CWAG Newsletter – December 2022
This Update includes the following
Government demands action to drive up standards in rented housing
The coroner’s verdict that the tragic death of Awaab Ishak was caused by prolonged exposure to mould in his parents’ Rochdale flat has prompted Secretary of State Michael Gove to seek wider assurances from local authorities and social landlords that risks relating to mould and damp in tenanted homes are being addressed.
On 19th November 2022 Michael Gove wrote to all social housing providers reminding them of that they must meet the Decent Homes Standard and be aware of, and carry out rapid remedial works to, any properties that do not. Landlords are expected to know the extent of damp and mould issues in their stock and be addressing these.
A follow up letter from the Regulator of Social Housing seeks specific assurances that all providers have a clear understanding of the nature and extent of damp and mould issues in their homes with detailed survey information confirming the position to be submitted to the Regulator by 19th December 2022. Where properties do not meet the relevant standards there should be immediate self-referral to the Regulator.
A further letter to all local authority Chief Executives and council leaders references local authority duties toward tenants in the private rented sector as set out in the Housing Act 2004. The Secretary of State has issued a direction that local authorities urgently review and report back on categories 1 and 2 damp and mould hazards affecting privately rented properties in their areas. In addition, authorities are required to supply data on enforcement action and prosecutions in the past three years.
On 24th November 2022 the Secretary of State issued a press notice further reinforcing the government’s determination to hold landlords to account for the condition of their homes. This included the following measures:
- Rochdale Boroughwide Housing, the landlord in the Awaab Ishak case, will not receive allocated Affordable Homes Programme (AHP) funding until the Regulator of Social Housing has completed its investigation and the landlord can prove it is a ‘responsible’ landlord.
- The Secretary of State will also block any housing provider that breaches the Regulator’s consumer standards from receiving new AHP funding and will consider stripping providers of existing AHP funding, unless construction has already started on site.
- A government funding package totalling £14million was announced for 7 areas with high levels of poor quality private rented homes to test out new approaches to driving up standards in the PRS.
Chancellor sets rent cap at 7% in Autumn Statement
As part of the Autumn Statement on 17th November 2022 the government announced the outcome of the Social Housing Rents Consultation with the rent cap for 2023 set at 7% but with an exception for supported housing. Registered Providers of social housing have the flexibility to apply a lower increase, or to freeze or reduce rents, if they wish to do so.
The 7% figure is higher than suggested in the earlier consultation paper where a cap of 5% was the suggested option. The higher figure has been presented as an attempt by government to strike a balance between protecting tenants from high rent increases and ensuring that Registered Providers of social housing remain financially viable.
The government intends to consult separately next year on social housing rent policy from 2025 onwards. To inform this, DLUHC will launch a call for evidence on whether social landlords should be permitted, gradually over time, to bring rents back up to the level they would have been had 7% cap not been applied. Other factors including affordability for tenants and welfare expenditure will also be taken into account.
Retrofit Credits scheme
A new scheme developed by the Housing Association Charitable Trust (HACT) in partnership with Arctica Partners may be of interest to councils putting together funding packages for energy efficiency and decarbonisation works.
Retrofit credits is a UK based carbon credits scheme that enables organisations to offset their carbon emissions by investing in social housing. The scheme involves using a tested methodology to measure both the carbon savings and social value created through retrofit activity. To ensure the environmental integrity of the issued credits, the scheme has been developed under the Verified Carbon Standard, the world’s leading certification programme for emission reduction projects.
It is anticipated that the scheme has the potential to generate significant funding for retrofit schemes in social housing. The scheme is currently being piloted but will be formally launched in 2023.
More information is available in the prospectus document and frequently asked questions.
Housing Ombudsman call for evidence on record keeping
The Housing Ombudsman has announced that its next systemic investigation and Spotlight Report will look at record keeping and data management around complaints handling. This reflects a concern that poor record keeping is a key factor in 67% of maladministration determinations.
A call for evidence has been issues that seeks to understand more about current barriers to effective information management on complaints.
The aim is to share best practice around record keeping and data handling and help landlords develop policies and procedures that are consistent and effective and improve the experience of all residents.
Diary Dates
CWAG Client Officer Group – Monday 12th December 2022
CWAG members interested in setting up a networking group to discuss issues relating to the managing the ALMO client role including performance, regulation, and assurance issues will be meeting to discuss Terms of Reference for the group and agree an initial programme of issues for review. Contact the Policy Officer for further details.
LGA Building Safety Webinar – Monday 19th December 2022 (1p.m – 3p.m)
The LGA is hosting a further building safety webinar that will provide updates on councils’ responsibilities as landlords/ALMO overseers in respect of the new Building Safety regime, the Fire Safety Act and new fire safety regulations arriving in January. This is a free event open to council / ALMO officers with an interest in the new building safety regime and the Fire Safety Act. To book use link
CWAG Finance and Business Planning Meeting – 24th January 2023 (10.30a.m – 12.30p.m)
Steve Partridge - Savills Director of Housing Consultancy will lead this event which will focus on current finance and business planning issues including the implications of the recently announced rent cap, inflation and other pressures on the HRA. The meeting will be of particular interest to finance officers, and anyone involved in HRA strategy and business planning. The event is open to CWAG members - to book a place, please contact the Policy Officer.
Recent Publications
Sector Risk Profile 2022 – Regulator of Social Housing (RSH)
This RSH report sets out the most significant current risks to maintaining compliance with the regulatory standards and is essential reading for social housing providers facing an increasingly complex operating environment, reducing resources and a growing list of priorities. Read Report
Decarbonising Social Housing – Lessons from the ALMO Sector
The National Federation of ALMOs (NFA) has just published a new report which examines the decarbonisation challenge facing the sector alongside seven case studies which illustrate various approaches ALMOs are taking to decarbonise the stock and make tenants homes more energy efficient. It also sets out recommendations for government and policymakers to support housing providers in moving forward on the decarbonisation agenda.
CWAG Newsletter – November 2022
This Update includes the following
Michael Gove re-appointed as Secretary of State (DLUHC)
Rishi Sunak’s reappointment of Michael Gove’s as Secretary of State for Levelling Up, Housing and Communities signals a return to continuity in housing policy with a focus on the 2018 election manifesto commitments including levelling up and housebuilding. However, the environment is now much more challenging than at the time of his earlier sacking by Boris Johnson back in July, raising questions around what can now realistically be achieved given high inflation and squeezed departmental budgets.
In a recent BBC interview Gove restated the government’s commitment to building 300,000 new homes a year although admitted this would be ‘difficult’ stressing the importance of having the consent of local communities, protecting the environment, and ensuring developments are ‘beautiful’ and matched with appropriate infrastructure. He also confirmed his department would be continuing with previously announced legislation to tackle rogue landlords as set out in ‘A Fairer Private Rented Sector’ White Paper.
The Fiscal Statement due on 17th November 2022 will set out the wider financial position for DLUHC with implications for a key policy areas. It is likely that the decision on proposals to cap the level of social rent increases in 2023 will be delayed until the wider fiscal position becomes clearer.
Lee Rowley (MP for NE Derbyshire) has also retained his position as Housing Minister.
LGA Webinars
The following LGA webinars may be of interest to CWAG members and can be attended free of charge:
Webinar -Building Safety Update – Monday 7th November 2022 (11.30 am – 1.30 pm)
This free LGA webinar will provide an update on councils’ responsibilities in respect of the new Building Safety regime, the Fire Safety Act and new fire safety regulations arriving in January.
There will be speakers from the HSE, the Home Office and the National Fire Chiefs Council (NFCC). The event aims to bring attendees fully up to date on the new arrangements with a focus ensuring that residents are safe and feel safe in their homes. The LGA will also give an update on its PEEPs work.
The webinar is being held over Zoom and is open to council officers and ALMOs. To book use link
Webinar – The Social Housing Regulation Bill – Monday 21st November 2022 (10.30 am – 12.30 pm)
This LGA event is a collaboration with ARCH and the NFA. The programme will discuss the forthcoming Social Housing Regulation Bill and includes speakers from the Department for Levelling Up, Housing and Communities (DLUHC) and the Regulator of Social Housing (RSH).
The webinar is being held over Zoom and is free to LGA members. To find out more information and to book use link
Recent Publications
Housing Ombudsman Spotlight Report – Noise Complaints: time to be heard
This latest Spotlight Report looked in depth at noise related complaints drawing on casework and a recent ‘call for evidence’. The report highlights a fundamental unfairness in the way many social landlords approach noise complaints, with most being dealt with as anti-social behaviour (ASB) even where they relate to general household noise.
Landlords are often caught up in time consuming and futile interventions which fail to tackle the underlying issues. Whilst recognising that this is a complex area where solutions are often difficult, the sector is urged to adopt several alternative approaches to address current poor outcomes and the significant costs to residents in terms of their mental health and well-being.
The report includes a 32-point self-assessment tool setting out a range of possible measures to reduce noise related complaints including changes to the building fabric, management arrangements and the way noise complaints are categorised.
Download Report and Self-Assessment Tool
A Housing Ombudsman is holding a webinar to discuss the report and answer questions on Wednesday 16 November 2022 at 2pm. This is aimed at landlords, governing body members and engaged residents. For further details on how to book – link
The Levelling Up, Housing and Communities Select Committee Exempt Accommodation Report published 19th October 2022
The Select Committee Report into exempt accommodation, a type of supported housing outside of Housing Benefit Regulations, sets out how the system is failing many residents and local communities at the taxpayers’ expense. The Report calls on the Government to bring forward urgent reforms including:
- compulsory national minimum standards for exempt accommodation, including on referrals, care & support, and quality of housing
- to give local councils the powers and resources to enforce these standards
- requiring all exempt accommodation providers to be registered
- creation of a National Oversight Committee to join-up existing regulators addressing the current ‘patchwork regulation’
- ensuring that providers of exempt accommodation for survivors of domestic abuse have recognised expertise to provide specialist support and a safe environment
- reviewing arrangements for exempt housing benefit claims, clamping down on the exploitation of the lease-based exempt accommodation model for profit
LGA, ARCH, NFA Rent and Income Analysis – Savills Affordable Housing Consultancy – October 2022
This research set out to estimate the cumulative loss of resources within Housing Revenue Accounts of the proposal to cap rent increases to 5% per year in 2023/24 and 2024/25. The research found that a 5 per cent rent cap would cost £1.16 billion in the next two years, rising to more than £3 billion within five years. In addition, as the rent cap changes the baseline for future rent increases, the longer-term financial hit is likely to be as high as £45 million over the next four decades. Further information about this report is available on the LGA website – link
Implementing TSMs – Practical issues and challenges
At the recent CWAG AGM, Jonathan Cox from Housemark discussed the practical issues and challenges involved in achieving compliant data collection arrangements by April 2023 when TSMs are introduced.
The overall trend in perception surveys over the past 5 years has consistently shown a decline in satisfaction levels. Many landlords stopped carrying out the STAR survey once this was no longer mandatory, these landlords will find their baseline is now much lower than historical data.
The move to perception based TSMs will provide landlords with important resident feedback to constructively drive improvements that tenants recognise and value. However, in his presentation Jonathan identified five barriers to making the most of TSM survey feedback including being overly focussed on scores, a fragmented approach to surveying, questions overload and survey fatigue, as well as a lack of internal capacity to use the data effectively.
Housemark has also identified 11 major variables affecting perception survey scores including:
Contextual Issues
- Location / Urbanisation (tenants in cities report lower satisfaction)
- Tenant age (older people tend to be more satisfied)
- Tenure type (leaseholders, although not part of TSM surveying, tend be the most dissatisfied followed by shared owners with renters relatively more satisfied)
- Size of landlord (smaller landlords tend to get higher scores, possibly because there is likely to be a single point of contact for tenants)
Methodological Issues
- Collection method will impact on scores (on-line surveys will be 10 -15 points lower than face-to-face surveying, with telephone surveys somewhere in between) Transactional surveys give the highest scores but are not allowed for TSMs)
- Sample selection (general needs stock will differ from more specialist provision),
- Scale (smaller sample sizes can distort results)
- Time of year (scores of surveys carried out in Winter are approximately 2% lower than for surveys carried out in Summer)
Landlord performance drivers
- Landlord accessibility and responsiveness (how quickly and easily can the tenant contact the landlord and resolve issues)
- Respectful and helpful engagement (is the landlord perceived as helpful and respectful in the way it engages with tenants)
- Responsive repairs (tenant experience of the landlord on responsive repairs is a significant driver of overall perception of, and satisfaction with the landlord)
Consultation on Social Housing Rents – CWAG Response
The government social housing rents consultation closed on 12th October 2022. The consultation covered options for capping social housing rent increases in 2023/24 below the agreed CPI+ 1% formula.
The CWAG submission to the consultation argues that the decision should be based on local discretion and local circumstances rather than an imposed cap. In practice most local authorities are unlikely to raise their rents in 2023 by the maximum permitted under the formula.
An imposed 5% cap will leave HRAs constrained and under-resourced in business planning terms for years to come. Given that any reduction below inflation will represent a saving to the Exchequer as housing benefit and Universal Credit are reduced, these savings should be used to provide additional grant funding for essential building safety, maintenance and carbon reduction programmes that will inevitably be stalled by rent capping.
CWAG Newsletter – October 2022
This Update includes the following
CWAG Annual General Meeting
This year the CWAG Annual General Meeting discussed the introduction of Tenant Satisfaction Measures (TSMs) from April 2023.
Kate Dodsworth, RSH Director of Consumer Regulation introduced the session with an overview of TSM Consultation and key outcomes. The consultation itself generated significant interest among tenants, with 55% of the 1100 responses received being from tenants, a considerable achievement given that the RSH primary relationships are with landlords not tenants.
The Regulator is keen to stress that the 22 TSMs are only a small part of the new regulatory framework to be introduced over the next 18 months following the passage of the Social Housing Regulation Bill. The wider regulatory objective is to ensure that there are real opportunities for tenants to influence landlords and the way decisions are taken about their homes. This will require a fundamental cultural shift within the sector, but early indications are positive.
The Regulator is aware of possible concerns around gaming of the measures and will not hesitate to respond with changes if necessary. There was also an acknowledgement that we don’t yet know in detail how the new regulatory arrangements will work for councils with ALMOs. Whilst the overarching principle is that it will be the council landlord and not the ALMO that is ultimately responsible for delivering improvements and ensuring tenants voices are at the centre of decision making, further work will be required to determine how this will work in practice.
Our second speaker, Jonathan Cox from Housemark discussed the practical issues and challenges involved in achieving compliant data collection arrangements by April 2023. The presentation discussed current negative perception survey trends and the important variables influencing these.
The move to perception based TSMs will provide landlords with important resident feedback to constructively drive improvements that tenants recognise and value. However, the presentation identified five barriers to making the most of TSM survey feedback including being overly focussed on scores, a fragmented approach to surveying, questions overload and survey fatigue, as well as a lack of internal capacity to use the data effectively.
Finally, Jonathan summarised several key steps to prepare for the introduction of TSMs next year.
CWAG Consultation Response Social Housing Rents
The government social housing rents consultation closed on 12th October 2022. The consultation covered options for capping social housing rent increases in 2023/24 below the agreed CPI+ 1% formula. Read the CWAG response here.
Excellence in management and partnership – updated checklist
Last year CWAG and the NFA produced the report ‘Excellence in management and partnership’ to assist councils and ALMOs in preparing for changes to regulation.
An updated version of the council ALMO relationship checklist is now available here.
DLUHC New Ministerial Team
New government ministerial appointments and responsibilities at DLUHC have been confirmed as follows:
Simon Clark MP for Middlesbrough South and East Cleveland since 2017
Secretary of State for Levelling Up Housing and Communities
Responsible for the strategic oversight of all DLUHC departmental business.
Previous government posts:
- Chief Secretary to the Treasury 2021 – 22
- DLUHC Minister for Local Government and Growth 2020 – 21
- Exchequer Secretary to the Treasury 2019 - 20
Paul Scully MP for Sutton and Cheam since 2015
Minister of State for Local Government Faith and Communities and Minister for London
Responsibilities include:
- Local government policy and finance, including Office for Local Government
- Building Safety - remediation and regulation regimes
- Climate change, net zero and energy efficiency (building regulations)
- Grenfell recovery and rehousing
- Grenfell public inquiry
- Minister for London
Previous government post:
Minister for Small Business, Consumers and Labour Markets – BEIS 2020 - 22
Lee Rowley MP for NE Derbyshire since 2017
Parliamentary Under Secretary of State (Housing Portfolio)
Responsibilities include:
- Overarching responsibility for housing strategy, including supply and home ownership
- Investment Zones
- Housing funds, including Affordable Housing Programme (AHP) and other housing / land and infrastructure funds
- Homes England stewardship
- Planning - reform and casework
- Leasehold and freehold
- Corporate matters
Previous government posts
- Minister for Industry – BEIS 2021-22
- Government Whip 2021-22
Andrew Stephenson MP for Pendle since 2010
Parliamentary Under Secretary of State (Homelessness and Rough sleeping)
Responsibilities include:
- Homelessness and rough sleeping
- Refugee housing - Ukraine and Afghanistan
- Social housing
- Supporting Families and Changing Futures
- Private Rented Sector
- Electoral Integrity Programme
Previous government posts:
- Minister without Portfolio 2022- 22
- Minister of State – Department of Transport 2020-22
- Minister for Africa – Foreign and Commonwealth Office 2019 – 20
- Minister of State - Department for International Development 2019 – 20
- Minister for Business and Industry - BEIS 2019 – 19
- Government Whip 2017 - 19
Dehenna Davison MP for Bishop Auckland since 2019
Parliamentary Under Secretary of State
Responsibilities include:
- Local growth funding design and simplification
- Local growth funding delivery - UK Shared Prosperity Fund (UKSPF), Levelling Up Fund (LUF), Community Ownership Fund (COF), etc.
- Devolution deals and county deals
- Planning casework
Baroness Scott of Bybrook OBE
Parliamentary Under Secretary of State
Responsibilities include:
- Integration, communities and faith, including Hong Kong British National (Overseas)
- RED local resilience and emergencies, including winter preparedness
- COVID-19 inquiry
- Planning casework
- Lords work for the department
Bids invited for LGA Housing Advisers Programme
This programme is part of the LGA’s sector-led improvement offer and is designed to support councils seeking to innovate in meeting the housing needs of their communities. Awards up to £20,000 are available to successful applicants for the provision of bespoke expert support to councils – or groups of councils – wanting to transform the delivery of homes and places, improve the quality and security of existing homes and/or to prevent and reduce homelessness. This year the programme has a second strand, aimed at councils who are keen to lead on the delivery of new housing but do not have a recent track record in this area.
The deadline for applications is 24 November 2022.
For more information and how to apply for the 2022/23 programme – link
Diary Date - LGA Webinar - The Social Housing Regulation Bill – Information for councils – 21st November 2022
This webinar originally planned for September 2022, was cancelled due to the Queen’s death, will now take place on Monday 21st November 2022. This LGA event is a collaboration with ARCH and the NFA.
The programme will discuss the forthcoming Social Housing Regulation Bill and includes speakers from the Department for Levelling Up, Housing and Communities (DLUHC) and the Regulator of Social Housing (RSH).
The webinar is being held over Zoom and is free to LGA members. To find out more information and to book follow the link: Local Government Association
Recent Publications
Housing Ombudsman
The Housing Ombudsman has published its latest Insight Report covering April to June 2022 which shows that complaint volumes remain high. Case studies in the report are drawn from the South-East and South-West of England and focus on where landlords have implemented good practice around dispute resolution.
In addition, the Housing Ombudsman has used its powers to conduct further investigations, where complaints may be indicative of wider service failure, to look in more detail at 13 complaint cases relating to Clarion Housing Association. The resulting Special Report identifies multiple failings with poor record keeping and communication key issues undermining effective complaint handling. There are also important learning outcomes in relation to damp and mould and pest control cases. Interestingly the Ombudsman is keen to point out that offering sizable compensation should not become routine; the focus should rather be on identifying improvements that deliver earlier complaint resolution.
Regulator of Social Housing (RSH)
The RSH has published its Decision Statement setting out the outcome of the consultation on Tenant Satisfaction Measures. As a result of the feedback some changes have been made, mainly to ensure definitions are or to reflect wording improvements suggested by respondents.
