamorgan, Hafod Housing Association, Newydd Housing Association, Wales and West Housing Association and United Welsh Housing Association which was able to develop supported housing only.

 

Because of the very low settlement awarded to the Vale of Glamorgan over the next three years, it was imperative that the Authority ensured that schemes were prioritised appropriately to meet identified housing needs and other funding streams e.g. Section 106 Agreements and Recycled Capital Grant were maximised. 

 

In addition to the low settlement, some affordable housing units had already been completed or were on site using bridge funding raised by the RSL.  There was a requirement on the Council to prioritise these schemes for repayment before new schemes were developed, thus further reducing the available funding for new schemes.

 

In the Vale of Glamorgan, 11 new schemes had been brought forward and prioritised by officers from the Housing Department based on criteria including strategic importance, housing need, deliverability, value for money and community benefits.  The total funding requirement for these schemes exceeded the funding allocated to the Vale of Glamorgan but the Authority was required by the Welsh Government to ensure that it over-programmed its spending in Year 3 (2013/14) in order to have replacement developments for any higher prioritised schemes that failed.  In addition, the Council was hopeful of developing additional Extra Care Schemes should funding become available. 

 

This was a matter for Executive decision.

 

RESOLVED -

 

(1)       T H A T the Social Housing Grant programme expenditure as detailed in Appendix A to the report be noted.

 

(2)       T H A T the report be referred to the Scrutiny Committee (Housing and Public Protection).

 

Reason for decisions

 

(1&2)  For information."

 

 

Attached as Appendix - Report to Cabinet: 6th July, 2011

 

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