Government Watchdog to review quality of social housing

The National Audit Office (NAO) has announced that a research report into the quality of social housing is included in the 2026/27 work programme. The report will examine whether the reforms to the sector, and to the way it is regulated, are financially sustainable and likely to meet government’s aims for the quality of social housing.

The report will focus the following issues:

• How well the government (MHCLG) understands actual housing conditions and whether it has a clear and credible plan for improving these.
• Whether current regulatory arrangements are working effectively and as intended to ensure homes are safe and decent.
• Whether recent reforms (e.g. new standards, Awaab’s Law) are affordable and financially sustainable for landlords in the longer term.
• Effectiveness of regulation (including new consumer standards and safety requirements) in driving compliance and protecting tenants.
• The pace and scale of change and outcomes for tenants.

Consultation – VAT treatment of land intended for the construction of new social housing

HM Revenue & Customs and HM Treasury have published a joint consultation which looks at the VAT treatment of land intended for the construction of new social housing.

Through this consultation the government is seeking evidence on how the current VAT rules affect the feasibility and timing of social housing developments, and how the introduction of a new zero rate on the sale of bare land intended for social housing development might influence behaviour across the sector. The government is also seeking comments on the design of the proposed relief to inform the final design of the policy.

The consultation highlights that any relief will need to be targeted, effective and fiscally responsible. It must be genuinely supportive of social housing delivery whilst protecting vital tax revenues and minimising the scope for abuse.

Consultation closes 18 August 2026

The Housing Ombudsman has published three new reports:

Window Disrepair

This is the third report on window disrepair and related hazards in the ‘learning from severe maladministration’ series.  The report highlights a worrying pattern of “apathy” and delayed action on window repairs. Around 9% of window-related cases result in a finding of severe maladministration, much higher than the typical casework rate of 2%.

Main issues highlighted in the report:

• Window repairs are often subject to long delays and left unresolved for extended periods, sometimes lasting years despite clear risks to residents.
• Landlords frequently delay urgent works, deferring them to major works programmes which exposes residents to continuing hazards while waiting for long-term projects.
• Casework highlights failure to carry out proper risk assessments linking window related issues with other hazards including damp and mould, excess cold and structural issues.
• Landlords frequently ignore or fail to act on known vulnerabilities, and don’t adequately take into account the impact on residents.

 Handling of Pest Infestations

This report on findings from two “wider orders” on pest infestations involving different landlords.  One case related to pests accessing properties from communal areas, the other to a bed bug infestation within the property.

Both cases revealed failures in handling pest infestations, including:

• Delays which impacted residents, including children
• Poor escalation, limited treatment options, and inadequate compensation (e.g. bed bugs case)

• Common problems included unclear responsibility between landlord and tenant, poor record-keeping and reporting and weak coordination and oversight of contractors

The key learning points from these cases highlight the need for clear policies and responsibilities, proactive management along with good coordination and communication.

Pest hazards are expected to fall under Awaab’s Law, increasing scrutiny of landlord compliance in this area.

Continuous Learning

The latest insight report Learning from further investigations considers how root cause analysis can be used to better understand repeated failures and strengthen learning from complaints.

Complaints should be treated not just as individual cases but as intelligence which should be actively analysed to identify recurring patterns and diagnose systemic weaknesses.

Root cause analysis enables organisations to look beyond human error explanations to identify and address deeper organisational issues. You cannot reduce complaints or improve services without systematically understanding and fixing the root causes of failure across policies, processes, systems, and governance.

Government responds to HCLG Committee report on poor housing conditions in temporary accommodation

In April the Housing, Communities and Local Government Committee published a report on Housing Conditions in Temporary Accommodation which found that too many households are living in poor-quality temporary accommodation, with conditions that are unsafe and sometimes unfit for habitation. The report argued that temporary accommodation should be safe, decent, suitable, and genuinely temporary, and that government and councils needed to apply higher standards, stronger enforcement, and increase the supply of good quality accommodation to protect homeless households, especially children.

MHCLG has now published the Government’s response which acknowledges that too many households—particularly families with children—are living in poor‑quality temporary accommodation and frames this as part of a wider “broken system” of rising homelessness.

The response accepts many of the Committee’s concerns and commits to improving standards through its National Plan to End Homelessness (December 2025), which includes strengthening protections, extending the application of the Decent Homes Standard and Awaab’s Law to temporary accommodation, and taking wider action on other issues of concern such as ‘out‑of‑area’ placements.

The Government response restates its commitment to eliminating the use of bed and breakfast accommodation for families, except in emergencies. The government has also launched the first year of a three-year £30 million Emergency Accommodation Reduction Programme which seeks to end the illegal use of bed and breakfast accommodation for families by the end of this Parliament and improve the quality and suitability of temporary accommodation placements.

Regulator of Social Housing Updates:

More and Better Homes – Open call for evidence

The Regulator of Social Housing (RSH) has initiated an open call for evidence to inform a formal consultation on revising the economic standard which is expected in 2027.

Whilst the economic standard does not apply directly to local authorities, the issues raised in the consultation signal a significant shift in regulatory expectations with potential implications for council business planning.

The RSH is signalling a shift to a more interventionist and outcome focussed regulatory regime which aims to ensure the sector can scale up the supply of new homes whilst maintaining quality and stability within the existing social rented stock.

Key themes

• Expectation that social housing remains the core organisational activity with potentially greater scrutiny of diversification and non-social housing activities.
• Increased scrutiny of business planning.  The RSH will be seeking to ensure that financial capacity is channelled into homes delivered and improved with business plans tested against actual delivery, not just financial metrics.
• Renewed emphasis on maximising value from limited resources. Landlords will need to demonstrate improved cost efficiency, better asset management and justify investment decisions around newbuild versus existing stock.
• New emphasis on being able to ‘fail safely’ without risk to tenants’ homes has implications for governance, assurance and oversight arrangements.

Call for evidence closes 30 September 2026

Independent Review to evaluate the impact of consumer regulation

The RSH has appointed an independent research consortium to carry out an evaluation of recent consumer regulation changes.  The evaluation will be carried out by a research consortium comprising RAND Europe, Shared Intelligence and the Cambridge Centre for Housing and Planning Research. The project will span more than two years, with the final report expected to be published in 2028.

Other Publications

Renew Interim Report – Unlocking 500,000 good quality homes in the North – Northern Housing Consortium (NHC)

This Northern Housing Consortium report makes the case for housing‑led regeneration to deliver new homes, revitalise communities and deliver economic growth across the North. This is an ambitious project that seeks to re-establish regeneration as a key priority and driver within housing policy.

The report sets out a roadmap for government and the sector, highlighting that without long-term funding and structural reform, large-scale regeneration and the associated expansion in housing supply, will not be achievable.

Key recommendations

• Long-term devolved funding through a 10-year Place Based Regeneration Fund for mayoral authorities to provide the certainty required to unlock complex regeneration schemes.
• Appoint a Minister for Regeneration to co-ordinate activity across government and ensure alignment between housing, planning and growth policies.
• Establish a National Centre for Regeneration to strengthen local delivery capacity, skills and innovation.
• Devolve powers to mayoral and local authorities to lead regeneration and enable place based, locally tailored solutions to housing need.
• Strengthen resident engagement and trust through clear standards and rights for residents involved in regeneration schemes.
• Recognise and address financial viability barriers e.g. low land values and high remediation costs.

Clearing the Decks: Tackling Energy Debt to Lower Bills – June 2026

This policy paper published by National Energy Action sets out the case for expanding Ofgem’s Debt Relief scheme to restore stability, reduce anxiety, improve wellbeing, and enable households to re-engage with their energy use and wider support. Clearing energy debt would also reduce costs for all consumers as debt-related costs currently add around £50 to £70 per year to typical bills. Bringing down overall levels of debt would reduce these costs, delivering ongoing bill savings across households.

Procurement – the price we pay, and the path to improvement (June 2026)

This Housing Forum report sets out how councils and housing associations are paying more than private developers to build new homes due to slow and overly complex procurement processes. This new report argues that reforming procurement practices represents one of the quickest and most practical ways for councils and housing associations to improve delivery and reduce costs within their control.

Diary Dates

Finance and Business Planning Meeting – Thursday 16^th July 2026 (9.30 – 12.00)

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.

2026 CWAG Annual General Meeting

This year the CWAG Annual General Meeting will be on Thursday 1st October 2026. Further details will be available in due course.

Guide to the Social housing Bill

This sets out the key elements and objectives of the proposed legislation.

Letter from Matthew Pennycook to Sector Leaders

This letter includes details of a government review into the allocation and use of social housing to reduce empty homes, support the better use of existing stock. A key aim is to ensure homes go to those most in need, including strengthening council nomination arrangements and reviewing statutory guidance to better reflect local needs and support vulnerable households.

Homelessness code of guidance for local authorities

MHCLG has published an update to this guidance which now includes an additional clause 8.18 regarding assessment of vulnerability of applicants with a disability or another relevant protected characteristic.

Text of Housing and Planning Minister’s Speech to UKREiiF 2026

MHCLG has published details of Matthew Pennycook’s speech at the UK Real Estate and Infrastructure Forum on 19th May 2026. The speech sets out the government’s housing related achievements so far along with policy objectives and plans going forward.

How Tax reforms would make rent controls feasible to deliver – This report published by the Joseph Rowntree Foundation argues that the high level of returns generally available to landlords warrant intervention on rents — both to make rents more affordable for renters, and to curb the excessive returns landlords are currently able to make and the distortive effects they have on the housing market and wider economy.

Finance and Business Planning Meeting – Thursday 16^th July 2026 (9.30 – 12.00)

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.

2026 CWAG Annual General Meeting

This year the CWAG Annual General Meeting will be on Thursday 1st October 2026. Further details will be available in due course.

CWAG Consultation Response – Housing Ombudsman Business Plan 2026/27

The Housing Ombudsman recently consulted on its 2026/27 Business Plan. In our response, CWAG raised a number of concerns relating to the scale and timing of fee increases and impact on the sector. We also raised concerns about the way the fee consultation was conducted and the need to evidence measures to control costs and allow effective scrutiny and feedback in future. The Housing Ombudsman has now published its consultation response which recognises many of the concerns we raised and includes a phased increase in fees which will reduce from  £9.64 per property in 2026 /27 (as against the £10.56 originally proposed).

You can read both the CWAG consultation response and the Housing Ombudsman’s recently published statement below.

Revised Right to Buy Guidance

MHCLG has updated the guidance on the RTB scheme setting out the latest information and good practice on operating the Right to Buy scheme for both councils and tenants. The guidance on retained RTB receipts has also been updated.

Council Tax changes to protect vulnerable households

MHCLG has published the outcome of the consultation Modernising and improving the administration of council tax which includes proposed reforms and a wider package of support for vulnerable households and those facing enforcement action. Under the current system, missing one monthly payment can leave people liable to pay the entire outstanding sum in a single payment just two weeks later. Proposed changes from next year will give households 63 days, roughly two months, to settle their bill.  Councils will also be required to work with affected households on a sustainable repayment plans.

Homes England launches National Housing Bank

Launched on 1st April 2026, the National Housing Bank is a new government public finance institution tasked with accelerating the delivery of new homes and enabling the regeneration across England. The institution is backed by the UK government with access to up to £16 billion loan finance, which will be available for projects with house builders, developers, investors and registered providers.

The bank is a subsidiary of Homes England; with plans to support the delivery of more than 500,000 homes and a raft of major regeneration and mixed-use schemes, alongside unlocking more than £53 billion of private investment over the next ten years.

Housing Ombudsman has published two reports in the ‘learning from severe maladministration series.

One report focusses on the use and importance of apologies as a remedy, highlighting the growing use of apology as part of the resolution of Ombudsman cases, with the service typically ordering around 4000 apologies each year. The report highlights the power of genuine apologies to restore trust between landlords and tenants where things have gone wrong.  Meaningful and empathetic apologies also foster important behavioural and cultural change at little financial cost. The Ombudsman has also published separate apologies guidance setting out what makes a good apology and how best to approach an apology whether in writing or in person. There is also an apologies checklist.

The second report reviews recent casework involving hazards, and the relationship between multiple hazards, that is often a feature in these cases. The report highlights a series of examples involving different HHSRS hazards and the issues involved, as such it is particularly relevant ahead of the introduction of phase 2 of Awaab’s Law later this year. The report calls for a focus on ‘early warning signs’ as well as making good use of void periods to proactively tackle problem issues.

Other Publications

“Supported Housing: The Missing Link in Social Care Reform – A Call to Action” – Cornwall Council 

This report is based on a panel discussion at the National Children and Adult Social Care Conference (NCASC).

The report makes the case that if supported housing is to be sustainable, person centred and preventative, it must be treated as core social infrastructure – not a peripheral housing issue. It calls on Government to place supported housing at the heart of social care reform, with a clear plan for sufficient specialist and supported provision embedded in national housing policy, housing strategies and planning guidance alongside appropriate funding mechanisms that give councils the means and providers the long-term certainty to invest at scale. To live well, people need safe, stable homes with the right support at the right time: “Being stable, warm and supported is 80% of what enables a good life. Good outcomes rely on good housing and accommodation.” Hugh Evans – Executive Director of Adults and Communities, Bristol City Council

Build Up Not Trickle Down – The case for Need-Led Housing Policy – Shelter (February 2026)

Successive governments have pursued trickle down approaches to housing delivery relying on policies to increase the supply of newbuild homes for private sale and rent in the hope that wealthier households buying newly built homes at the top of the market will free up supply lower down the chain for lower income families. This paper argues that housing policy focused on market demand linked to trickle down policies will not address the current housing emergency as it only responds to people who with the resources to buy or rent in an increasingly unaffordable private market. An alternative needs-led housing model that delivers genuinely affordable homes is required. This would address loopholes in the planning system that mean developments too often fail to include social homes and improve the affordability of homes for those in the greatest housing need.

The New Decent Homes Standard

The Government has published a policy statement in response to its consultations on a new Decent Homes Standard (DHS).

The policy statement confirms that the new DHS will apply to both social rented and private rented sectors from 2035. This extended implementation timeframe is intended to allow landlords sufficient time to plan for and manage implementation effectively. In addition, the government is keen to ensure social landlords have the resources to support both improvements to their existing stock and continued delivery of new supply.

The new DHS will focus on condition as the primary factor for compliance, rather than the age of a property/ component.  See box for overview of the new DHS

The new DHS will also apply to supported housing and temporary accommodation; however, the government has recognised that there may be instances where it is not appropriate for landlords to meet certain elements of the DHS and further guidance on this will be available later this year. Additional guidance will also be published covering rented homes where the landlord is a leaseholder, as well as mixed‑tenure blocks containing both rented and owner‑occupied leasehold properties.

The new DHS will not include a mandatory requirement to provide floor coverings, although this was part of the consultation. Housing Minister Matthew Pennycook, in a parliamentary written statement, indicated that this decision reflects careful consideration of feedback received and the significant challenges that would be involved in implementing this as a mandatory requirement. However, the government recognises that many residents struggle to provide basic floor coverings and will look to identify cost-effective ways landlords can support tenants in need.

Other measures included as part of the consultation that have not been carried through to the new DHS include proposed enhanced home security measures and obligations to meet enhanced standards within the public realm (boundary walls, curtilage, pathways and steps, signage, external lighting, bin stores).

Modelling the Decent Homes Backlog and Costs

MHCLG has also published a report using analysis of English Housing Survey data (2023) to estimate whether dwellings would pass or fail the new DHS, as well as estimating the cost of bringing homes up to the new standard.

The report indicates a likely failure rate against the new DHS of 45% in the social rented sector and 48% in the private rented sector (PRS).

The cost of meeting the standard will reflect both the cost of upgrades to meet the revised standard and actions required for landlords not currently meeting obligations. Using 2023 data, this is expected to cost £26.5 billion in the PRS and £11.3 billion in the social rented sector, although only £5.4 billion and £1.8 billion of these costs are those above and beyond existing obligations respectively.

In January MHCLG published the outcome of the consultation Improving the energy efficiency of socially rented homes in England which confirm the requirement for social rented properties to achieve EPC C or equivalent by 1 April 2030.

The ‘dual metric’ approach set out in the consultation requiring providers to meet EPC C in two metrics, is retained. However, in response to concerns about deliverability and affordability, the timescale for full implementation has been extended. Social landlords will only be required to meet one metric by the 2030 deadline; the second metric must be achieved by 2039.

In addition, the ‘Fabric First’ principle will no longer be mandatory, allowing landlords to select which metric (smart, heat, or fabric) is best suited to their stock and tenant needs allowing flexibility where other metrics may deliver greater benefits.

A new, time‑limited ‘Spend Exemption’ will apply from 1 April 2030, capping required energy‑efficiency investment at £10,000 for a 10‑year period. Also, homes that are already compliant with EPC C with a valid certificate issued before the new EPC format is introduced will be able to rely on this certificate until it expires.

The Warm Homes Plan published on 21^st January 2026, by the Department for Energy Security and Net Zero (DESNZ), sets out government policy and a £15 billion investment plan to upgrade up to 5 million homes by 2030 and help lift one million families out of fuel poverty.

With a focus on electrified heating, insulation, and residential solar power, the plan aims to deliver significantly lower energy bills through low-carbon technologies and energy efficiency measures. Whilst the plan does not currently set a date to end gas boiler sales, it seeks to incentivise low carbon alternatives. It represents one of the largest ever programmes of public investment in home upgrades in the UK.

There are 3 elements to the Plan:

Direct support for low-income households

• One third of the total funding (£5 billion) will be targeted towards low-income households, with grants potentially covering the full cost of upgrades e.g. fully funded installations of solar panels and a battery, to the full average cost (currently £9,000-£12,000)
• For social housing residents, this could mean upgrades to entire streets at the same time, lowering bills and improving warmth and comfort for whole neighbourhoods.

Energy- Efficiency Improvements (‘an offer for everyone’)

• The central focus is electrified heating through heat pumps described as the most effective low carbon heating technology for most homes. A £7,500 universal grant for heat pumps, including “air-to-air heat pumps” that can also cool homes in the summer. The plan envisages installation of 450,000 heat pumps annually by 2030 (200,000 in newbuild properties and 250,000 in existing homes)
• Government-backed, zero and low interest loans will also be available to get solar panels onto the nation’s rooftops. New rules that mean every new home will come with solar panels by default. This plan will triple the number of homes with solar panels on their rooftops by 2030.

New protections for renters:

• A new obligation on private landlords to improve the energy performance of properties to EPC C by 2030 targets up to 3 million rental properties for improvement over the next 4 years.

In summary, the plan targets reducing fuel poverty by delivering cost savings and energy efficiency. Energy bills will be reduced through investment in low carbon technology and insulation to upgraded standards using a combination of government grants, loans and incentives. A new Warm Homes Agency will also be set up to provide consumers with information and advice on options available within the plan.

Fuel Poverty Strategy for England

This policy paper sets out the government’s approach based around three main policy strands, namely – reducing energy costs, tackling the cost of living and improving energy performance.

Consultation Response – Improving  energy performance of privately rented Homes

This consultation response confirms key policy decisions on minimum energy efficiency standards (MEES) in the private rented sector. The target of EPC C will apply for all tenancies by 2030 (subject to a maximum investment of £10K per property).

Delivering New Social and Affordable Homes

Bidding for the new Social and Affordable Homes Programme (SAHP) 2026 -36 is due to open this month with several funding routes available. The programme’s key objective is to deliver around 300,000 social and affordable homes over the life of the programme, with at least 180,000 of these homes being for Social Rent. As part of the government’s wider development drive, several new initiatives have been announced designed to promote development and tackle obstacles to programme delivery.

Updated Housing Revenue Account Guidance

The government is keen to encourage councils which have no recent history of housebuilding to start building again. To facilitate this the government has announced an increase in the Housing Revenue Account threshold from 200 to 1,000 homes making it easier to undertake new development without an immediate requirement to re-open a Housing Revenue Account.

Roadmap for Section 106 Delivery in England

On 28^th January MHCLG released a policy statement setting out measures to reset the Section 106 (S106) mechanism for delivering social and affordable housing. This includes time limited flexibilities to resolve the legacy of uncontracted S.106 homes and new measures to establish simpler, more transparent and more resilient arrangements going forward.

New Homes Accelerator Scheme

This scheme is a collaboration between government, Homes England, the Greater London Authority, local authorities, developers and other key stakeholders. It aims to provide specialist assistance to unblock and accelerate development delivery and is particularly focussed on getting homes built this Parliament. Phase 2 announced in January 2026 extends the scheme to sites under 500 homes and includes guidance on how to apply along with the application form, for developers, local authorities and landowners interested in the scheme.

Recent Publications

Housing Ombudsman Report (February 2026)

The latest report in the learning from severe maladministration series focusses on compensation awards and is accompanied by new guidance setting out the key principles and expectations expected to underpin a fair approach to compensation, make clear expectations and encourage consistency. This guidance will be effective from 1 April 2026.

The guidance is for internal use by caseworkers who make decisions on behalf of the Ombudsman and landlords are encouraged to adopt a compensation policy that aligns with it. The guidance stresses that compensation payments are not punitive or a regulatory fine but should be determined by the principle of putting the resident back in the position they would have been in had the service failings not happened. The aim is to deliver a fairer, more consistent approach to compensation payments across the sector. It is also noteworthy that compensation is not always ordered as other forms of redress may be deemed more appropriate.

General Announcements

Invitation to Take Part in Research on Awaab’s Law.

Verian, an independent social research agency, is working with MHCLG to understand social landlord and tenant experiences of the early implementation of Awaab’s Law. The findings will inform improvements for future phases of Awaab’s Law, shape policy decisions that affect social landlords and tenants and provide insights to help landlords strengthen compliance, improve tenant relationships, and reduce risk.

Verian is looking to recruit social housing landlords and tenants to participate in this research. Please see the recruitment survey here.

ADoH Bitesize Webinar: Ending Furniture Poverty (26 February 10-11am)

The charity End Furniture Poverty (EFP) works to raise awareness of furniture poverty—its scale, its impact, and the solutions available. Claire Donovan, Director of EFP, will share research showing the extent of furniture poverty in social housing and the impact it has tenants. She will also explain how EFP supports local authorities and housing associations to introduce cost‑neutral furniture provision. She will be joined by Andrew Waters, who leads the furniture rental service at their sister charity FRC, as well as representatives from local authorities EFP has supported—including a stock‑holding authority with a long‑running furnished tenancy scheme and a non‑stock‑holding authority that has worked with EFP to bring local housing associations together to improve furniture provision. If you would like to attend the webinar please contact the CWAG Policy Officer.