Agenda item

1.    To approve the financial additions to individual projects within the Housing Action Plan as noted in the table in paragraph 6.4 of the Report.

 

2.    To approve the amendment to the original business case for borrowing in order to buy houses to let to local residents, approved by the Cabinet at its meeting on 16 February, 2021, by making use of £5.6m from the Council Tax Premium.

 

The report was submitted by Cllr Craig ab Iago.

 

DECISION

 

1.    To approve the financial additions to individual projects within the Housing Action Plan as noted in the table in paragraph 6.4 of the Report.

 

2.    To approve the amendment to the original business case for borrowing in order to buy houses to let to local residents, approved by the Cabinet at its meeting on 16 February 2021, by making use of £5.6m from the Council Tax Premium.

 

DISCUSSION

 

It was reported to members that there was currently a homelessness crisis in Wales. Details were provided on a number of figures to outline the situation, which included:

 

·       There were currently 657 homeless people in Gwynedd and over 7,000 children living in poverty.

·       3000 Gwynedd residents were on a waiting list for social housing

·       The price of a house, on average, was eight times higher than the usual salary.

 

It was explained that the Council was aware of this crisis and a video was shared to introduce the five key aspects of the Housing Action Plan, namely:

 

1.    Tackling homelessness

2.    Building new houses

3.    Purchasing homes

4.    Bringing empty homes back into use

5.    Ensuring that Gwynedd housing are eco-friendly

 

It was reported that the original Housing Action Plan was based on the council tax premium percentage of 50%. Members were reminded that the premium had been increased to 100%, which generated approximately £20 million additional funding for housing and homelessness schemes, over the period of the plan.

 

It was noted that the Housing Action Plan had now existed for two years and so far had been able to complete nearly 600 units through various projects, which would benefit over 4000 Gwynedd residents. It was elaborated that an extra 313 additional units were currently in the pipeline.

 

It was explained that £34 million funding had been allocated to various projects for the 2023/24 financial year.

 

It was confirmed that eight houses had been purchased as part of the Buy to Let scheme, with the potential for 32 individuals to benefit from these houses. It was elaborated that a number of other houses were currently in the process of being purchased. It was also stated that 15 applications had been approved as part of the Homebuy Scheme, since it was launched in September 2022.

 

It was reported that the Empty Houses scheme had managed to bring 104 houses back into use across Gwynedd and the department had also managed to construct 173 social housing, with 88 new houses currently being constructed. It was elaborated that money had been earmarked to construct another 113 social housing units within this financial year.

 

It was a source of pride that the department currently helped to support 40 people in the county, by collaborating with the Betsi Cadwaladr University Health Board to establish a provision to support individuals who are at risk of becoming homeless due to mental health issues, to continue living in their homes.

 

It was explained that the costs of construction, labour and materials had increased significantly since the original Housing Action Plan was established in 2021. It was elaborated that these costs had increased by approximately 30% and it was detailed that interest rates had also increased. It was noted that this increase in prices had created difficulty to purchase houses on the local market and had affected the development of various projects.

 

Details were provided on the logic behind increasing the contribution of the Council Tax Premium Fund to housing and homelessness schemes, which included:

 

·       Supported housing for the homeless schemes - 45 units were ready in Caernarfon and Pwllheli to reduce dependency on temporary accommodation.

·       Purchase of former social housing and renting them to Gwynedd residents and purchase private housing.

·       Develop our own housing scheme - to increase the opportunities for Gwynedd residents.

 

Officers of the department were thanked for their continuous work with the Housing Action Plan.