NFA Annual Members Survey 2021 – Building Homes Supporting Communities – published April 2022
The NFA Annual Survey provides a snapshot of the ALMO sector, including stock in management and the additional services and programmes being delivered by ALMOs on behalf of parent councils. There are updates on the make-up of ALMO Boards, HRA management arrangements along with information on wider issues and trends including newbuild programmes, asset management and decarbonisation.
The latest summary survey report is available on the NFA Website
CWAG News Update July 2022
This Update includes the following
Boris Johnson relaunches housing association RTB scheme
Home ownership initiatives were a key element in what was billed as Boris Johnson’s relaunch speech on 9th June 2022, following the vote of confidence in his leadership.
In his speech Boris Johnson confirmed the government’s intention to extend the Right to Buy to housing association tenants:
‘I want us to deliver on the long-standing commitment, made by several governments, to extend the right to buy to housing associations.’ Boris Johnson
This policy dates back to the 2015 Conservative Election Manifesto and the subsequent agreement with the National Housing Federation (NHF). It is a voluntary rather than a statutory scheme.
A 2018 pilot programme in the Midlands generated 1,892 sales by April 2020 – relatively small scale compared with the statutory council scheme. The evaluation of the pilot highlighted significant funding and replacement issues the considerable time lag before replacement properties become available. Also, replacement properties are often smaller and in different geographical areas from the original RTB property. The requirement to develop two affordable homes for each property sold in London, in certain circumstances, has also proved difficult to deliver.
Johnson’s announcement didn’t identify how the programme will be funded. In what may be a positive sign, the speech didn’t refer to receipts from the sale of vacant higher value council housing as a source of funding. However the power to raise funds by this route remains on the statute books despite a commitment in the Social Housing Green Paper to repeal the power ‘as soon as Parliamentary time allows’.
In a separate statement Michael Gove indicated that funding for discounts and replacement homes would come from “across Government.” He also referred to replacing homes on a like-for-like basis. This implies that the number of tenants able to exercise the new housing association RTB scheme is likely to be capped and directly linked to the level of funding available.
Johnson also announced an independent review of access to mortgage finance for first-time buyers and changes to welfare rules to allow wider use of benefit payments to cover mortgage costs:
‘We want it to be easier to get a mortgage…. So, today I can announce a comprehensive review of the mortgage market.’ Boris Johnson
The review will report later this year and will focus on better access to low deposit mortgages and offering alternative financing options to extend opportunities for home ownership.
‘We will look to change the rules on welfare so that the 1.5 million working people who are in receipt of housing benefits and want to buy their first home will be given a new choice’ Boris Johnson
This announcement may provide a further boost to RTB as tenants convert rent payments into mortgage payments.
Social Housing Regulation Bill
On 8th June 2022 the Government published the Social Housing Regulation Bill; this has now completed its first and second reading stages in the House of Lords and will move on to the House of Commons.
The Bill will remove the ‘serious detriment’ test and allow for the introduction of proactive consumer regulation by the Regulator of Social Housing (RSH). Much of the work required to implement the legislation is being progressed in parallel by the RSH to allow for its early introduction.
Key changes include the introduction of new consumer standards and satisfaction measures to track landlord performance, increasing accountability and transparency. An advisory panel made up of social housing tenants, social landlords and others will also be set up to provide information and advice to the Regulator.
The legislation introduces a regime of routine inspections for social landlords with more than 1000 homes, referred to by the government as ‘Ofsted-style inspections’. In addition, the RSH will gain new enforcement powers to levy fines and order emergency remedial works for which social landlords will be financially liable.
The Bill also includes a mechanism for the Secretary of State to impose new electrical safety duties on landlords. The government has published a related consultation on electrical safety standards for social housing to run alongside the legislative process. The consultation proposes mandatory PAT testing of all electrical appliances provided by the landlord at least every 5 years.
White Paper – ‘A fairer private rented sector’
On 16th June 2022 DLUHC published a White Paper setting out government policy for the private rented sector (PRS) as part of the wider levelling up agenda. This includes plans for a Renters Reform Bill which will include the following:
· Abolition of Section 21 ‘no-fault’ evictions and introduction of a simpler tenancy structure
· Application of the Decent Homes Standard to the PRS for the first time
· Introduction of a new Property Portal to help landlords understand their obligations
· Introduction of a housing ombudsman covering all PRS landlords
The White Paper sets out a 12-point action plan which includes measures to strengthen local councils’ enforcement powers as well as proposals to make it illegal for landlords to have blanket bans on renting to families with children or those in receipt of benefits.
There will be major reform of tenancy law as all tenants are to be moved onto a system of periodic tenancies, meaning that a tenancy will only end if a tenant ends it or a landlord has a valid reason for obtaining possession, defined in law. There will be a doubling of notice periods for rent increases and tenants will have stronger powers to challenge these.
It will also be easier for tenants to have pets, a right which the landlord must consider and cannot unreasonably refuse.
New in the Library
Presentation Slides – Fire and Building Safety Webinar – 23rd June 2022
CWAG members attended a joint ARCH / NFA briefing on the Fire Safety Act 2021 and Building Safety Act 2022. Presentations included a detailed overview of the legislation and timetable for implementation up to the full safety case ‘switch on’ in April 2024. There were presentations from the Department of Levelling-up, Housing and Communities (DLUHC), the new Building Safety Regulator (one of 3 new Regulators to be set up under the legislation) and the Home Office which has responsibility for the new Fire Safety (England) Regulations 2022. The meeting also included case studies from councils and ALMOs that have made a start in implementing the new arrangements.
Recent Publications
House of Commons Library Research Briefing – Introducing a voluntary Right to Buy for housing association tenants in England – June 2022
This research paper sets out the background to the housing association voluntary Right to Buy scheme and discusses the issues raised by the different pilot programmes.
Housing Ombudsman Service Insight Report – Issue 10 – Published June 2022
This latest report covers January to March 2022, a period in which 6,128 enquiries and complaints were received by the watchdog. Case studies in this edition are drawn from the East and West Midlands and East of England.
CWAG News Update May 2022
This update includes the following:
Queen’s Speech 2022 – Housing Issues
Complaints about repairs and tackling disrepair claims
Government changes stance on PEEPs
Showcasing Good Examples of Council Housing
Diary Date – Next CWAG Meeting
Recent Publications
Queen’s Speech 2022 – Housing Issues
On 10th May 2022 the Queen’s Speech, delivered this year by Prince Charles, set out government priorities for the next Parliamentary session, including the following legislative proposals with implications for the housing sector:
Renters Reform Bill
The government confirmed its intention to publish a White Paper setting out proposals for ‘landmark reform of the private rented sector.’ Measures include:
· The abolition of so called ‘no fault evictions’ is to be set alongside stronger grounds for possession where there are repeated rent arrears. Also, reduced notice periods will apply in cases of anti-social behaviour.
· A new decent homes standard that will be legally binding for the first time in the private rented sector.
· A new Ombudsman for the private rented sector is to be set up to help resolve disputes and develop a new property portal to give tenants information enabling them to hold their landlord to account.
Social Housing Regulation Bill
This long-anticipated legislation will take forward proposals from the Social Housing White Paper, strengthening Consumer Regulation and the powers of the Regulator of Social Housing. The Bill is expected to be based on draft clauses published in March this year.
Levelling up and Regeneration Bill
This Bill, published on 11 May 2022, takes forward proposals in the Levelling Up White Paper and includes measures with implications for planning reform and housing delivery.
· The Bill aims to improve the planning system and give communities a louder voice in development decisions in their area. The premise being that making sure developments are “beautiful, green and accompanied by new infrastructure and affordable housing” will help address concerns over development and reduce opposition.
· Proposals in the Bill include the introduction of a locally determined levy to capture more of the financial value created by new development which can then be used to deliver new infrastructure and facilities for the benefit of local communities.
· The Bill sets out proposals for enhanced powers for local authorities to address the problem of long-term empty shops and underused second homes.
· In addition, there are proposals to create a new model of combined authority allowing authorities to bring forward proposals for countywide authorities that would have the critical mass to support directly elected leadership and governance models with access to devolution deals.
Complaints about Repairs and Tackling Disrepair Claims
The CWAG General Meeting on 19th May 2022 focussed on complaints handling and tackling the rising number of Housing Disrepair Claims.
Rebecca Reed from the Housing Ombudsman Service discussed the learning for landlords from the damp and mould Spotlight Report ‘It’s not lifestyle.’ Rebecca stressed the importance of Board oversight and Governance in establishing a positive organisational culture on complaints and driving the proactive and responsive approach that will help reduce disrepair claims. Landlords were encouraged to ‘find your silence’ that is those tenants who are not raising issues or using established complaints arrangements.
A case study from South Tyneside Council and ALMO highlighted the importance of joint working to address the problem of disrepair claims. This practical presentation provided an insight into how this problem has evolved and the practical measures needed in response. South Tyneside has a robust approach strongly contesting every claim and therefore potentially making the council a less attractive target to the so called ‘claims farmers’. Measures include staff awareness training throughout the ALMO, a focus on acting quickly to respond to and document all issues and actions as well as employing technical surveying expertise in house. The council also uses a private legal firm to fight cases and employs a specialist cost lawyer to negotiate costs – whilst this is expensive it sends the message to claims firms that they may not achieve the settlements they hope and adds to the disincentive to target the area.
Presentation slides and meeting notes are available on the CWAG website – link
Government Changes Stance on PEEPs
On 18th May 2022 the Government published its formal response to the Personal Emergency Evacuation Plans (PEEPS) consultation for high rise residential buildings. This consultation involved proposals to implement the recommendations from Phase 1 of the Grenfell Tower Enquiry Report to make it a legal requirement for Responsible Persons to prepare evacuation plans for all residents unable to vacate the building independently in an emergency.
Despite most responses being in favour of the PEEPs proposals, significant concerns were flagged up in three areas – practicality, proportionality and safety.
The Government has now published revised proposals in the Emergency Evacuation Information Sharing (EEIS) consultation which revert to reliance on ‘staying put’ where the building is considered safe to do so. Where buildings are known to have fire safety problems, the fire service would have access to relevant information about vulnerable residents requiring evacuation assistance.
The EEIS consultation closes on 10th August 2022.
Showcasing Good Examples of Council Housing
As part of current its council housing campaigning work, the Local Government Association (LGA) is keen to highlight how building more council housing is vital to achieving the government’s 300,000 homes a year target. The LGA is looking for case study examples to support this campaign. In particular, the LGA is inviting councils to send in case studies demonstrating the challenges and benefits involved in new council house building, for example how council housing is:
- improving local residents’ health and wellbeing
- connecting communities and cater for their needs
- being more climate friendly
- improving the surrounding environment
- improving local job prospects
- improving the local economy
- giving people a safe, secure place to call home
In addition to newbuild examples, case studies showing how councils are adapting existing housing stock to meet the needs of their residents would also be helpful. The aim is to show the best examples of council housing from across the country.
Case studies will be hosted on the LGA website and social media channels and in national media stories.
Case studies can be submitted online here.
For more information or to submit your case studies direct, please email ben.murray@local.gov.uk.
Diary Date – Fire and Building Safety Briefing
The next CWAG General Meeting will be held on Wednesday 6th July 2022 (10a.m. – 12 o’clock). This will be a briefing on Fire and Building Safety issues. We are currently arranging the programme to include speakers from the LGA, Home Office and National Fire Chiefs Council. The meeting will be held over Teams. To book a place, please contact the Policy Officer.
Recent Publications
Tenant Voice – How ALMOs listen to tenants and deliver good customer services
The latest briefing published by the National Federation of ALMOs brings together case studies highlighting the work ALMOs have been doing to ensure tenants are listened to and respected. The report sets out examples demonstrating how involving residents and sharing decision making are key to driving cultural and organisational improvement, ensuring organisations are focussed on the priorities and quality services that residents really need and want. Download a copy of the publication here.
NFA Annual Survey
The National Federation of ALMOs has published its Annual Members Survey ‘Building Homes, Supporting Communities’ which this year highlights the impact of increasing pressure on the HRA from a combination of building safety works, net zero targets and affordable housebuilding. Many ALMOs are having to review newbuild plans with problems exacerbated by the lack of a long-term rent settlement and the limitations of current retrofit funding programmes. The report also provides an update on the wide range of community support activities currently undertaken by ALMOs.
Regulator of Social Housing and Housing Ombudsman Service: Factsheet
This Factsheet provides information for tenants about how to complain as well as explaining the different roles of the Regulator of Social Housing and the Housing Ombudsman Service. It also outlines how the two organisations are working together in the context of delivering commitments in the Social Housing White Paper.