Agenda item

Report of the Director of Community and Children’s Services.

Members considered a report of the Director of Community and Children’s Services on financial support with major works for leaseholders.  Members noted that Option 21c had been approved by the Community and Children’s Services Committee last week.

The Assistant Director (Community and Children’s Services) explained how this type of interest-free scheme was very common and the proposal before Members was to change the upper and lower limits of the scheme.  

Members noted that, although the rates for the mandatory schemes are prescribed by the Housing Act, the City of London Corporation has some flexibility over the rates for discretionary loans. Members noted that, whilst the option before them, at 21c in the report, would have a marginal impact on the HRA, the proposal also recognised the new demands on Leaseholders as part of the Five Year Major Works Programme and reflected a sensible balance between the City’s competing duties and powers.  Members also noted the merits on keeping the scheme as simple as possible to avoid unnecessary administration costs.

Members noted that the works to Great Arthur House would be finished at the end of the year and were sympathetic to the difficulties experienced by tenants during this project. 

RESOLVED – That the maximum threshold for the discretionary scheme be increased to £72,500 with an interest-free period of three years.