By Neil Merrick
6 November 2009
Fewer housing associations are being placed under supervision by regulators, it was revealed this week.
In 2008/09, just two alleged breaches of the regulatory code for registered social landlords were investigated by the Tenant Services Authority or its predecessor, the Housing Corporation.
A further eight cases were brought forward from the previous year and, at the end of March, six RSLs remained under supervision with statutory appointees on their boards.
In 2004/05, the corporation investigated 15 new cases, 51 were brought forward and 42 RSLs were still under supervision at the end of the year.
The number of supervision cases had been declining slowly before the corporation’s dissolution almost 12 months ago. According to the TSA’s annual report, published on November 5, the fall was due to a ‘risk-based approach’ that better reflects the risks facing landlords.
The report also showed that most associations were performing satisfactorily. Just two of the 82 regulatory judgements issued since the TSA’s launch in December raised concerns over an RSL’s viability. Four had concerns over governance and six over management.
Chief executive Peter Marsh said viability remained a priority. ‘Despite [the TSA] being launched during the most challenging economic conditions for housing associations, at the end of our first ten months not a single provider has faced insolvency and not a single home has been put at risk,’ he added.
The report also partly revealed the price of setting up the TSA, which could face the axe under a Tory government. Transition costs totalled £4.6m, including £2.6m for staffing. From April 2010, the authority is due to regulate local authorities as well as RSLs.
The Chartered Institute of Housing this week regretted that, under the proposed framework, council tenants would enjoy less protection than RSL tenants because of the TSA’s restricted powers to intervene in local authority housing. ‘To be successful, the new tenant-focused regulatory system must be clear to tenants and command their confidence as well as ensuring service quality,’ said Abigail Davies, CIH head of policy in England.
6 November 2009
Fewer housing associations are being placed under supervision by regulators, it was revealed this week.
In 2008/09, just two alleged breaches of the regulatory code for registered social landlords were investigated by the Tenant Services Authority or its predecessor, the Housing Corporation.
A further eight cases were brought forward from the previous year and, at the end of March, six RSLs remained under supervision with statutory appointees on their boards.
In 2004/05, the corporation investigated 15 new cases, 51 were brought forward and 42 RSLs were still under supervision at the end of the year.
The number of supervision cases had been declining slowly before the corporation’s dissolution almost 12 months ago. According to the TSA’s annual report, published on November 5, the fall was due to a ‘risk-based approach’ that better reflects the risks facing landlords.
The report also showed that most associations were performing satisfactorily. Just two of the 82 regulatory judgements issued since the TSA’s launch in December raised concerns over an RSL’s viability. Four had concerns over governance and six over management.
Chief executive Peter Marsh said viability remained a priority. ‘Despite [the TSA] being launched during the most challenging economic conditions for housing associations, at the end of our first ten months not a single provider has faced insolvency and not a single home has been put at risk,’ he added.
The report also partly revealed the price of setting up the TSA, which could face the axe under a Tory government. Transition costs totalled £4.6m, including £2.6m for staffing. From April 2010, the authority is due to regulate local authorities as well as RSLs.
The Chartered Institute of Housing this week regretted that, under the proposed framework, council tenants would enjoy less protection than RSL tenants because of the TSA’s restricted powers to intervene in local authority housing. ‘To be successful, the new tenant-focused regulatory system must be clear to tenants and command their confidence as well as ensuring service quality,’ said Abigail Davies, CIH head of policy in England.
