Call for Housing Associations to 'Operate Outside Charitable Function'

A report by the Institute for Public Policy Research (IPPR) has recommended housing associations operating "outside their charitable function" to deliver new private rented homes offering secure contracts and stable rents.  A number of housing associations are now investing in market rented homes either acquiring them or developing new build options as a way to cross subsidise the building of affordable homes. Some have also developed unregulated subsidiaries to allow them to explore more commercial options in a bid to plough profits back into affordable supply. Both the current Government and Labour are keen to see this develop. The Government is currently consulting on ways housing associations can convert to Real Estate Investment Trust (REIT) status as a way to attract institutional investment into the sector. Under its recommendations for boosting the supply of housing in London, the IPPR called for the exploration of new roles for social landlords in the provision of private rental sector homes. Read more on the IPPR website.