Localism in practice Council’s with ALMOs Group 23 March 2012

1. Localism in practice Council’s with ALMOs Group 23 March 2012

2. Reference points • Local Decisions: a fairer future • Localism Act 2011 Part 7 chapter 2 • Nov 2011 consultation “A revised regulatory framework for social housing in England from April 2012”, TSA – on schedule • Jan 2012 consultation “Allocation of accommodation: guidance for local housing authorities in England”, DCLG – final summer 2012 • Future dates: • Consultation on PRS suitability – imminent • Stat guidance & commencement order – Autumn 2012?

3. Choices • By different organisations working in the same area • Enter into the ‘affordable rent’ market • Offer fixed term or flexible tenancies • Decide who will qualify to join the housing register • Use the PRS to discharge homelessness duty • Understanding impact complicated • Government has made choices eg, welfare reform • Assumption that private sector, individuals & communities will also choose to invest & contribute

4. Tenancy strategy content + Localism Act 2011: 150 & 151 A local housing authority in England must prepare and publish a “tenancy strategy” setting out the matters to which the registered providers of social housing for its district are to have regard in formulating [tenancy] policies relating to— • the kinds of tenancies they grant, • the circumstances in which they will grant a tenancy of a particular kind, • where they grant tenancies for a term certain, the lengths of the terms, and • the circumstances in which they will grant a further tenancy on the coming to an end of an existing tenancy • Exceptional circumstances where less than five years • Vulnerable policy: age, disability, illness, children • Advice or assistance should tenancy not be reissued

5. Tenancy strategy process • Regard to • Homelessness strategy • Allocations policy • Housing strategy (not specified other than in London) • Equality Act 2010 - able demonstrate paid ‘due regard’: • Eliminate unlawful discrimination • Advance equality of opportunity • Foster good relations between people • Consultation (before adoption or modifying) • Send copy to every registered provider & give reasonable opportunity to comment • Consult others prescribed in regulations (none expected) • Publication by 15 January 2013 • Review every 5 years (DCLG impact assessment)

6. Other considerations for CWAG • Strategic housing authority • Allocations – new duties: emphasis on transparency • Homelessness – strategy to have regard • Establish routes for RP tenants to complain to EMs • Hold RPs to account more generally? • Others eg, planning, community rights & assets • As LAs with stock • Decision on succession rights • Tenancy policy – regulatory requirement • Enabling exchanges • Manage transfers outside the waiting list • Landlord member of an approved complaints scheme

7. The strategy challenge • How can you manage the impact • To achieve the vision for the local area? • To meet housing need & demand? • Know that three things will be different • The shape of the housing market, particularly social and affordable rent market • Access to the social and affordable rent market • Housing need and demand • Explore the issues arising and solutions • From different perspectives

8. The affordable rent product - issues • Differing perspectives on the use of these homes • Social housing ‘essential’ to the mix – evidence? • Developers ‘playing off’ RPs with LAs • Smaller accommodation in increasing demand • Consolidation and rationalisation • Conversions critical to the RP business plan • Sustainable income requires different approach • Use of fixed term tenancies to rebase rents

9. Fixed term & flexible tenancies • Differing views on use and benefits • Best use of housing in high demand • Cost v. outcomes? Rebasing rents £ • Different approaches within one area • Same households but different offers • Churn in communities? • Comprehensive impact assessments • Perception that can use fixed terms to manage risk • Criteria on which decisions to reissue are critical • Changing relationship with tenant • Personal housing plans

10. What else will shape the market? • Welfare reform • Need to manage impact of under-occupation • Impact on private rented sector – what will offer be? • Impact assessments in isolation? • Mutual exchanges • Limits control over the use of existing housing stock • Home ownership? • Increased Right to Buy discounts • Incentives for purchase on the open market • Self-financing business plans • Investment, remodelling, decommissioning, new build

11. Access to social and affordable rent market • Who is social and affordable rent housing for? • Greater risk to RP income streams • RPs more stringent on access • Transfer tenants outside the system • Manage under-occupation & over-crowding • Tenure as a disincentive? • LA decision on the housing register – wider impact • Potential as source of local intelligence not been realised • Limiting access to ‘higher risk to income’ customers • Local connection – risks cross-boundary working • Access to other parts of the housing market

12. The shape of housing need & demand • Individual choice • Don’t know how going to behave • Is some action can take • Local research with customers • Tenancy audits critical • Welfare and financial advice • Targeted work with households who will be moving on • Health and wellbeing • Tenants getting older; care and support reduced • ‘Care closer to home’ agenda – personalised budgets • Action can take • Important to engage with providers on this issue; don’t assume social care is!

13. Managing change to achieve outcomes

14. Other thoughts • For registered providers flexibility is key • Local solutions are common aspiration but • Local government capacity reduced to manage • Perception that standardisation & scale likely to achieve efficiencies • Important to remember that individual’s have a role • How can we enable people to meet their own needs? • Affordable rent & fixed term – disincentives to work? • Jigsaw puzzle • Turn every single piece over, sorting as you turn • Systematic & in partnership – spread the puzzle out • Pay attention to differences & share the picture

15. Email: gill@gillleng.co.uk Tel: 07766 660799 Website: www.gillleng.co.uk