Leasehold Network Notes 24 September 2015, MRC Llandrindod Wells
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1 Leasehold Network Notes 24 September 2015, MRC Llandrindod Wells Present Organisation Name Bron Afon Community Housing Bron Afon Community Housing Cartrefi Cymunedol Gwynedd Community Housing Cymru Hafod HA Ltd Hafod HA Ltd Merthyr Valleys Homes Mid Wales HA Ltd Newport City Homes Newydd HA RCT Homes RCT Homes Tai Ceredigion Cyf Tai Ceredigion Cyf Tai Ceredigion Cyf Valleys to Coast Housing Ltd Valleys to Coast Housing Ltd Welsh Government - Merthyr Kevin Fuller Simon McCracken Tamany Jones Selina Moyo Lorraine Hartley Richard McQuillan Philip Smith Jonathon Davies Lindsay Murphy Susan Brooks David W Jones Lucy Jones Lydia Lloyd Kate Curran Patrick Daniel Kim Furneaux Mike Hughes John Rees
2 Apologies Susan Williams Melin Andrew Goss - Hafod Hugh Thomas Monmouthshire Housing Emma Hart Valleys to Coast Helga Warren Welsh Government. Welcome Chair, Richard McQuillan welcomed everyone to the Leaseholder Network meeting. Richard introduced Selina Moyo, Community Housing Cymru (CHC) to the Leaseholder Network. Selina is the new Policy Officer for CHC and was replacing Clare James previous role of facilitating the Leaseholder Network meetings. Right to Buy / Right to Acquire Update John Rees, Welsh Government John Rees from Welsh government provided some background on the Right to Buy (RTB); The Right to Buy was introduced in 1980 An estimated 45% of social housing stock was sold under Right to Buy sales 40% of properties sold under the Right to Buy were being rented via the private rented sector. Welsh Government Minister, Lesley Griffiths, (Labour) put out a White Paper in January 2015 highlighting the sales of social housing and identifying the demand for social housing. The consultation highlighted: 76% supported a reduction in the RTB discount to 8,000 63% supported the abolition of the Right to Buy / Right to Acquire (RTA) In June 2015 Welsh Government reduced the maximum discount for RTB / RTA to 8,000 and qualification after 5 years. RTA / RTB was suspended in Swansea & Carmarthen for 5 years due to the demand for social housing. In contrast the Westminster Government (covering England) reduced qualification to 3 years and offered discounts up to 100,000. Welsh Government have expressed an interest to abolish the RTB / RTA in Wales but due to the May 2016 election there will be insufficient time to develop this legislation before the election. Welsh government legislation is agreed through the following stages: White paper Scrutiny Passed by the Assembly Royal Assent Becomes law
3 The final decision on whether RTB / RTA is abolished in Wales will follow the May 2016 Welsh Government election results. Unfortunately Helga Warren was unable to make the meeting. If RSL members had any queries regarding RTB / RTA sales they can be ed to Helga in Welsh Government Helga-warren@wales.gsi.gov.uk CHC Leaseholder Survey Results Selina Moyo, Community Housing Cymru Selina provided an update on the CHC Leaseholder Survey on: Management Fees Administration Fees (one off charges outside the terms of the lease) The CHC survey aimed to have an anonymised summary of RSL Management fees & Administration charges throughout Wales to help Leaseholder network members understand whether they were charging within the norm of charges in Wales. This would allow Leaseholder network members to reassure their leaseholders that their charges were consistent with the norm in Wales. Leaseholder network members could use the data to increase charges if they seem to low or review charges if they seem high. Selina reported that CHC had only received 10 responses to the survey and some of those responses were lacking the detail requested. As such CHC were unable to provide analysis of the responses to report back to Leaseholder network members. Selina agreed to chase those Leaseholder network members who had not yet responded to the survey, clarify with those who had responded but lacked the details requested and offer those who did respond a chance to update their responses. Selina said she hoped to provide feedback on the CHC Leaseholder Survey Results at the next meeting of the Leaseholder Network in January Feedback from Bron Afon Survey, Simon McCracken, Bron Afon Simon McCracken from Bron Afon presented the findings of the Bron Afon survey of Welsh RSLs on carrying out major works and recharges. Major Works Survey Results Support for Mortgage Interest Update Richard McQuillan, Hafod Richard McQuillan from Hafod Housing Association provided an update on the changes to Support for Mortgage Interest (SMI) following the emergency budget. From 2018 Support for Mortgage Interest moves from being a state benefit to a state-backed repayable loan The waiting period for JSA and ESA claimants increases to 39 weeks
4 It was recommended that Leaseholder Network members update their leaseholders of the changes. RSL Leaseholders & Management Issues Richard McQuillan, Hafod Richard McQuillan from Hafod Housing Association provided a presentation on RSL Leaseholders & Management Issues. The presentation covered Hafod s experience as a leaseholder on a site owned by another company. Richard gave examples of a management company that charged for works not carried out, set excessive management fees and did not pass un surpluses to the leaseholders. Recommendations included: Prepare in Advance. Be Clear on Charges. Passing on Charges. Monitor Charges. Challenge Mistakes. Leaseholder and Management Issues Presentation Update on LEASE Best Practice / Mediation Service Selina Moyo, Community Housing Cymru Selina provided an update on the bid to Welsh Government for funds to set up the LEASE Best Practice / Mediation Service Selina explained that there had been a meeting with staff from Welsh Government and WLGA to provide an update on the current position of the project and discuss the good practice guidance/independent review service. WG officials explained that a series of options have been presented to the Minister. Response awaited. It was agreed that good practice guidance would be beneficial to both landlords and leaseholders. It was acknowledged that good practice already exists within the sector but that there is a lack of consistency across landlords. It was discussed that a collaborative approach to the implementation of the guidance and independent review process would be adopted. A project board and steering group would be established with representation from across the sector to develop this and ensure collaboration. CHC/WLGA will tentatively discuss with Richard McQuillan, Chair of the Leaseholder Forum. Next steps: subject to Ministerial agreement of the good practice/independent review option, a written statement will be issued, along with a letter to the sector. The project board and steering group will then be established, via LEASE who will be grant funded by WG to develop and implement this option.
5 Following a discussion between Leaseholder Network members it was suggested the working group to set up the LEASE Best Practice will comprise of representatives from the following: Welsh Government LEASE WLGA CHC A local authority representative An RSL representative TPAS Cymru Simon McCracken, Bron Afon and Lindsay Murphy, Newport City Homes volunteered to help flesh out the RSL proposals for the LEASE Best Practice. A discussion was held on what the Best Practice would cover. This could include: Services delivered Charges Consultation Leaseholder involvement Major works Recharging etc. It was suggested that the LEASE Best Practice should draw on the following sources: LEASE Welsh Government Regulatory requirements for RSLs The recent CMA proposals RSL views It was proposed that the following methodology be followed to ensure RSLs contribute to the process: Establish an RSL working Group Develop a framework of Best Practice Report back any proposals to the Leaseholder Network members Any Other Business Lindsay Murphy, Newport City Homes asked for examples from LSVT members of de-pooling their service charges. A brief discussion was held on using Estate Regulations to help provide a consistency of management between tenants and leaseholders on mixed tenure sites. Suggestions for Next meeting Suggestions were asked for the next Leaseholder Network Meeting:
6 Morning Speakers / Discussions Estate Regulations Lease Good Practice / Mediation update Community Housing Cymru sector survey results on Management fees and Administration fees It was suggested we look at presentations and discussions in the morning and small working groups in the afternoon. Acknowledgements Richard McQuillan thanked all the guest speakers for their valuable contribution to the day: John Rees Welsh Government Simon McCracken Bron Afon Selina Moyo - CHC Finally Richard thanked all the attendees for their support and wished them safe journey home. Date of Next Meeting The next Leaseholder Network Meeting will be on Monday 25 January 2016, Community Housing Cymru will confirm the date.
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