Shapps promises freedom as axe falls on HRA

摘要

Councils will have the power to manage their own housing stock in future, after the Housing Revenue Account (HRA) subsidy system was formally scrapped. Housing minister, Grant Shapps, confirmed the new financial deal meant local authorities no longer had to pay council rents directly to Whitehall, which then decided how the cash should be redistributed. The new self-financing model will allow councils to make direct changes to their housing stock. There will be a 'one-off adjustment to councils' housing debt, after which they will be able to retain rental income.