Agenda item

The Committee resolved:-

(i)             to recognise that this continues to be a difficult situation for homeowners and welcome the continued offer of mental health support from SAMH (Scottish Association for Mental Health) for those affected by this situation;

(ii)           to note that the full additional costs associated with making the enhanced offer to homeowners as indicated in the instruction from Council of 28 October 2025 will be circa £5m;

(iii)          to note that this is an unprecedented situation and that there is a need to resolve the matter to help homeowners be safe and enable long term redevelopment of the site and associated benefits to the HRA in the longer term;

(iv)          to note the Best Value aspects from paragraph 3.24 of the report;

(v)           to note the outcome of consultation with External Audit outlined in paragraph 3.95 of the report;

(vi)          to note that officers consider the proposal to be within the Council’s powers under section 20 of the Local Government in Scotland Act 2003, subject to Council determining that this complies with Best Value; 

(vii)        to instruct the Chief Officer - Corporate Landlord to contact all affected parties from whom the Council has voluntarily acquired RAAC affected properties and to offer them a further discretionary payment, on a like for like basis to those that have yet to complete their sale, as identified in this report, strongly suggesting they seek independent advice with regard to the impact an additional payment would have on their personal tax and/or benefits position, and thereafter make payments to those accepting the offer, on the basis highlighted in this report;

(viii)       to instruct the Chief Officer - Corporate Landlord to formally advise all RAAC affected homeowners of a revised Voluntary Acquisition proposal where the Council will now agree a payment to voluntary acquire properties on the following basis:-

(a)           The Market Value of their property

(b)           Payment of all reasonably and properly incurred professional fees

(c)           An additional discretionary payment as follows:-

a.  4 bedroom properties - forty four thousand pounds sterling

b.  3 bedroom properties - thirty seven thousand pounds sterling

c.   1 bedroom properties - twenty thousand pounds sterling;

(ix)          to instruct the Chief Officer - Corporate Landlord to advise owners that this is the best and final offer to be made to homeowners, is a full and final settlement payment and that this reflects previous elements of home loss payment or other disbursement costs;

(x)           to instruct the Chief Officer - Corporate Landlord to request that homeowners intimate their wish to engage in the voluntary acquisition process by 10 December 2025 to allow a valuation of the property to be undertaken, with the full offer open to formal acceptance by 30 March 2026, with formal conclusion of the offer within 3 months of acceptance. Thereafter instruct the Chief Officer - Governance to conclude the acquisition of properties on this basis;

(xi)          to instruct the Chief Officer - Corporate Landlord following consultation with the Convener of the Finance and Resources Committee, only to extend these timescales where there is a good reason to do so;

(xii)        to instruct the Chief Officer - Finance to utilise the Capital Fund to release funding to make payments to homeowners who wish to voluntarily sell their property to the Council and note the Chief Officer - Finance will report on the use of any fiscal flexibilities provided by Scottish Ministers to support that expenditure in the Quarter 4 Financial Performance report;

(xiii)       to note that the house swap option remains available to homeowners;

(xiv)       to delegate authority to the Chief Officer - Housing to determine the necessity for a separate RAAC Impact Housing List, recognising that owners impacted by RAAC will continue to have access to Housing Options advice in line with the Council’s  Allocation Policy; and   

(xv)        to instruct the Chief Officer - Corporate Landlord to formally report back to Council in June 2026 on the progress made and the available options to achieve the strategic objective of a developable site to include masterplanning impacts and CPO options. Further request that Service Updates be provided as key milestones are met.