Threat to social housing’s independence
Filed Under Country Curtain | Posted on January 12, 2008
Related ItemsSoldiers to receive more housing support NHF prepares to prove sector’s community valueClimate Change Bill legislation for private developers Tenants must pay more towards cost of crisisGovernment funding for Gypsy and traveller housing Record funding to tackle homelessness Green ratings for all homebuyers Callcutt Review-new drive to deliver affordable green homes One stop shop for greener homes-Benn launches plan Housing and Regeneration Bill published The Government stands accused of trying to end the independence of the countrys housing associations, with an attempt to impose central control that will turn them into vehicles for the implementation of its social policies.
The National Housing Federation (NHF) says that the Housing %26amp; Regeneration Bill will allow ministers to exert too much control over housing associations, and so breaches a %26lsquo;compact with the %26lsquo;third sector that grants independence to charities, as well as community and voluntary organisations. Many housing associations, of course, hold charitable status.
Signed by Tony Blair and Jack Straw, the formal agreement pledged the Government to recognise and support the independence of the sector [to] determine and manage its own affairs. Key passages in the Bill, which goes to full committee in the House of Commons on Thursday (10 January), effectively nullifies this agreement, the NHF says, by giving the secretary of state unprecedented power to direct the sectors affairs.
In a letter to housing minister Yvette Cooper and minister for the third sector Phil Hope, NHF chief executive David Orr said: The Government has promised, in the compact, to protect the independence of the voluntary and community sector. However, the measures contained in the Housing Bill would effectively place housing associations under the direction of the secretary of state.
If the Bill goes ahead in its current form, those key passages will allow a new regulator, the Office of Tenants %26amp; Social Landlords (OTSL), under direction from the secretary of state, to %26lsquo;crack down on housing associations if they fail to follow central standards set by ministers.
In effect, this means that the Government can seek to force housing associations to implement its social policy, by setting the standards that the regulator would enforce, including for the first time the regulation of community services that are not funded by the state such as cr%26egrave;ches, community centres and financial advice schemes.
Sanctions available to the secretary of state, via the OTSL, would include the sacking of senior staff and board members and the imposition of fines. This represents a sharp break from the status quo whereby sanctions are imposed only if there is mismanagement or misconduct.
As the Government is increasingly relying on the third sector to deliver public services it is imperative that it sticks to its word, set out in the compact, and does not set a dangerous precedent in its relationship with charities and similar organisations, Orr added.
Despite our concerns, we welcome the Governments overall commitment to the housing agenda and we want to help, but were concerned that the proposals in the Bill will make this more difficult.
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