Building Bridges

Under Theresa May we have a Government that appears to be listening the voice of the social housing sector, at least in part. Following a very sympathetic Autumn Statement it is time to make the most of the opportunity at hand.

A couple of years ago at a Housing Party breakout session the question was asked is the sector independent or tied to Govt policy? The room was reasonably split, whilst my answer was both (yea, I’m that guy) though more on the side of Government influencing. HAs might like to think they operate independently, but in reality they play within the rules of a game set by Government. It’s why we’ve so often been chasing our tails trying to adapt to whatever new short-term measure has been thrown in by some smart muppet with a grip on reality as vague as 2yr old mid-tantrum.

Unforeseen benefits

Historically I’ve been pretty critical of some of the lobbying efforts of the CIH and NHF. Too often they appear to have been caught off guard by policy announcements, reacting rather than managing the policy changes coming the way of the sector. However, there were very few surprises in this budget. Indeed a number of the key housing policy alterations are remarkably similar to what has been suggested by Mr Orr et al. That is both a reflection of how successful the NHF and CIH have been at shaping the debate. But also of the changes that have occurred in the Cabinet of Mrs May’s Government.

It pains me to say it but Brexit has helped immeasurably here. With Cameron and Osborne leaving their positions the key blocks to funding for the social housing sector have been removed. The Treasury under Osborne dominated both welfare and capital investment programmes. It is no surprise that 2010-16 saw the sector have very little influence on housing policy. Under May and Co there appears to (at last) be at least some realisation of the difference between want and need in relation to housing. The majority of us might want a house, but with homelessness of all kinds on the rise and a housing market not working for an increasingly large proportion of the public. The need of a secure home is just as important policy wise.

The removal of forced Pay to Stay, the Land Registry privatisation being kicked into the long grass and a specific pot of money for sub-market rent are all very welcome developments. As a private renter, so is the plan to scrap letting agent fees. Though at £1.4bn over 5 years (2016 -21) the Autumn statement is not so much making rain for the sector, but giving it a bit of a damp drizzle. Considering the situation the sector was facing just over half a year ago, I’ll take it. It’s like being 3-0 down at half time but being able to salvage a draw. Not so bad from Mr Hammond, a chap who is fast giving John Major a run for his money on lacking charisma.

Still in Choppy Waters

It’s not all plain sailing, VRTB is being expanded, albeit in pilot form, the draconian cuts to the Benefit Cap to £20,000 are still going ahead and the absurdity that is the Bedroom Tax is still in play. Of concen is that social rent is conspicuous by its absence. Additionally, the tweaks to the Universal Credit taper and uplift of the national ‘living wage’ are smaller than hoped and don’t go far enough.

Elsewhere fixed term tenancies are also in, and have caused a bit of stink. But to be honest it’s not something I have much of an issue with. They are already in use in the sector and the kicker is more in the symbolism of such a move, rather than the practical reality. 

As a side note the next year or so might see some interesting case-law as the first batch of 5 year tenancies come to an end (thanks to LaweyergirlUK for highlighting that). Better cross those Ts and dot those Is because as Cardiff City Council v Lee [2016] showed, the landscape can change pretty quickly when it comes to ending tenancies.

What the Autumn Statement has done is shown that this Government, for some of its failings, is at least willing to hear the sector and take on board what it is saying. There have been times since 2010 when the silence from Cameron et al on social housing has been deafening. The U-turn since this summer cannot be underestimated. Still, whilst there is much to commend, there is much more to do. But at least there is now a fighting chance.

As ever, you can find more of my stuff here and follow me on Twitter here.

Photo Credit –

London at Night (Churchill Gardens) | by scotbot [2014]

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