22 June 2007
Plans to create an independent regulator for councils, housing associations and other social landlords have failed to gain immediate government support.
Within hours of the new body being proposed by Professor Martin Cave, the Department for Communities and Local Government cast doubt on the main recommendation, which would place local authority housing under a single regulatory regime with registered social landlords and private developers.
Cave's review of social housing regulation, Every tenant matters, was unveiled on June 19 at the Chartered Institute of Housing's annual conference in Harrogate. Pledging to give tenants greater choice and protection, Cave said it was vital to get rid of the present 'silo system' and apply the same regime to all social housing providers.
A new body was preferable to the Audit Commission or Communities England, the proposed housing and regeneration agency, taking on the role. Communities England, which will fund housing and other schemes from 2009, could face a conflict of interest if it regulated landlords and developers, he added.
But within hours the DCLG had published its first blueprint for Communities England, stating that a single regulatory regime might not complement the aims of the local government white paper.
Further consultation was needed over how to assess the performance of councils that retain housing and arm's-length management organisations.
The DCLG consultation paper, Delivering housing and regeneration, added that there were arguments for giving the Audit Commission the new powers as it would reduce the number of regulators and inspectors.
Richard McCarthy, director general for programmes, policy and innovation at the DCLG, said there was no firm timescale for taking a decision.
'The government is interested in looking at all housing providers and managers on a level playing field basis but we recognise that there is a difference,' he said.
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