Library Archive
Professionalism Consultation Response
The Competence and Conduct Standard Consultation sets out the implementation arrangements for the new regulatory standard requiring senior housing managers and executives within social housing to either have, or be working towards, a relevant professional qualification.
Whilst recognising the value relevant professional qualifications in driving up standards in the social rented sector, the CWAG consultation response highlighted concerns around the tight implementation timescales and the potential for these to negatively impact staff recruitment and retention in the short-term. The proposed timescales do not offer sufficient time to implement the necessary organisational and training challenges alongside succession planning.
In addition, the costs associated with introducing these measures are likely to be significantly higher than estimated in the impact assessment. No additional resources have been identified to cover implementation and associated costs which will need to be funded from already stretched Housing Revenue Accounts.
Other issues highlighted include that role descriptions are a poor fit with ALMO clienting arrangements. In addition, organisations using external contractors may face difficult challenges if these roles are deemed in scope of the new regulations.
CWAG Newsletter – March 2024
This Update includes the following
Right to Buy Receipts and the Budget
The recent Budget included details of arrangements for the coming year covering the use of Right to Buy receipts to fund replacement affordable homes.
On the positive side, the Government has responded to calls for increased flexibility around the proportion of Right to Buy receipts that can be used as part of the funding package to deliver replacement homes. Local authorities will now be able to use a higher percentage of Right to Buy receipts, up from 40% to 50% of scheme costs, a change that should assist scheme viability and funding pressures.
However disappointingly there will be no extension of the temporary arrangement allowing councils to keep 100% of the Right to Buy receipts from council house sales in 2022/23 and 2023/24. This will now come to an end this month and receipts generated from sales in 2024/25 will be subject to a 20 -25% clawback by the Treasury, reducing resources and scope to deliver replacement homes.
Other regulations limiting the proportion of replacement homes that can acquired as acquisitions have been retained at 50% until 2025/26. Longer term the Government wants to see a balance between the delivery of new build homes using Right to Buy receipts and acquisitions, to ensure that Right to Buy receipts contribute to new housing supply.
Final version of RSH consumer standards published.
On 29th February the Regulator of Social Housing (RSH) published a series of documents setting out the final arrangements for Consumer Regulation which will come into effect on 1 April 2024. A detailed summary of the new approach to regulation is set out in the publication Reshaping Consumer Regulation – our new approach. Guidance explaining how the new regulatory arrangements will operate, including inspections, is set out in a collection of documents available on the ‘How we regulate’ page on the Regulator’s website.
The four revised consumer standards are:
Safety and Quality Standard – Sets outcomes about the safety and quality of tenants’ homes and the landlord services they receive.
Transparency, Influence and Accountability Standard – Requires landlords to be open with tenants and treat them with fairness and respect so they can access services, raise concerns and influence decision making, holding their landlord to account.
Neighbourhood and Community Standard – Requires landlords to work constructively with other organisations to help ensure tenants live in safe neighbourhoods.
Tenancy Standard – Sets outcomes about how landlords allocate and let homes and manage tenancies.
Recent Publications
The economic impact of building social housing – Report by Centre for Economic and Building Research (CEBR)
This NHF and Shelter commissioned report sets out the arguments in favour of building social housing and forms part of the pre-election debate around housing policy. Based around scenario modelling the report tracks the economic, social and employment benefits of building 90,000 new social homes per year over a 10 year period. According to the researchers, significant benefits would accrue from the start of the programme with projections indicating that the programme would break even in the third year post construction achieving a net present value of £2.4 billion. Download Executive Summary
Local Housing Allowance – What can Claimants Afford? – Savills Research
Research by Savills analysed over one million Zoopla asking rents in 2023 and concluded that only 8.5% of homes listed would have been affordable using the new uplifted LHA rates. From April LHA will increase on average by 17%, or £110 more per month, compared to when rates were last increased in April 2020. However, in the 4-year period private up to November 2023, private rents have grown on average by 29% across the UK suggesting that those reliant on housing benefit will continue to struggle. The report highlights the wider problem of affordability and high demand impacting all tenures emphasising the urgent need for delivery of more affordable homes to both rent and buy.
Complaints Handling Failure Orders Report (October – December 2023) – Housing Ombudsman
This latest quarterly report highlights a significant reduction in the number of complaints failure orders issued in the final quarter of 2023 compared to the previous quarter. With the introduction of the new Statutory Complaint Handling Code from April the report provides several good practice compliance examples relating to accepting complaints, agreeing extensions and provision of evidence.
The State of Local Government Finance in England 2024 Report – Local Government Information Unit
This annual survey of local government in England highlights the extreme and unprecedented financial pressures currently facing local authorities with 9% of councils indicating that they face bankruptcy in the next financial year and more than half warning they will be in a similar situation within the next 5 years if funding pressures are not addressed.
CWAG Newsletter – February 2024
This Update includes the following
Calls for Reform of Right to Buy
The Conservative Government has signalled its ongoing commitment to the existing arrangements having recently confirmed that the maximum discounts available to tenants will be increased from April 2024 in line with the Consumer Prices Index (CPI) figure of 6.7% to £102,400 outside London and £136,400 in London.
However, in this election year, the debate around the future of the Right to Buy scheme is coming into sharper focus with calls for fundamental reform now being actively debated. Two recent publications highlight growing calls for change.
LGA Right to Buy Position Statement
On 9th February the LGA issued a new position statement on the Right to Buy calling for fundamental reform.
Set within the context of current housing challenges with more than one million people on council housing waiting lists and 106,000 households living in temporary accommodation. LGA research highlights that there has been a net loss of 24,000 social homes each year since 1991 and if nothing is done a further 100,000 social homes will be sold by 2030 with only 43,000 replacements built.
The position statement argues that the continuing depletion of the available social housing stock through the RTB scheme needs to be addressed. Whilst stopping short of calling for a ban on RTB, the LGA would like to see the scheme fundamentally reformed with local flexibility for councils to shape the scheme so it works best for the local area.
Proposals include:
- Allowing local authorities to set the discount levels at which homes can be purchased, including a possible discount of 0 per cent.
- Increasing the tenancy qualification requirement from 3 to 15 years.
- Allowing councils to retain 100% of receipts along with greater flexibility to combine with other funding and removal of restrictive time limits on using receipts.
- Granting the cost floor indefinite protection for properties purchased through Right to Buy and allowing the cost floor to be increased by inflation ( specifically with an index based on construction cost inflation).
- Possible complete exemption for newbuild properties and those that have been retrofit or improved.
UCL Direct Provision of housing: Fourth Research Report – January 2024
This latest report published in January by researchers from the Bartlett School of Planning considers current issues hindering local authority direct provision of housing. This is a wide ranging study covering different aspects of policy however the RTB policy in England is identified as a major factor undermining and disincentivising new council housing provision. There are two key recommendation on linked to RTB:
- Right to Buy reform including either abolishing it altogether or limiting it, for example so it does not apply to newly built homes for at least 15 years.
- The ability for authorities to retain 100% of Right to Buy receipts over a longer period of time and with greater flexibility over their use.
Policy Consultations
There are currently three Department for Levelling Up Housing and Communities open policy consultations impacting the the social housing sector.
The January Newsletter included an overview of proposals in the Awaab’s Law Consultation which includes strict time limits for social housing providers to address dangerous hazards in their properties. This consultation ends on 5th February 2024.
Consultation on reforms to social housing allocations
This consultation has been styled ‘British homes for British workers’ and proposes reform of the regulations governing new social housing allocations. The stated aim is to ‘crack down on rule breakers’ and ensure that ‘valuable and limited’ social housing is allocated fairly.
Most of these new tests apply to future applicants and people on waiting lists only; however, those relating to terrorism and anti- social behaviour aim to establish new grounds for evicting existing tenants in specific circumstances.
These proposals seek to ration available social housing by applying additional eligibility criteria but will do little to address the current housing shortage and the lack of new supply.
This consultation ends on 26th March 2024.
New social housing eligibility tests proposed:
- UK connection test – A requirement for social housing applicants to demonstrate a connection to the UK for at least 10 years.
- Local connection test – Applicants must demonstrate a connection to a local area for at least two years before they can be allocated social housing.
- Income test – This would set out a maximum threshold for household income which if exceeded would exclude the household from applying for social housing. The consultation does not specify what this threshold level should be but seeks views on what would be appropriate.
- Anti-social behaviour test – People who have unspent convictions for certain criminal anti-social behaviour would be disqualified from social housing for a defined period of between 1 and 5 years. A ‘three strikes and you’re out’ policy would apply for existing tenants anti-social behaviour convictions.
- Terrorism test – Those with unspent convictions for terrorism offences could be disqualified from social housing eligibility.
- Fraudulent declaration test – This would introduce a period of disqualification for those ‘knowingly or recklessly’ making false statements when applying for social housing.
Consultation on Competence and Conduct Standard for social housing
As part of the Government’s post Grenfell drive to improve standards in the social housing sector, the government is consulting on a proposed new direction to the Regulator of Social Housing.
The measures set out aim to ensure that those in senior housing management positions in the sector have appropriate professional qualifications.
It has been estimated that around 25,000 housing management staff will fall within the scope of these measures who will be expected to secure new qualifications. The implementation of such an extensive sector wide training programme has raised questions around the capacity of the training sector to deliver within such constrained timescales as well as how the programme will be funded.
There are also concerns around organisational impacts if staff are absent from their job roles to undertake their studies or possible staff retention issues if staff are expected to undertake training in their own time.
The consultation raises a number of other potential issues including the implications for staff retention and recruitment with the prospect of staff shortages and increasing costs. It is feared that older experienced staff may opt not to undertake the required training. There are also queries around precisely which roles are in scope and whether the measures will be applied to external consultants and specialist repairs contractors.
This consultation ends on 2nd April 2024.
Key proposals
- All senior housing managers and executives who spend a significant amount of their time on housing management (defined as 50% of their job role) will be required to have or be working towards an appropriate professional qualification.
- The new arrangements will commence from April 2025 with a two-year transition period, at the end of which all affected staff must be either qualified or have commenced studying for their qualification.
- Course content must be tailored towards social housing and include appropriate knowledge of law and policy, as well as practical service delivery and customer service skills.
- The consultation makes provision for an extended 4-year transition period for small organisations (with fewer than 50 units) and allows for some flexibility around issues such as maternity leave and staff on long-term sick leave.
CWAG is planning to respond to these consultations, please send any comments on the consultations to the Policy Officer.
Recent Publications
Financial distress in local authorities LUHC Select Committee Report (published 29/01/24)
This report looks at why councils are facing financial distress and struggling to maintain services, with particular pressures in social care, children’s services and homelessness. It sets out the challenges facing the next Government, regardless of political persuasion. A fundamental review of local authority funding and taxation will be required. Download Report
The Provision of Floor Coverings in Social Housing – Learning Report 3: Landlord Perspectives – Altair (published January 2024)
Altair research report exploring the costs and benefits of landlords providing floor coverings in social housing. Download Report
Relationship of Equals – Housing Ombudsman Spotlight Report (published January 2024)
The latest report in the Housing Ombudsman Spotlight series focusses on attitudes, respect and rights. It examines what it means to be vulnerable in social housing and how landlords can better respond to the needs of vulnerable residents. The report also calls for a Royal Commission to create a long-term plan for social housing as current approaches are not working for residents with a vulnerability. Download Report
Quarterly Home Office Fire Safety Reform Bulletin. No 4 – February 2024
This bulletin provides information on the latest fire safety developments and links to recently published and updated guides.
Diary Dates
CWAG General Meeting – 27th February 2024 (10.00 -12.00)
The meeting will focus on Tenant Satisfaction Measures (TSMs) and preparing for the forthcoming changes to regulation. Speakers include Jonathan Cox from Housemark who will be discussing learning to date from TSMs, and Lucy Heath from Shropshire Council will be sharing impressions and feedback from the recent RSH pilot inspection.
Competence and Conduct Standard Consultation Roundtable – 6th March 2024 (10.00 -11.30)
The NFA has arranged a Teams /roundtable with DLUHC representatives to discuss the Competency and Conduct consultation. If any CWAG members are interested in attending, please contact the Policy Officer for further details.
CWAG Finance and Business Planning Meeting – 6th June 2024 (10.00 -13.00)
A follow up meeting date has been arranged with Steve Partridge from Savills – further details will be available nearer to the meeting date.
Awaab’s Law Consultation
Awaab’s Law Consultation
The Social Housing Regulation Act 2023 included provisions for the introduction of Awaab’s Law which aims to protect residents from health and safety risks in their homes by requiring landlords to investigate and fix reported health hazards within specified timeframes. The consultation seeks views on how Awaab’s Law should be implemented, specifically regarding time scales for investigations and carrying out repairs.
The consultation proposes the introduction of a new legal obligation to investigate hazards within 14 calendar days with a requirement to start work on remedying identified hazards within 7 days. Where emergency works are identified, these must be actioned within 24 hours. If the property cannot be made safe within the specified timescales, the registered provider must offer to arrange for the occupant(s) to stay in suitable alternative accommodation until it is safe to return. These new rules will form part of a tenancy agreement, so that tenants can hold landlords to account by law if they fail to respond to issues and provide a decent home.
The consultation proposes that Awaab’s Law should take into account the 29 health and safety hazards set out in the Housing Health and Safety Rating System (HHSRS) but must additionally take into account the vulnerabilities of those living in the household.
Hazards in scope are those that pose a significant risk to the health or safety of the actual residents of the property, therefore, identifying whether a repair meets the threshold of Awaab’s Law will not necessarily match current routine or emergency repair definitions. Where residents have vulnerabilities, routine repairs will potentially fall within the scope of Awaab’s Law.
The consultation sets out new higher expectations in terms of record keeping around repairs. There is also a new requirement to provide residents with a written summary of findings within 48 hours of the investigation setting out if a hazard was found along with details of the follow up response and timescales as well as how to contact the landlord with any queries.
Cost Implications
The consultation makes an assessment of the cost implications for landlords of implementing Awaab’s Law. It is assumed that for the most part implementation costs will be relatively low as any works required are not a new burden but reflect existing landlord responsibilities and therefore shouldn’t cost more than under current arrangements. In practice, the introduction of tight timescales and increased demand for some specialist contractors are likely to increase costs in some areas.
It is estimated that the cost of preparing and sending written summaries to residents following property inspections will cost local authority registered providers around £5.1m annually, but the assumption is that automation will significantly reduce this figure over time. In addition, a small one-off element of transition costs is identified relating to staff training and familiarisation with the new arrangements (amounting to a total of a total of £513,000 across the local authority sector overall).
This is an 8-week consultation closing on 5th March 2024.
CWAG Newsletter – January 2024
This Update includes the following
The ALMO Model: first results from Tenant Satisfaction Measures
A new report commissioned by the National Federation of ALMOs reviews initial TSM performance using data collected by Housemark during the first six months of surveys from April to September 2023. Data was provided by 19 ALMOs and comparisons made with data from 53 local authorities with direct management.
The analysis shows that at the median point ALMOs outperformed local authorities on all TSMs and housing management metrics analysed. They also perform better on value for money, with an average overall cost per property of £2537; this is £81 lower than the direct local authority management average.
The headline finding is that on average the better performance and higher tenant satisfaction delivered by an ALMO costs no more than direct delivery of housing services by a local authority. In many areas, the ALMO model costs less and offers better value for money.
Report Findings
Overall satisfaction
Whilst it should be noted that overall satisfaction is declining for all types of landlords – the data indicates that it has declined less for ALMOs than for local authorities generally. The TSM data so far shows that 76 per cent of ALMO tenants are satisfied with their landlord’s services overall, compared to the local authority median of 65 per cent. Housemark also looked back at STAR data for the past 5 years highlighting that overall satisfaction among ALMO tenants has been consistently higher – between six and 11 percentage points – compared to local authorities generally.
Repairs TSMs
ALMOs perform well in this area. On average, they complete a higher proportion of non-emergency repairs within target timescale at 91 per cent, compared to a local authority median of 85 per cent; and a higher percentage of emergency repairs within target timescale (99 per cent versus 95 per cent). Satisfaction with repairs is 12 percentage points higher.
Complaints handling
On average 88 per cent of stage one complaints and 97 per cent of stage two complaints are completed within the Ombudsman’s target timescales. This compares favourably with performance in directly managed local authority stock (74 per cent and 70 per cent). Average satisfaction with ALMOs‘ complaints handling is also 13 percentage points higher.
Respectful and helpful engagement
ALMOs achieve a higher level of satisfaction across all three TSMs in the tenant engagement category.
Neighbourhood Management
ALMOs score almost eight percentage points higher on making ‘a positive contribution to the neighbourhood’ than local authorities generally. They also score 11 percentage points higher for satisfaction with the landlord’s approach to handling anti-social behaviour.
Value for Money
ALMOs deliver better value for money across housing management, responsive repairs, void works, and major works services. The average cost per property for ALMO services is £2,537 compared to £2,618 for local authorities.
Awaab’s Law Consultation
The Social Housing Regulation Act 2023 included provisions for the introduction of Awaab’s Law which aims to protect residents from health and safety risks in their homes by requiring landlords to investigate and fix reported health hazards within specified timeframes. The consultation seeks views on how Awaab’s Law should be implemented, specifically regarding time scales for investigations and carrying out repairs.
The consultation proposes the introduction of a new legal obligation to investigate hazards within 14 calendar days with a requirement to start work on remedying identified hazards within 7 days. Where emergency works are identified, these must be actioned within 24 hours. If the property cannot be made safe within the specified timescales, the registered provider must offer to arrange for the occupant(s) to stay in suitable alternative accommodation until it is safe to return. These new rules will form part of a tenancy agreement, so that tenants can hold landlords to account by law if they fail to respond to issues and provide a decent home.
The consultation proposes that Awaab’s Law should take into account the 29 health and safety hazards set out in the Housing Health and Safety Rating System (HHSRS) but must additionally take into account the vulnerabilities of those living in the household.
Hazards in scope are those that pose a significant risk to the health or safety of the actual residents of the property, therefore, identifying whether a repair meets the threshold of Awaab’s Law will not necessarily match current routine or emergency repair definitions. Where residents have vulnerabilities, routine repairs will potentially fall within the scope of Awaab’s Law.
The consultation sets out new higher expectations in terms of record keeping around repairs. There is also a new requirement to provide residents with a written summary of findings within 48 hours of the investigation setting out if a hazard was found along with details of the follow up response and timescales as well as how to contact the landlord with any queries.
Cost Implications
The consultation makes an assessment of the cost implications for landlords of implementing Awaab’s Law. It is assumed that for the most part implementation costs will be relatively low as any works required are not a new burden but reflect existing landlord responsibilities and therefore shouldn’t cost more than under current arrangements. In practice, the introduction of tight timescales and increased demand for some specialist contractors are likely to increase costs in some areas.
It is estimated that the cost of preparing and sending written summaries to residents following property inspections will cost local authority registered providers around £5.1m annually, but the assumption is that automation will significantly reduce this figure over time. In addition, a small one-off element of transition costs is identified relating to staff training and familiarisation with the new arrangements (amounting to a total of a total of £513,000 across the local authority sector overall).
This is an 8-week consultation closing on 5th March 2024.
Recent Publications
Building Safety ebulletin: 15 January 2024 (govdelivery.com)
This regular bulletin provides updates on current building safety issues and developments within the Building Safety Regulator. This edition includes information on high rise registration and monitoring arrangements for the building control profession. There is also a list of on-line building safety webinars that are available to watch on demand.
Two Nations: The State of Poverty in the UK – Centre for Social Justice (December 2023)
This interim report considers the challenges involved in improving the lives of the poorest communities in the UK focussing on the root causes of poverty and the limitations of current social policy. It brings together evidence from over 250 frontline charities, social enterprises and local organisations working with people in the toughest situations.
Diary Date - CWAG General Meeting
The next CWAG General Meeting will we held on Teams on Tuesday 27th February 2024 (10.00 – 12.00). The meeting will focus on Tenant Satisfaction Measures (TSMs) and preparing for the forthcoming changes to regulation.
The programme so far includes the following:
- Presentation from Jonathan Cox ( Director of Data and Business Intelligence at Housemark) who will be discussing learning to date from TSMs with a particular focus on councils with ALMOs.
- CWAG Executive Member Lucy Heath will be sharing her experience and feedback from the RSH pilot inspection of Shropshire Council (and its ALMO) which took place as part of round 3 of the inspection pilot programme at the end of last year.
Knowing our Homes Survey
The Knowing our Homes survey is part of a programme of work developed by the NHF in response to the Better Social Housing Review which aims to establish a shared, standardised approach for gathering and using information about the condition of social homes and about the residents who live in them. This should also help social landlords to meet new requirements emerging through the Consumer Standards which set higher expectations for how landlords gather and use information about their homes and their residents.
Although the Better Social Housing Review was initially focused on the housing association sector, the local authority sector has committed to support the work emerging from the review to make sure there is a shared approach across the whole social housing sector. The Local Government Association (LGA), Association of Retained Council Housing (ARCH), National Federation of ALMOs (NFA), and Councils with ALMOs Group (CWAG) are all working together to achieve this and make sure the whole council housing sector is represented.
A survey was sent out to stock retaining local authorities, and local authorities with ALMOs in October 2023. This is the first stage of the work which identifies how local authorities are currently gathering and using data. 49 local authorities responded to the survey (around 30 per cent of local authorities with housing stock), managing around 599,000 social and affordable local authority homes across England (around 38 per cent of the total stock).
Snapshot of Survey Findings
- Three quarters of respondents to our survey have made significant changes to the way they monitor and work to improve the condition of the homes they manage within the last year. This includes, for example:
- Reviewing damp and mould policies and procedures, implementing training, creating new teams.
- Changing stock condition programmes, for example moving to a 100% survey, reducing the length of the rolling survey or undertaking a full assessment of stock condition.
- Reviewing and developing asset management strategies.
- Investing in new asset management or property information management systems. Developing processes to cross-reference data sources (e.g. property archetype, repair and cases of damp and mould) to better direct resources and identify issues.
- Reviewing processes for identifying stock condition between surveys, for example adding requirements to the gas servicing contract to identify property condition.
- Increasing staffing resources for quality assurance, stock condition and data management.
- Accessing funding for thermal improvement/ decarbonisation work to support quality of homes.
- Introducing tenancy audits, or changes in frequency or type of audit.
- The majority of respondent have – or are moving towards – a rolling stock condition survey where they survey 100 per cent of their homes. This will support them to the meet the requirements within the Regulator’s Consumer Standards to have ‘an accurate, up to date and evidenced understanding of the condition of their homes that reliably informs the provision of good quality, well maintained and safe homes for tenants.’ The information gathered as part of these surveys differs across respondents, but around 40 per cent gather information on energy efficiency of properties (e.g. RdSAP).
- The majority of respondents report having a process for proactively checking the condition of homes between stock condition surveys. This includes, for example, through tenancy checks or audits, and asking staff who visit the home to report issues. One of the key areas of work for many is making sure IT systems can effectively record all the information about a home and the people who live in it, and that data quality is good. Around a third of respondents would recommend the IT or data systems they would use, suggesting that there is work to be done in this area.
- Having a good knowledge of the people who live in homes is a key requirement in the new Consumer Standards; to make sure that services are tailored and equitably delivered. Nearly all respondents in our survey collect, store and retain data about tenants. This includes, for example, information on household make-up, relevant health issues or disabilities, and communication needs or preferences. Nine out of 10 respondents actively update the information they hold on tenants, for example after a repair or during a tenancy audit. Members are actively working on the processes that they use to make sure they can demonstrate they are equitably delivering services.
- The collection of data on tenants is an area that members are working on, and where good practice sharing would be beneficial; particularly thinking about GDPR principles, how (and what) data is stored and kept up-to-date, and how it is used. We will continue to work with the National Housing Federation and their members to share good practice in this area.