A major housing association has been downgraded by the Regulator of Social Housing (RSH) in its latest tranche of regulatory judgements.

Notting Hill Genesis (NHG) has had its governance rating downgraded to G3, after an inspection found serious regulatory concerns, with significant improvements needed to business planning and its control framework.

According to the RSH, NHG’s risk management, internal controls and assurance framework is not robust enough to enable the board to identify and manage risks.

The regulator says it found limited evidence of NHG’s board providing effective oversight of landlord health and safety compliance. While improvements are in progress, the range of issues that have arisen is challenging.

Although NHG’s V2 viability grading remains unchanged, it must manage significant financial risks carefully to ensure continued compliance in the short term, the RSH says.

The inspection also found that NHG failed to deliver outcomes in the RSH’s new consumer standards, introduced on 1 April 2024, finding:

  • A substantial backlog of overdue fire remediation actions
  • A lack of data on whether legal requirements had been met in a large number of third party managed buildings
  • A significant repairs backlog
  • A lack of up-to-date accurate data, with only around half of homes having had a survey in the last five years.

Three other landlords, Southwark Council, Southampton Council and West Northamptonshire Council, have also been given a C3 grading, which means there are serious failings, and they need to make significant improvements.

Following an inspection of the Southwark Council, the RSH found:

  • A failure to self-refer despite more than half of homes having no smoke alarms. More than half had also not had electrical condition test for over five years
  • Almost 2,000 overdue fire safety remedial actions
  • The last stock condition survey was undertaken in 2010, based on a sample of 10% of general needs and 20% of street properties
  • A failure to allocate homes, especially empty homes, in a fair and transparent way that takes the needs of tenants and prospective tenants into account.

Following an inspection of Southampton City Council, the RSH found:

  • Nearly half (47%) of homes do not meet the Decent Homes Standard
  • Poor performance for routine repairs, with long void turnaround times and long call waiting times – in part due to underinvestment in planned capital works over a prolonged period
  • Weaknesses around asbestos safety
  • Little evidence that tenants’ views are taken into account in decision making
  • A lack of fairness, effectiveness and timeliness in complaints handling.

West Northamptonshire Council self-referred to the RSH in September 2024 after identifying an issue with data quality and health and safety compliance. The RSH’s responsive engagement found:

  • A lack of assurance over safety checks for fire, electrical, water, asbestos, lifts and smoke and carbon monoxide alarms
  • Limited evidence that remedial actions were being completed within appropriate timescales.

Kate Dodsworth, Chief of Regulatory Engagement at the RSH, said: “Landlords must have robust systems to identify and manage risk. We assess providers’ governance for those landlords within our economic remit.

“We also expect all landlords to take the health and safety of tenants in their homes extremely seriously. They must listen to tenants’ concerns, acting swiftly to resolve any issues and this cannot be achieved without accurate, up-to-date data.

“We are engaging intensively with the landlords in each of these cases as they work to put things right for tenants. A self-referral is a positive sign that a landlord is taking accountability and understands their responsibilities.”

The London Borough of Lambeth, Medway Council, East Midlands Housing Group Limited, Chesterfield Borough Council and Stevenage Borough Council received C2 gradings following an inspection.

Provider Consumer Change Governance Change Viability Change
Chesterfield Borough Council  C2 First Grading – – – –
East Midlands Housing Group Limited C2 First Grading G1 Assessed & unchanged V2 Assessed & unchanged
Livin Housing Limited C2 First Grading G1 Assessed & unchanged V2 Assessed & unchanged
London Borough of Lambeth  C2 First Grading – – – –
Medway Council  C2 First Grading – – – –
Notting Hill Genesis C3 First Grading G3 Downgrade V2 Assessed & unchanged
Southampton City Council  C3 First Grading – – – –
Southwark Council C3 First Grading – – – –
Stevenage Borough Council  C2 First Grading – – – –
West Northamptonshire Council  C3 First Grading – – – –

 

The RSH has also published regulatory judgements for a further 25 landlords from the stability check programme, with all but two retaining their previous governance and viability gradings.

Stability checks are a yearly exercise where we look at the financial information landlords have submitted to us (including their most recent business plan and annual accounts) and consider whether their current viability grade is consistent with this.

Provider Governance Change Viability Change Engagement Process
Abri Group Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Arches Housing Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Aster Group Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Bernicia Group G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Castles & Coasts Housing Association Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Chelmer Housing Partnership Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Croydon Churches Housing Association Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Curo Group (Albion) Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Eden Housing Association Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
English Rural Housing Association Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Grand Union Housing Group Limited G1 Assessed and unchanged V2 Viability regrade V1 to V2 Stability Check and Responsive Engagement
Housing Solutions   G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Irwell Valley Housing Association Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Local Space G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Manningham Housing Association Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Ocean Housing Group Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Onward Group Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Orbit Group Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Orwell Housing Association Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
South Lakes Housing G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Thrive Homes Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Wakefield And District Housing Limited G1 Assessed and unchanged V1 Assessed and unchanged Stability Check
Wrekin Housing Group Limited (The) G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Yorkshire Housing Limited G1 Assessed and unchanged V2 Assessed and unchanged Stability Check
Your Housing Group Limited G1 Upgrade V2 Assessed and unchanged Stability Check and Responsive Engagement