Hillingdon Council Cabinet Member and Officer Decisions
Housing Revenue Account Works to Stock 2023/24 Programme: Planned Replacement of Domestic Boilers and Associate Works - RELEASE NO: 8
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Democratic Services
Location: Phase II
Ext: 0693
DDI: 01895 250693
CMD No: 769
To: COUNCILLOR MARTIN GODDARD
CABINET MEMBER FOR FINANCE
COUNCILLOR JONATHAN BIANCO
CABINET MEMBER FOR PROPERTY, HIGHWAYS
AND TRANSPORT
c.c. All Members of th e Property, Highways and
Transport Select Committee
c.c. Mike Emmett - Place Directorate
c.c. Perry Scott – Corporate Director of Place
Date: 05 April 2023
Non-Key Decision request Form D
CAPITAL RELEASE REPORT (April 2023)
DEPARTMENT: Place
SERVICE AREA / PROGRAMME: Housing Revenue Account Works to
Stock 2023/24 Programme: Planned Replacement of Domestic Boilers and
Associate Works
RELEASE NO: 8
Dear Cabinet Member
Attached is a report requesting that a decision be made by you as an individual Cabinet
Member. Democratic Services confirm that this is not a key decision, as such, the Local
Authorities (Executive Arrangements) (Meetings and Access to Information) (England)
Regulations 2012 notice period does not apply.
You should take a decision on or after Monday 17 April 2023 in order to meet Constitutional
requirements about publication of decisions that are to be made. You may wish to discuss
the report with the Corporate Director before it is made. Please indicate your decision on the
duplicate memo supplied, and return it to me when you have made your decision. I will then
arrange for the formal notice of decision to be published.
Steve Clarke
Democratic Services Officer
Title of Report: Housing Revenue Account Works to Stock 2023/24 Programme: Planned
Replacement of Domestic Boilers and Associate Works - Release No: 8
Decision made:
Reasons for your decision: (e.g. as stated in report)
Alternatives considered and rejected: (e.g. as stated in report)
Signed ……………………………………………………… Date…………………….
Cabinet Member for Finance / Cabinet Member for Property, Highways and Transport
Capital Release Report – 05 April 2023 Page 1
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CAPITAL RELEASE REPORT (April 2023)
DEPARTMENT: Place
SERVICE AREA / PROGRAMME: Housing Revenue Account Works to Stock 2023/24
Programme: Planned Replacement of Domestic Boilers and Associate Works
RELEASE NO: 8
Cabinet Member(s) Councillor Martin Goddard
Councillor Jonathan Bianco
Cabinet Portfolio(s) Cabinet Member for Finance
Cabinet Member for Property, Highways & Transport
Officer Contact(s) Mike Emmett – Place Directorate
Papers with report Appendix A – Capital Release Request for Approval
HEADLINES
Summary
This report seeks Cabinet approval to release the budget allocation
for the 2023/24 Planned Replacement of Domestic Boilers and
Associated Works within Housing Properties.
Putting our
Residents First
Delivering on the
Council Strategy
2022-2026
This report supports our ambition for residents / the Council of:
Live in good quality, affordable homes in connected communities.
This report supports our commitments to residents of:
Thriving, Healthy Households.
Financial Cost The recommended release of £4,670k for the 2023/24 programme
to be funded from the Housing Revenue Account Works to Stock
Capital Programme.
Relevant Select
Committee
Property, Highways and Transport Select Committee
Relevant Ward(s) All Wards
RECOMMENDATIONS
That the Cabinet Member for Finance and the Cabinet Member for Property, Highways &
Transport agree to the following capital release request of £4,670k from the Gas Boilers
workstream within the Housing Revenue Account Works to Stock Programme 2023/24 for
the planned replacement of 1,917 domestic boilers within Housing Properties.
Capital Release Report – 05 April 2023 Page 2
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Reasons for recommendation
There are 8,636 gas boilers within London Borough of Hillingdon housing owned stock. 2,167
properties have a boiler installed which are 15 + years old,
The inefficiency of these older boilers contributes significantly to carbon emissions and causes
Council tenants to spend more on their energy bills than necessary.
With the advancements in boiler technology in recent years, many manufactures have stopped
producing parts for older boilers that are no longer in production. It is becoming increasing difficult
to obtain major part replacements for boilers more than 15 years old. This can cause significant
delays trying to source parts, if possible, leading to discomfort and frustration to tenants who rely
on their boilers for heating and hot water.
The planned replacement programme 2023/24 (1,917 Installations) would see the domestic boiler
stock age reduced to below 7 years old to 25%.
In 2030 the current G overnment proposal is to ban the sale/ installation of gas fired domestic
boilers and move domestic heating and hot water systems to “air to air” or “ground sourced” heat
pump installations. These installations require significant improvement s to building fabric
insulation levels and the installation of PV Panels (in most cases) to offset the increase in
electricity usage associated with heating and hot water provision to a domestic property.
Therefore, the planned boiler programme will allow LBH time to improve fabric insulation levels
in our housing stock. It is also expected that “ heat pump” technology with further improve over
the coming years and the current high costs of installations will reduce with technological
improvements.
All new boilers will be high efficiency “A” rated units.
Boiler Installations will be carried out by TSG Ltd, the approved term contractor appointed
by Cabinet on 24 September 2020 for a 4 -year period, with 1+1 year contract extensions
subject to Member approval.
Alternative options considered / risk management.
Wherever practical, economical, and safe to do so, boilers are repaired. Boilers that are beyond
repair because parts cannot be obtained or are beyond sensible economic repair, are replaced.
Boilers that are Immediately Dangerous ('ID') and cannot be repaired are disconnected. This
leaves the resident without hot water or heating; therefore, these boilers require replacement.
Select Committee comments
None at this stage.
Capital Release Report – 05 April 2023 Page 3
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SUPPORTING INFORMATION
Boiler manufactures on average provide a 7-year warranty. In respect of Boiler Efficiency, all new
boilers must be “A” Rated and meet all requirements of the Part L of the Building regulations. The
“Boiler Plus legislation” was introduced to increase the efficiency of homes across the UK by
stating that all gas boilers must meet certain requirements. One of those requirements was with
the efficiency level of all boilers installed needing to be at least 92% efficient.
Officers estimate the energy savings at the current energy rates to be a minimum of £190 per
property per annum and an estimated carbon saving of 30% per property, though this is
dependent on usage, and the dwelling current SAP rating. This will have a positive impact on
the property SAP (Standard Assessment Procedure) rating ( energy/environmental performance
of dwellings).
It is expected that there will be a requirement to replace 1,917 boiler installations within 2023/24
year.
The budget estimates in Table 1 have been calculated using the schedule rates for replacing the
domestic boilers within the Council’s Planned B oiler Installations term contract with TSG Ltd,
appointed by Cabinet in 2020:
Table 1: Planned Boiler Replacement Programme Cost Plan
Item Total Cost (£)
Planned Boiler Replacements in 1,917 properties 4,447,440
Project Management Fees 5% 222,372
Total Estimated Cost 4,669,812
Financial Implications
Budget £4,670k, Previously Released / Pending Release £NIL, Capital Release Requested
£4,670k.
The 2023/24 HRA Capital Programme, approved by Cabinet and Council in February 2022,
includes a capital budget for the Works to Stock programme of £22,437k. Within this, the Planned
Domestic Boiler Replacement workstream budget is £4,670k.
This report is seeking the release of £4,670k for the planned replacement of 1,917 obsolete
boilers with new high efficiency boilers , to spend against an approved Cabinet contract . The
release request is based upon the schedule rates within the Council’s planned boiler installations
term contract and includes a project management fee of 5% of the estimated replacement costs.
The works are programmed to commence upon release of the funds and the availability of the
approved term contractor’s resources.
Capital Release Report – 05 April 2023 Page 4
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RESIDENT BENEFIT & CONSULTATION
The benefit or impact upon Hillingdon residents, service users and communities
The replacement of inefficient and obsolete boilers will reduce energy usage for our tenants and
improve reliability of heating and hot water systems in their homes. The replacement of domestic
gas boilers would contribute to the C ouncil’s overall carbon reduction targets. It would also
improve air quality within Hillingdon by reducing the number of air pollutants released from older
boilers.
Consultation carried out or required
None undertaken. The provision of effective heating and hot water services is a landlord's
statutory responsibility.
CORPORATE CONSIDERATIONS
Corporate Finance
Corporate Finance has reviewed the report and concurs with the financial implications set out
above, noting that the recommended action to agree a release of £4,670k for the Planned
Replacement of Domestic Boilers within Housing Properties will be funded from the approved
2023/24 HRA Works to Stock Planned Domestic Boiler Replacement capital budget. The release
request has been calculated using schedule rates within the approved Council’s planned boiler
installations term contract and includes a project management fee of 5% of the estimated
replacement costs.
Legal
Legal Services confirms that the Council is responsible for carrying out this function pursuant to
Section of the Act. Thus, there are no legal impediments to the capital release being authorised,
although any contract that is entered into must comply with the Council's Procurement and
Contract Standing Orders.
Infrastructure / Asset Management
Asset Management officers authored the report.
Capital Release Protocol
The release of all capital funds, and certain revenue funds, held by the Council is to be made by
a formal democratic decision. No expenditure can be placed or committed by officers until this
formal approval is given by Democratic Services. Release of funds must be for identified projects
only and strictly not for the general release of funds for projects to be identified at a later date. No
block releases of capital or funding will be allowed, except if authorised by the Leader of the
Council in advance t o Corporate Finance. The release of funds will only be made if previous
Capital Release Report – 05 April 2023 Page 5
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Council, Cabinet or Cabinet Member agreement has been given to the project and only if there is
an approved budget.
BACKGROUND PAPERS
NIL.
Capital Release Report – 05 April 2023 Page 6
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APPENDIX A – CAPITAL RELEASE REQUEST FOR APPROVAL
Housing Revenue Account Works to Stock Programme 2023/24: P lanned
Replacement of Domestic Boilers within Housing Properties. Release No8
Location
Project /
Expenditure
Title
Information
Funds
Release
Sought
£000’s
Approve Hold
More
Information
Required
Various
Housing
Properties
Planned
Replacement of
Domestic
Boilers
Domestic Boiler
Replacement
Planned
Programme for
2023/24 – 1,917
replacements
4,470
Total seeking release 4,470
Previously released 0
Budget 4,470
Remaining budget 0
View Decision / Minutes Text
Executive Decision Notice – 27 April 2023 Page 1
This notice is a public document also available to view on the Council's website www.hillingdon.gov.uk
OFFICIAL EXECUTIVE DECISION NOTICE
PUBLISHED BY DEMOCRATIC SERVICES
Notice is hereby given that the following decision(s) have been made today by
Cabinet Members at the London Borough of Hillingdon:
Title of decision
CAPITAL RELEASE REPORT (April 2023)
DEPARTMENT: Place
SERVICE AREA / PROGRAMME: Housing Revenue Account
Works to Stock 2023/24 Programme: Planned Replacement
of Domestic Boilers and Associate Works
RELEASE NO: 8
Reference No. 769
Date of decision Thursday 27 April 2023
Call-in expiry date Friday 05 May 2023
Relevant Select
Committee
Property, Highways and Transport Select Committee
Relevant Wards All Wards
Decision made
Cabinet Members
making the decision
Councillor Martin Goddard – Cabinet Member for Finance
Councillors Jonathan Bianco – Cabinet Member for Property,
Highways and Transport
Approved
That the Cabinet Member for Finance and the Cabinet
Member for Property, Highways & Transport agreed to the
capital release request of £4,670k from the Gas Boilers
workstream within the Housing Revenue Account Works to
Stock Programme 2023/24 for the planned replacement of
1,917 domestic boilers within Housing Properties.
Reason for decision There are 8,636 gas boilers within London Borough of Hillingdon
housing owned stock. 2,167 properties have a boiler installed
which are 15 + years old.
The inefficiency of these older boilers contributes significantly to
carbon emissions and causes Council tenants to spend more on
their energy bills than necessary.
The planned replacement programme 2023/24 (1,917
Installations) would see the domestic boiler stock age reduc ed
to below 7 years old to 25%.
Alternative options
considered and
rejected
Wherever practical, economical, and safe to do so, boilers are
repaired. Boilers that are beyond repair because parts cannot
be obtained or are beyond sensible economic repair, are
replaced. Boilers that are Immediately Dangerous ('ID') and
Executive Decision Notice – 27 April 2023 Page 2
This notice is a public document also available to view on the Council's website www.hillingdon.gov.uk
cannot be repaired are disconnected. This leaves the resident
without hot water or heating; therefore, these boile rs require
replacement.
Classification Part I – Public
Link to associated
report
Report
Relevant Officer
contact & Directorate
Mike Emmett – Place Directorate
Any interest declared
by the Cabinet
Member(s) /
dispensation granted
N/A
Implementation of decision & scrutiny call-in
[Internal Use only]
When can this
decision be
implemented by
officers?
Officers can implement Cabinet Member decision in this notice
only from the expiry of the scrutiny call-in period which is:
5pm on Friday 05 May 2023
However, this is subject to the decision not being called in by
Councillors on the relevant Select Committee. Upon receipt of a
valid call-in request, Democratic Services will immediately advise
the relevant officer(s) and the decision must then be put on hold.
Councillor scrutiny
call-in of this
decision
Councillors on the relevant Select Committee shown in this notice
may request to call -in this decision. The request must be before
the expiry of the scrutiny call-in period above.
Councillors should use the Scrutiny Call -in App (link below) on
their devices to initiate any call-in request. Further advice can be
sought from Democratic Services if required:
Scrutiny Call-In - Power Apps (secure)
Further information These decisions, where applicable, have been taken under The
Local Authorities (Executive Arrangements) (Meetings and
Access to Information) (England) Regulations 2012.
This is the formal notice by the Council of the above executive
decision, including links to the reports where applicable.
If you would like more information on this decision, please contact
Democratic Services on 01895 250636 or email:
democratic@hillingdon.gov.uk.
Circulation of this decision notice is to a variety of people including
Members of the Council, Corporate Directors, Officers, Group
Secretariats and the Public. Copies are also placed on the
Council’s website.
Democratic Services
London Borough of Hillingdon
Civic Centre
Executive Decision Notice – 27 April 2023 Page 3
This notice is a public document also available to view on the Council's website www.hillingdon.gov.uk
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