Overcoming Barriers in Residential Compliance Standards
Local authorities in the UK are grappling with the new consumer standards set by the Regulator of Social Housing (RSH), as the April 2024 deadline approaches. The new standards, which focus on tenant satisfaction and quality of service, require a detailed understanding of home conditions and proactive maintenance strategies, posing challenges for local authorities to implement effectively.
The RSH has conducted inspections and awarded 'C' gradings to many councils and registered providers, indicating serious failings. In fact, nearly two-thirds of councils and registered providers have scored C3 or C4[1]. The discrepancy in performance between councils and registered providers is striking, with only one council having achieved a C1 grading so far[1].
One of the main reasons for the struggle is the complexity of the new standards themselves. Local authorities, many of which are new to housing regulation, may have been less prepared than registered providers[2]. The ongoing consultations on reforms such as the Decent Homes Standard and Minimum Energy Efficiency Standards add to the complexity of regulatory compliance, requiring local authorities to balance these evolving standards with existing operational demands[2].
The common areas of inadequate performance by local authorities include stock condition and maintenance, tenant satisfaction and engagement, and compliance with evolving regulations. Ensuring that homes meet the Decent Homes Standard and maintaining accurate records of property conditions can be challenging, especially for large portfolios[1]. Local authorities often struggle with communication and responsiveness to tenant needs, as measured by Tenant Satisfaction Measures (TSMs). This includes ensuring transparency, addressing complaints effectively, and facilitating tenant influence on decision-making[5]. Adapting to new and proposed regulations, such as energy efficiency standards, can strain resources and require significant changes in operational practices[2].
Addressing these challenges requires a combination of resource reallocation, strategic planning, and innovative approaches to tenant engagement and property management. If there are areas of serious non-compliance with the standards, local authorities should have a plan to tackle this and should self-refer to the regulator instead of waiting for inspection.
Campbell Tickell, a consultancy firm with experience working with many of the social landlords inspected under the new regime, is available to help local authorities navigate these challenges. Having an effective and comprehensive assurance framework in place is critical for local authorities, and understanding the drivers of higher gradings and of non-compliant gradings is central to addressing the expectations of the new consumer standards[4]. To discuss how Campbell Tickell can help, contact [email protected].
References: [1] Campbell Tickell (2023). Social Housing Regulation: A New Era. [Online] Available at: https://www.campbelltickell.com/social-housing-regulation-a-new-era/ [2] Ministry of Housing, Communities & Local Government (2022). Consultation on the Decent Homes Standard. [Online] Available at: https://www.gov.uk/government/consultations/consultation-on-the-decent-homes-standard [3] Regulator of Social Housing (2022). Inspections. [Online] Available at: https://www.rsh.gov.uk/regulation/inspections/ [4] Campbell Tickell (2023). How to Prepare for Social Housing Regulation. [Online] Available at: https://www.campbelltickell.com/how-to-prepare-for-social-housing-regulation/ [5] Regulator of Social Housing (2022). Tenant Satisfaction Measures. [Online] Available at: https://www.rsh.gov.uk/regulation/our-powers-and-duties/enforcement/enforcement-action/tenant-satisfaction-measures/
- To meet the challenging new consumer standards set by the Regulator of Social Housing (RSH), local authorities must invest in a comprehensive and effective assurance framework, balancing evolving standards such as the Decent Homes Standard and Minimum Energy Efficiency Standards with operational demands.
- The real-estate industry, including local authorities and registered providers, needs to focus on key performance areas including stock condition and maintenance, tenant satisfaction and engagement, and compliance with regulations like energy efficiency standards, to address serious failings and improve their finance and investing prospects in the social housing sector.
- Given the complexity of the new consumer standards and the ongoing regulatory landscape, consultancy firms like Campbell Tickell can provide valuable support to local authorities in the UK housing industry, helping them navigate challenges and strive for higher gradings under the new social housing regulation regime.
