21 July 2023
Welcoming a new era of regulation
Eamon McGoldrick
Managing Director, NFA
The Social Housing (Regulation) Bill passed into law at midnight after receiving royal assent yesterday. It introduces a new era of oversight for the whole sector, just over a decade after the Audit Commission – which monitored the performance of local authority housing managers – was stood down by the coalition government.
The NFA and its members have been closely involved with the development of the new regulatory regime over the last six years, and here MD Eamon McGoldrick explains why.
I THINK it’s fair to say that for those bereaved by the Grenfell Tower tragedy, only the final verdict of the 300-day public inquiry promises some hope of justice for the 72 victims. We now know that won’t come until early next year – close to seven years after fire ripped through the 24-storey block of flats, fuelled by the external cladding installed during its refurbishment.
So it is understandable that the public ask: “What exactly has changed since that dreadful day?” It’s also understandable that some may feel the answer ought to be – not enough.
But as a final and hugely significant piece of reform for our sector falls into place today with royal assent to the new Social Housing (Regulation) Bill, I want to suggest that we have already seen a sea change in the approach of both government and landlords to the needs and rights of social housing customers.
And there have already been real and far-reaching changes to regulation and oversight of building safety and the way residents’ complaints are dealt with.
New inspections by the Regulator will include not just a look at the books, but conversations with tenants.
We can say that:
- Recommendations from Phase 1 of the public inquiry, which ended in 2019, have been accepted and the government has created new services such as Fire England which make the process of putting them into practice as transparent as possible.
- A new layer of oversight, in the form of the country’s first national Building Safety Regulator, now regulates fire safety in existing and future new high-rise blocks, a far cry from the piecemeal, sometimes local and regional approach.
- The Housing Ombudsman has published a complaint handling code that makes it clearer and simpler for tenants to know whether their landlords are responding as they should. Landlords are expected to read the ombudsman’s new thematic reports – and learn from them.
- The Department of Levelling Up, Homes and Communities has set up a tenants panel and proactively encourages residents to complain about poor services, insisting that landlords makes their complaints processes as clear as possible and easy to navigate.
- The role of the Regulator of Social Housing has been transformed and it now insists that landlords ask their residents to assess them each year against 22 ‘tenant satisfaction measures’ – the first results will be published in April next year.
- New laws make carbon monoxide detectors and smoke alarms mandatory in every home managed by a social landlord.
We can expect a stronger focus on quality and safety, data collection, and clear evidence of resident involvement and engagement.
The new act that comes into force at midnight tonight moves all of this reform up the next level. For instance, it gives the Regulator the power to put social landlords and all aspects of their operations under the microscope.
From April next year, landlords managing more than 1,000 homes must expect to see a team from the RSH office perhaps every four years – and perhaps more often if a pattern of failure or even a cluster of critical media reports points towards poor performance – and this will include not just a look at the books, but conversations with tenants.
It also puts landlords on notice that the current Consumer Standards, now more than two decades old, will be updated and upgraded and must be complied with. Consultation on these changes is likely to commence in the next few weeks. We can expect a stronger focus on quality and safety, data collection, and clear evidence of resident involvement and engagement.
Sharp new teeth for the Regulator come in its new power to impose unlimited fines on poor performing landlords. This is a significant addition to the existing remedies of removing board directors, recommending mergers and directing changes in management models.
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POSITIVITY is all I hear from colleagues about all this change. Clearly, residents will benefit; but the best social housing landlords also see the benefits of clearly defined boundaries and appreciate this renewed focus from central government – albeit triggered by a terrible tragedy – on the provision of social housing that is decent and safe.
… good and progressive landlords will have nothing to fear and residents will have everything to gain.
The outcome is that residents will have a lot more data about their landlords’ performance. They will be able to track service performance over time and benchmark the services they get against those provided by other landlords. They will get to have their say on decisions their landlord makes about their homes and communities.
And they can expect the Regulator to intervene if they do not feel safe in their homes – and will know that their concerns will be listened to and acted on. The key words going forward will be openness, transparency, listening, meaningful engagement, safety and accountability.
What is not to like about these aspirations? And it seems to me that with these changes, the whole sector will be that much better placed to respond to those all-important final recommendations from the Grenfell Inquiry. Nothing will be more important – and good and progressive landlords will have nothing to fear and residents will have everything to gain.
Eamon McGoldrick
Managing Director, NFA
Eamon’s career in housing spans four decades, beginning as a management trainee with Greater London Council and then working with the London Boroughs of Brent, Hillingdon and Barnet. In 1998, he became CEO of Homes for Islington. Now an independent consultant, he took on the role of MD at the NFA in 2006. He is a Fellow of the Chartered Institute of Housing and Institute of Management.
