04 August 2006
Housing associations have welcomed plans to give them more freedom to assess financial risks.
Revised treasury management proposals put forward by the Housing Corporation will amount to a further move towards self-regulation by registered social landlords.
Experts at the corporation will only intervene if an RSL is unable to show that it has the necessary financial expertise at board and officer level and is managing risk properly.
Bob Wilson, head of finance at the National Housing Federation, said he expected a specialist finance unit being set up in the corporation to scrutinise RSLs if it was not satisfied with their performance.
But most landlords would not be over-concerned by the consultation paper Treasury management by housing associations, published last month. 'It is very much in the spirit of self-regulation,' Wilson said. 'The corporation will exercise a lighter touch while acknowledging that it's important for individual associations to decide things for themselves.'
Consultations on the treasury management paper continue until October 6.
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