STATES OF JERSEY
HEALTH AND SOCIAL SERVICES DEPARTMENT
Estates Management and Hotel Services
Staff Accommodation – Rent Increases 2009 - 2010
1. Background
1.1 Ministerial Decision reference MD-HSS-2008-29 confirmed approval to increase Health and Social Services staff accommodation rentals for the period 1st June 2008 to 31st May 2009.
2. Present
2.1 The cost of housing staff including leases, subsidies, servicing, maintenance, and administration was £0 per annum in 2008, compared to an overspend of £176,000 for the previous 12 months.
2.2 Following a review of last years rentals when increases of between 3.2% and 10% were approved it is recommended that cost of living rises of 2.1% are made to rents for most units for the period 1st June 2009 to 31st May 2010, with the exception of Hampton Villa which should rise by 5.14% to catch up with similar properties.
2.3 A review and comparison to both Housing’s and social housing rents and the Social Security ‘Fair Rents’ has been carried out with a view to catching up over the next five years.
Health and Social Services used to subsidise its rental staff accommodation to a level of 10 % below normal Housing rents. However due to the present financial pressures it is now looking to equal the Housing rents. To increase the rents over a one year period would cause a financial burden to staff that would be counter productive and therefore a five year plan has been developed to raise the rents to the higher level over that period.
2.4 Domestic and service charges will be increased by cost of living.
2.5 Utility charges such as electricity, oil, rates etc will be passed on at cost.
2.6 The cost of living increase over the last 12 months has been 2.1% (March 2008 – March 2009).
2.7 Over the last 12 months, the following pay awards have been made to hospital staff: -
a) Civil Servants - 0% from 1st June 2009
b) Medical Staff - Increase linked to UK – 1.5%
c) Nursing Staff - 0% from 1st June, 2009
2.8 Due to one increase being above 2.5% it is necessary to gain approval from the Minister for Finance and Resources.
3. Recommendation
The Minister for Health and Social Services is recommended to approve the staff accommodation rent increases as detailed on the attached schedule for the period 1st June 2009 to 31st May 2010.
(The Minister for Finance and Resources approved the increase of those rents above the rate of 2.5%, in accordance with Financial Direction 4.1, on 14 October 2009).
Mr M Le Fevre
Director of Estates and Hotel Services
10 July, 2009