This Update includes the following
Renters Reform Bill Update
Government commitments to address issues in the private rented sector in England are facing further delays.
The Renters Reform Bill which was published in May 2023 included a number of measures set out in the 2022 White Paper ‘A fairer private rented sector’ as well as the 2019 Conservative Manifesto commitment to abolish Section 21 evictions in England. Although the legislation received its second reading in the House of Commons on 23rd October 2023, the ban on Section 21 evictions is likely to be significantly delayed as the Department for Levelling Up, Housing and Communities has announced that the ban cannot proceed until reforms to the court system have been put in place.
The Government stance appears to be in response to intensive lobbying by the National Residents Landlord Association (NRLA) concerned that other measures in the legislation, which are intended to strengthen landlords’ ability to evict tenants in breach of tenancy agreements, will be ineffective without legal reforms to speed up repossession hearings and tackle existing court backlogs.
In the meantime, the Renters Reform Bill will continue to be progressed and has now moved to the Committee Stage. An update on the Committee Stage is expected on 5th December 2023 but the legislative timetable beyond this is unclear. The Bill has been included in the legislative programme announced in the King’s Speech so will carry over into the next Parliamentary session.
It is possible that a number of other measures in the legislation will continue to be progressed in advance of the abolition of Section 21 evictions – for example arrangement allowing tenants the right to keep pets, proposals for a private rented sector Ombudsman and a mechanism for tenants to challenge unfair rent increases. However, tenure changes linked to the abolition of Section 21 are effectively stalled until improvements and reform of court processes have been implemented.
CWAG Response – RSH Consultation on changes to the fees regime
CWAG has submitted a response to the recent RSH consultation on fees. The consultation sets out proposals for a new charging regime to fully meet the costs of regulation as set out in the Social Housing (Regulation) Act 2023. The proposals involve levying a charge for each social home regulated and the fee rate for local authority landlords is estimated at between £7 and £8 per property.
The CWAG response highlighted concerns about the high level of fees proposed. These represent a significant additional financial burden on housing revenue account resources which will impact business plans and ultimately need to be funded from tenants rents. We also argue that there is a lack of transparency around how the fee level has been set, how it will be uplifted in the future and how value for money will be demonstrated.
Joint letter to the Building Safety Regulator
CWAG has joined up with the National Federation of ALMOS (NFA) and Association of Retained Council Housing (ARCH) to raise concerns with the Building Safety Regulator (BSR) around how complaints in high rise social housing will be handled as well as issues around the interface with the Housing Ombudsman Statutory Complaints Handling Code. As a group we are seeking a meeting to discuss concerns and clarify arrangements.
Recent Publications
Sector Risk Profile, RSH – 14th November 2023
The RSH has published the 2023 Sector Risk Profile an annual overview of the main risks facing social housing providers. This year the report focusses on a number macro-economic risks and preparing for stronger consumer regulation.
The sector faces a challenging economic environment with persistently high inflation, a tight labour market, supply pressures and contractor failures and rental income constrained by the 7% cap in 1023/24.
The new regulatory regime from April next year requires an increased focus on the quality of social housing, and the services landlords provide to tenants. In preparing for these changes providers need to be ensuring up-to -date and robust tenant data that assesses the presence of serious hazards in tenant’s homes , including damp and mould.
Fire Safety Reform Bulletin No 3, Home Office – 6th November 2023
This Bulletin includes information on new requirements for Responsible Persons, feedback on the risk assessor survey and details of the new guide for responsible persons along with a summary of other available guidance.
New Homes Fact Sheets, Homes England – 2nd November 2023
Homes England has published a series of 10 fact sheets designed to support conversations with local communities about the need for new homes and development. Topics include how new homes are planned, including transport infrastructure and services such as schools and healthcare.
New Homes Facts Sheets and Capacity Analysis Tool launched – GOV.UK (www.gov.uk)
LGA Submission: Autumn Statement 2023
Ahead of the Autumn Statement next week, the LGA has set out the case for additional resources for councils facing unprecedented financial pressures. Councils are facing ongoing inflationary and pay pressures alongside spiking demand and market challenges in areas such as homelessness and temporary accommodation. Also, financial resilience is strained following a 27% real-terms reduction in core spending power since 2010/11.
RSH Social Housing Stock and Rents statistics 2022/23
The RSH has published the latest batch of statistics on social housing stock and rents in England. There are a number of reports available including a briefing on local authority housing stock.
2023_LARP-briefing-note_FINAL_V1.0_.pdf (publishing.service.gov.uk)
Housing Ombudsman Damp and Mould Update
Two years after the publication of its Spotlight Report on damp and mould ‘It’s not lifestyle’, the Housing Ombudsman has released an update on this area of complaints handling. Whilst the number of complaints relating to damp and mould has continued to rise, with 5,398 complaints in this category in 2022/23, this increase in part reflects landlords making it easier for tenants to report issues. The update includes a number of recent cases, both positive and negative. Key themes continue to include references by landlords to residents lifestyle and poor record keeping by landlords hampering responses.
Diary Date – Finance and Business Planning Meeting – Thursday 18th January 2024
Steve Partridge – Savills Director of Housing Consultancy will be leading this event for finance officers and others with an interest in HRA strategy and business planning. The event is a free event that is open to CWAG members. To book a place, contact the CWAG Policy Officer.