More Than One In Six Social Homes ‘Uneconomical’ To Upgrade To Net Zero

In its annual Housing Sector Survey consultancy Savills identified a significant shift towards investment in existing homes. A poll of 138 social housing providers found that 30% expect the need to increase spending in current stock to affect their development programmes. Stock investment, driven by the building safety and zero-carbon agendas, was cited as a top priority by 85% more respondents than in the 2020 survey. Those which have crunched the numbers expect an average cost of £20,600 per home to get their housing stocks to net zero, the research found. But 37% of providers have not yet factored these huge costs into their business plans. Read more on Inside Housing.

https://www.insidehousing.co.uk/news/news/more-than-one-in-six-social-homes-uneconomical-to-upgrade-to-net-zero-research-finds-72443 

Nottingham Association Becomes Latest To Join Housing First Scheme

Housing First models are continuing to gain traction across the UK. Now, Midlands based Longhurst Group have announced that they are the latest to join the scheme in bids to help tackle the issue on the streets of Nottingham. The Housing First model has been launched in Nottingham by Opportunity Nottingham, a service that works with people facing multiple disadvantage due to a mixture of complex needs; including mental ill-health, homelessness, substance misuse and involvement in the criminal justice system. Mark Garner, Project Manager for Opportunity Nottingham said: “Opportunity Nottingham is delighted to be launching this scheme in the City with the support of a number of social housing providers and Nottingham City Council.” Read more on 24housing.

https://www.24housing.co.uk/news/association-becomes-latest-to-join-housing-first-scheme/

and Speye Joe

https://speyejoe2.wordpress.com/2019/06/03/widdecombe-can-cure-gayness-she-probably-thinks-housing-first-can-work/

Report Calls For New Approach To Customer Satisfaction In Social Housing

Rather than collect data to demonstrate how good they are, social housing providers should collect data to improve how good they are. That is the suggestion from HACT, in their new report, ‘Rethinking Customer Insight: Moving beyond the numbers’. The report urges housing providers to be “more targeted, more intelligent and more responsive” in their communication to customers. The report concludes that there is no one-size-fits-all model for customer satisfaction. Download the report from the HACT website.

https://www.hact.org.uk/sites/default/files/Beyond_Customer_Insight_vFinal.pdf

Research Reveals The Future Of Social Housing

Working with the NHS, using artificial intelligence, providing other types of rented housing, and using more modern methods of construction are the key opportunities for housing associations to ensure social housing survives. These are some of the findings from the London School of Economics & Political Science (LSE) after Flagship commissioned research into what the social housing provider of the future might look like. Their main conclusions also suggest that in ten years’ time, social landlords will almost certainly face a more difficult environment, and the housing sector will become more diverse. Download the report from the Flagship website.

Right To Rent Checks In The Social Housing Sector Now In Force

The introduction of right to rent checks on 1 February 2016 has important implications for social housing providers. While common social housing tenancies will not require checks, the new regulations will change the residential letting landscape and all housing associations will need to develop a response. Tenancies arising under Part 2 of the Housing Act 1985 and Part 6 and 7 of the Housing Act 1996 are excluded. Occupation under such an agreement which is transferred to an alternative tenancy on the request of the tenant will also be excluded. These exclusions will clearly limit the impact on housing associations. However, where a housing association rents property under a market rate agreement or on any other basis, then right to rent checks will be required. Read more on the Lexology website.

Government Reforms Raise Issues On How Poorest Will Be Housed

Stonewater, a leading UK social housing provider, has said that the Government’s new housing reforms which aim to make housing associations more efficient and business-like, will fundamentally change the way associations meet housing needs, raising issues on how the nation’s poorest will be housed in the future. Giving evidence to the CLG inquiry into housing associations and Right to Buy, Stonewater Deputy Chief Executive Nicholas Harris said: “The Government has called on the sector to become more commercially minded and efficient [but] reforms such as Right to Buy, Pay to Stay, changes to S106 agreements, and the 1% reduction in social housing rents, will force the pace and direction of the sector and require substantial structural change. This shift in focus will prevent associations from housing poorer parts of the community.” Read more on the Stonewater website.

Social Rented Housing: EU Nationals – Parliamentary Written Answer

Deidre Brock:  To ask the Secretary of State for Communities and Local Government, how he intends to prohibit (a) social housing providers and (b) housing associations from accepting as residents citizens from other EU countries who do not meet the criteria of a four-year residency before accessing social housing.

Brandon Lewis: The Government will introduce a new residency requirement, so that EU migrants cannot be considered for social housing unless they have been living here for at least four years; and made clear that this would be taken forward as part of wider EU treaty negotiation on welfare changes.

Financial Stability in the Social Housing Sector Continues

The social housing sector continues to demonstrate its financial stability, and has access to sufficient finance, according to the latest quarterly survey (2014/15 Quarter 1) published by the Homes and Communities Agency. Overall the sector is in a strong position in relation to its future financing needs with £13bn of undrawn borrowing facilities and £4bn held in cash. As the regulator of social housing providers, the HCA undertakes a quarterly survey of housing providers to establish the levels of exposure to a range of risks faced by the sector. This report is based on a survey of all private registered providers owning and/or managing more than 1,000 homes for the quarter ending 30 June 2014. Read more on the HCA website.

Social Rented Housing – Parliamentary Written Answer

Mr Spencer: To ask the Secretary of State for Communities and Local Government what grants his Department has made to social housing providers to improve the quality of their stock since May 2010; which such providers have retained those grants; and what the amount was of each such grant.

Kris Hopkins: Since May 2010 DCLG has confirmed allocations of £2.1 billion to social housing providers, to be paid by 2014-15. Of this, £1.6 billion is going to councils as 'decent homes backlog' funding, and £500 million to private registered providers as gap funding. Gap funding is paid to private registered providers when the expenditure required to bring the homes to the Decent Homes Standard is greater than the rental income. DCLG provides the funds to bridge that gap. Details of council and private registered provider recipients respectively, together with the amounts to be paid between 2011 and 2015 to these bodies, and the five private finance initiative contracts that have been signed by councils since May 2010, have been placed in the Library of the House.

Poverty And Problematic Debt: What Can Social Housing Providers Do?

This round up, from the Joseph Rowntree Foundation, provides suggestions on what social housing providers can do to address poverty and help prevent tenants from moving into problematic debt and rent arrears. There are many things registered providers are already doing – or can consider – to put reducing poverty and problematic debt at the heart of delivering their business.

These include:

*Integrating an anti-poverty approach in housing management practice

*Recognising that people manage their finances and think about debt in different ways

*Understanding residents’ wider circumstances

*Offering genuine choices to residents that match their preferences for getting information

Download a copy of the report from the JRF website.

Social Rented Housing - Parliamentary Written Answer

Alison Seabeck: To ask the Secretary of State for CLG what representations he has received from social housing providers on the effect on their budgets of planned welfare reform changes and the risk of increased movements of tenants, non-payment of rent and number of voids.

Mr Prisk: Ministers and officials from the CLG are in regular contact with social housing providers across a range of issues.  We intend to use the evidence gathered from the demonstration projects to inform the design of universal credit, including the safeguards needed to protect the financial position of social landlords and prevent tenants from falling into significant debt.  In addition, the removal of the spare room subsidy will be monitored and evaluated over a two year period from April this year, with initial findings available in 2014 and a final report in late 2015. Among other questions, the evaluation will consider the impact of the measure on landlords' finances, by means of small scale primary research with a range of social landlords.

Universal Credits Will Lead To an Average Increase in Rent Arrears of £180

Law firm Winckworth Sherwood - whose clients include over 200 social housing providers, housebuilders and funders – has expressed concerns that a move to one monthly payment under Universal Credit will see a significant increase in rent arrears as tenants in social housing struggle to adjust.  Nikki Lynds-Xavier, a partner in Winckworth Sherwood’s Housing Management team said: “A pilot involving some 2,000 tenants in the London Borough of Southwark that concluded earlier this year has shown some worrying indications.  Tenants who started the pilot with no rent arrears found themselves on average £180 in debt at the end of the pilot.” The pilot involved 1,500 local authority tenants and 500 tenants of Family Mosaic housing association.  The pilot found:

    *Only 60% of tenants successfully moved onto the pilot, with 40 per cent failing to successfully manage their monthly budgets;

    *11% refused or were unable to engage with the local authority;

    *14% were later deemed too vulnerable to take part; and

    *That there was a lack of understanding about personal finance amongst tenants, with others unable to open a bank account.

Read more on the Winkworth Sherwood website. 

Freud: UC Switch Will Be Simple For Most – But We Must Prepare Early

The early findings from the DWP Direct Payment Demonstration Projects reveal 54 per cent of tenants surveyed said they were confident receiving their Housing Benefit payment directly to their own bank account.  This shows projects are starting with a good foundation but more work is needed to get tenants ready.  Minister for Welfare Reform Lord Freud said "These findings show most people on low incomes manage their money well and for most tenants the switch to direct payments under Universal Credit will be straightforward.”  So far the key lessons for social housing providers include:

    *Social landlords need to contact and work with tenants early

    *Tenants prefer a range of payment options to take control of the budgets

    *Most tenants prioritise the payment of their rent but some could imagine a situation when their housing benefit could be spent to cover unexpected expenses.

    *People on low incomes often budget on a fortnightly or weekly basis.

    *Accounts that allow customers to separate several 'pots' of money are likely to be helpful.

    *Close working between local authority housing benefit departments and landlords has been crucial for effective implementation.

The Projects are also helping to identify tenants at risk who may not be suitable for direct payments at the start. Read more on the DWP website.

Findings on Financial Viability of Social Housing Sector

The Commons Committee of Public Accounts publishes its 13th Report of Session 2012-13, Financial viability of the social housing sector: introducing the Affordable Homes Programme, as HC 388.  The Rt Hon Margaret Hodge MP, Chair of the Committee of Public Accounts, said: “We welcome the 80,000 homes due to be built under the Affordable Homes Programme, but have serious concerns about the impact of financing the scheme partly through higher rents on the Housing Benefit bill and on affordability for tenants. The Programme will be delivered through £1.8 billion of government grants to social housing providers, but the average grant of £20,000 per home is only a third of that under the previous programme. The government expects providers to make up for the lower grant in part by charging tenants higher rents. This will lead to an estimated £1.4 billion increase in the Housing Benefit bill over the next 30 years.”  Read more on the Parliament website.

RHPP Scheme Re-opened

Social Landlords can now apply to bid for a grant to support the installation of renewable heating systems under the second phase of the Renewable Heat Premium Payment (RHPP). The RHPP is a short-term government scheme, managed by the Energy Saving Trust (EST) and available for householders and social housing. This scheme is designed to help buy renewable heating technologies, such as air to water heat pumps or solar thermal hot water. Social housing providers have the chance to bid for money - up to around £175,000 - to support the installation of renewable heating systems. All applications need to be submitted before the 4th July 2012 and all projects need to be completed before the 31st March 2013. Read more on the EST website.

'Virtual Merger' To Support Tenants Hit By Welfare Reform

Councils and social landlords across the West Midlands have come together in a 'virtual merger' and are pooling together stock in a bid to help tenants hit by the Government's welfare reforms.  According to the Government's impact analysis, some 60,000 working age claimants across the West Midlands will be affected by the under-occupation rules alone, losing on average £14 a week.  In response to the welfare changes, seven of the largest West Midlands local authorities and nine of the largest social housing providers are joining forces to agree joint action on welfare reform.  Diane Middleton, Chair of the West Midlands Making Best Use of Stock (WMBUS), said: “We have a duty to protect our residents.  To do this we intend to pool some of our housing stock, jointly identify where and what local and regional needs are, share best practice and communicate consistently to customers.”  WMBUS, which is being supported by the Chartered Institute of Housing (CIH) Best Use of Stock Team, is hosting a summit on June 21 for the housing providers, private landlords and regional developers involved in the group.  Read more on 24dash.

Strong Boards Are Key Says Regulator

Strong management Boards are vital if Registered Providers are to adapt to a changing operating environment and successfully meet future challenges, according to the new Regulator of Social Housing.  Speaking as the HCA took responsibility for the Regulation of Social Housing Providers in England, Julian Ashby, chair of the Agency’s new independent Regulation Committee, said: ‘Robust economic regulation is necessary to maintain lender confidence and protect taxpayers.  We will focus on governance, viability and value for money, but it is the skills of Providers’ Boards that will underpin all three.   We will expect to see evidence that Boards are up to the job of navigating their organisations through some challenging times ahead’ Read more on the HCA website.