03 December 2004
Most housing associations have been cautious about introducing payments to board members, a new survey shows.
Sixteen months after payments were first permitted, just 25 out of 2,000 registered social landlords in England are paying their chairs and other board members, the Housing Corporation study reveals.
But with at least 20 more RSLs having agreed payments in principle, or known to be considering such a move, the number could easily double during the next 12 months.
A handful of associations are paying above the sums recommended by the National Housing Federation when payments were introduced in July 2003.
Unless turnover is exceptionally high, there is a danger of creating an 'inflationary spiral', says the study, published on November 25. 'Where an association pushes the boundaries to attract new members, others may feel constrained to follow.'
Most of those that have introduced payments are group RSLs, including 11 of the 100 associations with the largest stock.
The corporation warns against 'double-counting', where an association pays both parent and subsidiary board members.
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