Homes

Homes for Haringey’s board has written to the council to make suggestions on what it must achieve if housing functions are to return in house.

The council said that “housing is our number one priority” when announcing plans to consult on whether to bring the ALMO back in house, and Homes for Haringey brought in Madeleine Forster as Chair to oversee the potential transition.

But in a warning to the council, the Homes for Haringey board say that the “success of a transfer will depend on a clear plan for the structure, governance, and delivery model for housing services.”

It also set out recommendations to the council to ensure that performance does not drop:

  1. Retains or improves clear accountability to residents by ensuring they have at least as much influence as now over strategy, design of services and scrutiny.
  2. Maintains the value for money achievements of HfH in overall expenditure, homelessness, domestic abuse services and social value.
  3. Ensures the essential improvements in joined-up housing services are supported and enhanced.
  4. Ensures the recently recruited leadership team and our valued staff are retained so that services continue to improve.

On accountability, the HfH board say the council will need to “ensure that its new governance model provides the same rigorous level of accountability” as given by the current board and Audit and Risk Committee.

On top of this, the current chair of the Audit and Risk Committee is a resident, there is a resident scrutiny committee and a “frequently refreshed” resident engagement strategy — the board say all this must stay, if not get strengthened under the new model.

Finally on accountability, the board state: “Resident voice in housing management is a huge challenge nationally. Following the fire at Grenfell, changes in regulation reinforce the need to enhance and improve resident engagement at decision-making level.

“The Board believes that the Council must commit to consolidating and strengthening this aspect of accountability.  The Council should set out (at least in high-level detail) how it proposes to do so before making the final decision on the future of housing services.

“Otherwise, there is a very real chance that the transfer of services will lead to a reduction of accountability to the residents themselves.”

Looking at the finances, the HfH board set out some of the savings the ALMO has made for the council. For example, “in the financial year 2020/2021 the company budget made an efficiency saving of £871,000 and absorbed unbudgeted costs of over £880,000.  This is the equivalent of 4.5% of the Housing Revenue Account management fee paid by the Council.”

There was also General Fund savings in the homelessness and domestic abuse services offered by the ALMO. The board says it is “essential” that this is carried on if the council takes the body back in house.

While better joined-up services with “other public services” was welcomed, the Board were keen to highlight that “the risk of diluting the housing function in the wider council in a complex and changing environment is very considerable.”

They added: “The new model will need to allow for strong professional leadership and integrated working practices across housing management, property services and housing demand.”

And finally, the ALMO board say that any transition must keep the expertise that has been built up in the organisation.

“ALMO mergers demonstrate a significant risk that senior leaders and other key staff will leave if they are uncertain of a secure and valued position in a new model. The Council must mitigate this risk by ensuring no loss of status, authority, autonomy or capacity to deliver. The depth of expertise and focus on housing outcomes that is now possible must be preserved.

“If not, there is a significant risk that the gains in property compliance, building safety, estate services and tenancy management will be lost, and services will decline rather than improve.”

Signed on behalf of the Chair, Madeleine Foster and Managing Director, Sean McLaughlin, they conclude by saying: “If the Council proceeds with its proposal, we will do our best to assist a successful transfer that leads to improvements. We believe our recommendations, based on real experience, will help the Council to make the improvements it is so clearly committed to achieving.”