Wednesday, 12 March 2014

Councils May Have To Return HRA Cash

Housing minister Kris Hopkins intervenes after councils use rent money for other purposes. Councils which transferred rent money to support other council services face being forced to return the cash. The CLG has issued a letter to local authorities, calling for information on transfers between the housing revenue account and the general fund.  The department will consider the responses before deciding whether to demand any of the money be repaid to the HRA.  The letter said: ‘The ring-fence of the housing revenue account exists to protect the rents paid by local authority tenants, in order to accurately reflect the cost of their housing service. These funds should therefore not be used to cover the costs of other council services.’ Read more on Inside Housing.

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