Appropriation from GF to HRA and GLA grant

Hello,

Our General Fund is ion contract for mixed tenure development.

The affordable / social rented units will be transferred to General Fund in 2026 upon completion.

GLA grant will be received 50% SoS / 50% completion.

Your view requested as below :

  1. Does GLA grant have to be received into HRA or can it go into General Fund ?
  2. If it has to go into General Fund can the GLA grant be held in balance sheet then used to pay down HRA debt accrued upon appropriation ?

Point 2 effectively means the grant is not applied to the asset until after practical completion. The appropriation would still trigger an CFR exchange but the GLA grant would then be transferred to the Capital Adjustment Account to relive the HRA of the debt.

View appreciated.

Parents
  • Our General Fund is in contract for mixed tenure development.

    The affordable / social rented units will be transferred to General Fund in 2026 upon completion.

    GLA grant will be received 50% SoS / 50% completion.

    Your view requested as below :

    1. Does GLA grant have to be received into HRA or can it go into General Fund ?
    2. If it has to go into HRA can the GLA grant be held in balance sheet then used to pay down HRA debt accrued upon appropriation ?

    Point 2 effectively means the grant is not applied to the asset until after practical completion but held as a receipt in advance. The appropriation would still trigger a CFR exchange but the GLA grant would then be transferred to the Capital Adjustment Account to relieve the HRA of the ensuing debt.

    Views appreciated.

Reply
  • Our General Fund is in contract for mixed tenure development.

    The affordable / social rented units will be transferred to General Fund in 2026 upon completion.

    GLA grant will be received 50% SoS / 50% completion.

    Your view requested as below :

    1. Does GLA grant have to be received into HRA or can it go into General Fund ?
    2. If it has to go into HRA can the GLA grant be held in balance sheet then used to pay down HRA debt accrued upon appropriation ?

    Point 2 effectively means the grant is not applied to the asset until after practical completion but held as a receipt in advance. The appropriation would still trigger a CFR exchange but the GLA grant would then be transferred to the Capital Adjustment Account to relieve the HRA of the ensuing debt.

    Views appreciated.

Children
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