Decision details

The Cabinet Member for Housing Services presented a report which sought approval for an additional £1.2m of Housing Revenue Account monies to be used to fund necessary improvements to the Housing IT software infrastructure used to enable the Council to provide its housing management service.

Decision:

Cabinet approved:

1.    £383,800 in the 2026/27 financial year relating to a one-off professional services cost of improving/upgrading the current housing IT software;

2.    £243,333 in the 2026/27 financial year relating to a Year 1 annual subscription cost;

3.    £33,333 in the 2026/27 financial year relating to full-time (i.e. office hours 52 weeks per year) IT support in the form of an Aareon employee dedicated solely and exclusively to Bury Council;

4.    £243,333 in the 2027/28 financial year relating to a Year 1 annual subscription cost;

5.    £33,333 in the 2027/28 financial year relating to full-time (i.e. office hours 52 weeks per year) IT support in the form of an Aareon employee dedicated solely and exclusively to Bury Council;

6.    £243,333 in the 2028/29 financial year relating to a Year 1 annual subscription cost; and

7.    £33,333 in the 2028/29 financial year relating to full-time (i.e. office hours 52 weeks per year) IT support in the form of an Aareon employee dedicated solely and exclusively to Bury Council.

Reasons for the decision:

The improvements are necessary to ensure the provision of an effective and efficient housing management service, following bringing back in-house the housing management function, from the ALMO structure Six Town Housing Ltd.

Alternative options considered and rejected:

·       Do nothing - Whilst ‘do nothing’ is technically a viable option in that the Local Authority is currently able to provide a housing management service to its tenants and leaseholders, the current housing IT software landscape is out-of-date, inefficient, and risks serious and imminent non-compliance with legislative, regulatory, and good practice requirements.

·       Decommission current IT software provider and tender - Aareon is a long-standing software provider with a satisfactory track record both nationally and with Bury Council. That said, the option of a full and open competitive tendering exercise has been fully considered. The cost of this ‘start afresh’ approach however, is estimated to be in the region of £6m-£12m.