Housing Revenue Account Council Houses 2026-09-07

2026-09-07

TAGS
Response quality

Questions & Answers

Q1 Partial Answer
Meg Hillier Lab
Hackney South and Shoreditch
Context
Local authorities face significant financial pressure due to housing revenue account (HRA) debt, impacting the ability to maintain and increase council housing stock.
What assessment has been made of the potential impact of housing revenue account debt on the ability of local authorities to maintain and increase council housing stock?
We recognise the financial pressure on councils due to HRA debt and have taken steps to support them, including reforming the right to buy scheme, a 10-year social housing rent settlement, and social rent convergence. We will explore further ways to support councils, including low-cost borrowing options.
Assessment & feedback
Did not provide a specific assessment of the impact of HRA debt
Response accuracy
Q2 Partial Answer
Context
Cornwall council's HRA debt exceeds £90 million, affecting its ability to build new council homes.
Will the Government consider options to write off HRA debt or provide lower-cost financing to Cornwall and other councils, given the barriers to delivering new council homes due to HRA debt?
We have acted to build capacity in the sector and will continue to explore ways to support councils, including low-cost borrowing options. We remain committed to the principle of self-financing but acknowledge the impact of HRA debt and will explore further support.
Assessment & feedback
Did not provide a specific commitment to write off HRA debt or offer lower-cost financing
Response accuracy
Q3 Partial Answer
Meg Hillier Lab
Hackney South and Shoreditch
Context
The MP highlights the importance of building homes in London and the cost savings from tackling housing issues, suggesting a discussion with Treasury colleagues to understand the long-term benefits.
Will the Government undertake to discuss with Treasury colleagues the maths around tackling HRA debt and its long-term cost savings, given the importance of building homes in London?
The Government are aware of the housing delivery challenges in London and are committed to building social rented homes, with 30% of the funding going to London to deliver at least £6 billion of initial allocations for council housing. Further discussions will be held to address what more can be done.
Assessment & feedback
Did not provide a specific commitment to discuss the maths around tackling HRA debt
Response accuracy
Q4 Partial Answer
Context
Councils that sold their housing stock years ago face challenges in influencing the social housing network and supporting constituents living in poor-quality homes.
What additional measures are being considered to ensure there is no two-tier system between councils with HRA and those without, given the complexity and cost of influencing the social housing network?
We have raised the threshold for accessing an HRA to 1,000 homes and are considering further measures to ensure sufficient public control of private registered providers in an area to meet housing need. Further discussions will be held on the Social Housing Bill.
Assessment & feedback
Did not provide specific additional measures to ensure no two-tier system
Response accuracy
Q5 Partial Answer
Tim Farron Lib Dem
Westmorland and Lonsdale
Context
The MP highlights the high house prices and the need for social housing in his constituency, noting concerns about the right to buy affecting new council housing.
What will the Government do to encourage local authorities to build council houses with confidence that they will remain affordable, given the impact of the right to buy?
We have taken action to reduce maximum right-to-buy cash discounts and are banning the right to buy on new build social homes for 35 years through the Social Housing Bill. We hope the MP will support the Bill on Thursday.
Assessment & feedback
Did not provide specific actions to encourage local authorities to build council houses with confidence
Response accuracy