NHC responds to HCA’s Value for Money Consultation

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In September the Homes and Communities Agency published a consultation on a revised Value for Money (VfM) Standard. The consultation proposed to revise the VfM Standard and publish a new associated Code of Practice to help registered providers understand how compliance with the new Standard might be achieved.

The proposed Standard aims to move the focus of the regulatory approach away from the primarily narrative self-assessment to more outcome-based reporting from registered providers on targets, including a suite of metrics to be defined, from time to time, by the regulator.

In response to the consultation, and in order to gather the views of its members, the NHC arranged and facilitated three meetings around the North East, North West and Yorkshire and Humber regions. The key points in discussions held at those meetings have informed a response to the consultation.

We look forward to the publication of the final standard. The NHC will reconvene groups of members following the issue of the standard to discuss implementation, timescales and any other regulatory issues.

The NHC response to the consultation which includes member’s views of how the VfM Standard and the associated Code of Practice are developed and implemented can be accessed here.

Closure of the gateway to new Universal Credit live service claims

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The 2017 Autumn Statement announced that the Universal Credit live service will cease to take new claims from 1st January 2018. This is part of the transition to a full digital service and continues the Government’s focus on work, independence and reducing reliance on welfare.

The Department for Work and Pensions has published a bulletin filled with important information for claimants and local authorities. You can read it in full below or download it here.

ISSN 2054-2844 (Online)

HB U4/2017

14 December 2017

Closure of the gateway to new Universal Credit live service claims

  1. The 2017 Autumn Statement announced that Universal Credit live service will cease to take new claims from 1 January 2018. This change supports the smooth transition to a full digital service and continues the focus on work, independence and reducing reliance on welfare. It is not value for taxpayers’ money to continue to invest in a system that is due to be closed and replaced by the Universal Credit full service.
  2. Existing Universal Credit live service claimants will continue unaffected and we will maintain the existing caseload. This includes:
  • transition to Full Service, where a site is transitioning from live service to full service
  • changes of address. This will be classed as a change in circumstances within Universal Credit
  • partner joining an existing Universal Credit claim. This will be classed as a change in circumstances
  • partnership separation. This will be classed as a change in circumstances and both claimants will remain on Universal Credit (if still appropriate)
  • where a claimant has been working and their earnings have exceeded the maximum amount, their entitlement will be reduced to nil due to their earnings. Their claim will stay open for up to 6 months within the six month re-award period.
  1. Someone making a claim in a Universal Credit live service area after the 31 December 2017 will be directed to claim one of the following benefits:
  • Employment and Support Allowance
  • Jobseeker’s Allowance
  • Income Support; and/or
  • Housing Benefit (HB) as appropriate to their circumstances. HB can be taken as part of the data gather for the above benefits through the benefit systems. Where this is not appropriate the claimant needs to be signposted to their local authority (LA) to make a claim
  • Child Tax Credits and/or Working Tax Credits with HM Revenue & Customs.
  1. LAs will need to ask the claimants about any previous Universal Credit claims and see if the claimants are within the 6 month re-award period. There are a number of ways that the LA can find this information:
  • speaking to the claimant
  • checking the Customer Information System to see if the Universal Credit claim is still in payment
  • Universal Credit termination notification for Local Council Tax Reduction
  • a copy of the termination notification that the claimant receives.
  1. Where a claimant terminates their Universal Credit live service claim by choice they will be able to make a new claim to HB straight away. Claimants in full service areas will not be allowed to terminate their claim and make a claim for HB.
  2. There will be no backdating of the UC claim.  If the claimant makes a claim from 1 January 2018 but needs to have their claim looked at from an earlier date then this will have to be requested from the LA as part of the HB claim.
  3. LAs will be able to recover any HB overpayments from the new HB claim. These will not be referred through the Payment Deduction Project system and will revert to business as usual processes.
  4. Universal Credit full service will continue to accept new claims and is not impacted by the change.
  5. The Universal Credit Live Service L&D pack is being updated and will be available via Glasscubes and DWP Partnership Managers from 15 December 2017.

What LAs need to do before 31 December 2017

  1. All LAs within Universal Credit live service areas will need to open their gateway to HB claims and ensure that their websites and leaflets, etc., are up to date and available as from 1 January 2018 to allow HB claims to be made. All staff will need to be aware of the change to avoid signposting the claimant back to Universal Credit.
  2. We will be communicating information regarding new burdens funding to LAs once the live service closure changes have been finalised and we have made the necessary evaluation.
  3. Provided below is some questions and answers (Q&A) to support all staff to respond to queries from claimants regarding the closure of Universal Credit live service claimant new claims gateway from 1 January 2018.

Q&A

Q1. Why is Universal Credit closing the live service gateway for new claims?

A1. By the time Universal Credit is fully rolled out, Universal Credit full service will have replaced Universal Credit live service in every Jobcentre/local authority area. It would not represent value for money for taxpayers to continue to invest in a system that is due to be closed and replaced by Universal Credit full service.

This will not affect anyone already in receipt of Universal Credit in a live service postcode area.

 

Q2. Does this change apply to all Universal Credit claims?

A2. No, if you live in a Universal Credit full service postcode area you will still be able to make a new claim to Universal Credit full service unless you are a family with 3 or more children. Then you may make a claim to one of the following:

  • Employment and Support Allowance
  • Jobseeker’s Allowance
  • Income Support; and/or
  • Housing Benefit (HB)
  • Child Tax Credits and/or Working Tax Credits with HM Revenue & Customs.

 

Q3. I have been onto the GOV.UK website and it says I cannot claim Universal Credit in my area, why is this?

A3. Universal Credit live service in your postcode area is no longer taking new claims until the full service is rolled out. Details of when the Universal Credit full service will be rolled out in your area can be found on www.gov.uk

If you have not made a Universal Credit live service claim with us before then you may make a claim to one of the following:

  • Employment and Support Allowance
  • Jobseeker’s Allowance
  • Income Support; and/or
  • Housing Benefit
  • Child Tax Credits and/or Working Tax Credits with HM Revenue & Customs.

Claimants already in receipt of Universal Credit will remain on Universal Credit providing other circumstances relating to their claim are unchanged.

Claimants will remain on Universal Credit live service if they are within the 6 month re-award period on Universal Credit live service. In these circumstances claimants will be able to report a change of circumstances which may result in entitlement to a revised Universal Credit live service award.

 

Q4. I have just separated from my partner can I continue to claim Universal Credit?

A4. When you report your separation from your partner your joint claim will end.  However, you will both remain on Universal Credit (if still appropriate).

 

Q5. I think I should be entitled to Universal Credit from a date prior to 1 January 2018 and want to ask for my claim to be backdated.

A5. If you have not claimed Universal Credit in a live service area prior to 1 January 2018 you will need to claim one of the following and request backdating:

  • Employment and Support Allowance
  • Jobseeker’s Allowance
  • Income Support; and/or
  • Housing Benefit.

 

Q6. If I want to claim Universal Credit how can I appeal your decision?

A6. You cannot appeal against the decision not to accept a new Universal Credit claim in a live service area as from 1 January 2018. This is because of changes in the law for Universal Credit as a result of government policy.

Universal Credit report highlights difficulties for landlords and tenants

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A report released today warns of the difficulties social landlords are still facing from the roll-out of Universal Credit (UC).

In light of recent changes to UC in the Autumn Budget, the Northern Housing Consortium (NHC) today launched its report, Impact of Universal Credit – The Frontline Perspective, which summarises the results of a year-long study of UC, highlighting the experiences of 85 of its member organisations and their tenants across the North.

Key concerns that have emerged include the following:

  • 95% of participants reported that their tenants were having difficulty in meeting housing costs. The NHC welcomed the extension of Housing Benefit announced recently which will have a significant positive impact on the level of arrears.
  • There is a significant impact on landlords, with 92% reporting their staff were spending more time supporting people through the UC process than the Housing Benefit process. One participant reported an increase of 90% in calls from customers.
  • Communication problems between participants (and their tenants) and the Department for Work and Pensions (DWP) – 89% of responding members experienced this.

Of particular concern was the impact UC is having on tenants. Reported evictions due to rent arrears in UC cases increased from 18% to 27% during the roll-out and by the end of the study all respondents reported they were aware of food bank use – something that a number of other studies have found.

More than half of the participants were aware of an increase in tenant health issues. These included stress and anxiety, depression, and suffering from the effects of cold and damp after being unable to heat their homes, particularly during the wait for the first payment. The announcement of the recent one-week reduction in the waiting time for first payment was positive, but the waiting time for claimants is still significant.

Jo Boaden, Chief Executive, NHC said: “The impact of UC on social landlords and their tenants is deeply concerning. The new system poses real challenges around rent collection and puts severe pressure on landlord resources in already challenging times. Worryingly, the situation could get worse for tenants as some face additional hardship over the Christmas period. Whilst we support the principle of simplifying the benefits system, there is clearly still work to be done to ensure it runs smoothly.  Many of the messages on UC from the Autumn Budget were encouraging, and we urge the Government to continue to listen to housing providers in the sector, who offer security and support to many of society’s most vulnerable people. The NHC and our members have worked closely with the DWP throughout the process and will continue to do this over the coming months.”

You can download the report here and an infographic of statistics here.

Key contacts

Claire Henderson, Communications Manager, Northern Housing Consortium, Claire.henderson@northern-consortium.org.uk  01915661032

David Hetherington, Marketing Officer, Northern Housing Consortium, david.hetherington@northern-consortium.org.uk 0191 5661038

 

Protecting consumers in the letting agent market: call for evidence

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On 1st  October 2017, the Secretary of State for Communities and Local Government, announced proposals to address the imbalance of power in the private rented market by regulating letting and managing agents.

A call for evidence sought views on a new regulatory model and how best to protect and empower tenants and leaseholders.

The Northern Housing Consortium has responded to the Call for Evidence and you can read the response in full here.

The NHC has welcomed an approach to a more professional managing agent market and believe that, if framed correctly, there are benefits for property management agents as well as for tenants and leaseholders. We believe that regulation creates a level playing field, and will help responsible agents to not be undermined by a minority of agents with poor practice and will help improve the reputation of all.

The Government will bring forward detailed proposals early next year, following analysis of the evidence submitted.

NHC response to Planning for the Right Homes in the Right Places

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The Northern Housing Consortium (NHC) has responded to Government proposals to reform the planning system to increase the supply of new homes and increase local authority capacity to manage growth.  The full consultation response is available here.

The proposals are focused on providing the potential for greater pace, simplicity, and transparency in the planning process.  We support this; however, the supply of the right homes in the right places needs to have recognition of the planning system as a significant driver of economic growth and quality of life through its importance in place-making.

We support a streamlined and simplified process, but we are concerned that a standard approach as a way of calculating local housing need will not allow for the complexity and unique needs of local housing markets, which vary significantly from place to place.  For many parts of the North, we believe the standard methodology will create challenges with the alignment between housing need and economic growth and regeneration.

The NHC hosts Alok Sharma tenant engagement programme

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Alok Sharma talks to tenants

On 26th October, the Northern Housing Consortium facilitated landlord and tenant engagement sessions with Alok Sharma, Minister of State for Housing and Planning, alongside colleagues from the Department for Communities and Local Government (DCLG).

Representatives from around 30 NHC members attended the meeting for landlords, and the tenant engagement event attracted more than 80 residents from a cross section of providers in the North East and Yorkshire and Humber. A separate North West event was hosted by Community Gateway Association in Preston.  The Minister was fully involved in the lively and well received session, both addressing and sitting with tenants to listen to their concerns and ideas. At the start of the session, NHC Deputy Chief Executive Tracy Harrison described this as a “golden opportunity to make your voice heard” which the Minister agreed with, encouraging the audience to be as frank as possible.

Discussions between tenants and the Minister covered a wide variety of topics including tenant voice, funding and investment, quality of stock and recognition of local issues. At the end of the session, Mr Sharma promised to write to each of the attendees in person and told them their comments, views and ideas would be used to shape the upcoming  Social Housing Green Paper, “setting out what we’ve learned [from the sessions] and what needs to change.”

“At the end of my time as Housing Minister, I want to feel that I’ve done my part to get fairness back into the social housing system” Mr Sharma said while also mentioning a desire to “invest in modular housing similar to those made in Germany and Scandinavia” and the importance of incentivising private landlords to provide longer tenancies.

Commenting on the event, Tracy Harrison said “The NHC was delighted to facilitate this event with the Minister and his team at DCLG. The event presented our members and their residents with a real opportunity to discuss how they feel about where they live, and how services are provided to them by their landlord. I was particularly encouraged by the acknowledgement that local decision making can play a part in reconnecting isolated or fragmented communities — these are issues we know are key to our members — and we look forward to seeing how this shapes the Social Housing Green Paper next year.”

Fourth Universal Credit Impact Report Published

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The Northern Housing Consortium has published its fourth Impact of Universal Credit Round. This report outlines the findings of the final in a series of four surveys and builds upon the results of the first three reports, which can be accessed from NHC’s website here. The research investigates how the implementation and continuing rollout of Universal Credit is affecting housing organisations and their tenants in the north.

We continue to track members’ responses to core questions on arrears levels, delays in processing claims and on how the system impacts on tenants’ health and well-being. This latest survey, however also introduced questions to explore confidence in service centres and respondents’ relationships with DWP Partnership Managers. Some of the key findings from the Round 4 report are:

  • over four-fifths of respondents said that delays in processing claims led to tenants being short of money.
  • more than three-quarters have seen enquiries to money advice teams increase due to Universal Credit.
  • almost three-quarters said that getting information from service centres is either fairly or very difficult.
  • all respondents were aware of tenants using food banks.

We continue to use findings from the research to engage with DWP officials through NHC’s roundtable programme to raise members’ concerns and experiences of procedural issues and we will work with DWP to make the new system as smooth as possible for tenants, housing providers and DWP alike.

Now that the research is complete and there is a whole year’s worth of data collected, a final report will soon be published that pulls together all of the data from the four surveys to provide trend analysis and some conclusion from the findings. If you need any more information on this project, please contact Business Intelligence Officer Barry Turnbull.

 

Lords and MPs attend APPG for Housing the North meeting

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MPs and Lords came together last Wednesday to hear how a range of NHC members were benefitting their communities through transformative regeneration projects. Joining Chair Ian Mearns MP and Vice Chair Kevin Hollinrake MP for the APPG for Housing in the North, a strong group of 20 people attended including Shadow Housing Minister Tony Lloyd MP and Lord Shipley, the Liberal Democrat Spokesperson for Communities, Decentralisation, and the Northern Powerhouse. Although the day was dominated by an Opposition Day Debate on Universal Credit, Ian Mearns MP declared it noteworthy that the group had still attracted the attention of parliamentarians around the region with the North East, North West, and Yorkshire and Humber all represented.

As explained by Pete Bailey, NHC Associate, the purpose of the APPG was to get the debate on regeneration out into the open. Although having garnered a negative reputation as a by-word for gentrification, regeneration had an important part to play in addressing not just the housing crisis in the North but as a way of improving the economic opportunities of whole areas.

Tom Warburton, Director of Place at Newcastle City Council, described how a combination of new builds and early intervention in preventing homes becoming empty had seen “the beginnings of thriving communities” around the city. This work would soon be complemented with the introduction of local infrastructure such as shops and a GP practice to allow places to grow further.

Paul Beardmore, representing Manchester City Council as Director of Housing, continued on this theme. With a strong emphasis on engagement and matching regeneration with similar ambitions to grow employment, some of Manchester’s more deprived estates were being turned around. This revival could be seen in an increase of residents in work and school places being taken up locally. A point of pride was the high level of existing residents that were moved into new properties once completed and thus remained part of the community.

The meeting’s overarching theme of intrinsically linked physical and community development was summed up by RBH’s “Quality of Life, Quality of Place” approach. Clare Tostevin, Director of Communities, underlined the importance of an area having suitable homes and comparable job opportunities as part of an aspirational offer to current and prospective residents. Members around the room agreed and were aware of the issue of residents moving out of an area due to wage growth not being matched by the uplift of the overall town.

In discussing the next steps for the group, a consensus emerged that more could be done to evaluate the long term impact of upfront government investment. It was clear that this funding played a key role in the success of ambitious regeneration schemes and a body of evidence was needed to bolster the argument that investment in the short term was justified by long term returns.

Full meeting notes will be available soon from the NHC’s dedicated page for the All Party Parliamentary Group for Housing in the North.

Housing needs of the North represented at Number 10

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Housing remains high on the government agenda this week as they hosted a roundtable at Number 10 for government officials and key representatives from the housing sector.

The meeting was attended by a small group of developers and builders, modular construction specialists, the Chartered Institute of Housing, National Housing Federation, Local Government Association,  members of the G15, and the Northern Housing Consortium (NHC), alongside Melanie Dawes, Permanent Secretary DCLG; Sajid Javid, Secretary of State; Gavin Barwell, Chief of Staff and Alok Sharma, Housing and Planning Minister.

The discussions covered topics such as planning, skills shortages, and modern methods of construction (MMC), all of which were focused on the question: what do we need to do more to increase housing supply?

Tracy Harrison, Deputy Chief Executive, Northern Housing Consortium said:

“The NHC was delighted to have the opportunity to specifically represent the views of the North at a meeting which otherwise could have been dominated by London and the South East.

We were able to highlight the key opportunities in the North and emphasise the commitment to development from our Northern members, our history of innovation and collaboration in the North between local authorities and registered providers, and our excellent supply of developable land.

We also shared the challenges we face: low land values and the high cost of bringing that land to market. We highlighted the need for support with land remediation and land assembly costs through upfront investment and patient capital.”

She continued,

“We believe local authorities can play a key role in development but we have to address the loss of capacity and skills. There are real opportunities to rebalance the economy and build the kind of housing markets that will support a Northern Powerhouse.”

Other key topics discussed around the table included; the argument for government to make a commitment and set targets around MMC, pressure for councils to be able to borrow against their assets, flexibility required around programmes and policy to enable localised solutions and the need for pathways to ownership through different tenures.

The NHC was delighted to see Gavin Barwell at the meeting who understands these issues and the challenges highlighted in the NHC Commission for Housing in the North report. The NHC will continue these discussions when it meets with Alok Sharma at the landlord and tenant engagement session it is hosting in York next week.

 

Key contacts

Claire Henderson, Communications Manager, Northern Housing Consortium, Claire.henderson@northern-consortium.org.uk  01915661032

David Hetherington, Marketing Officer, Northern Housing Consortium, david.hetherington@northern-consortium.org.uk 0191 5661038

 

About the Northern Housing Consortium

The Northern Housing Consortium represents the views of housing organisations in the North of England. We are a membership organisation made up of local authorities, ALMOs and associations that provide social housing for tenants.

Not only does the NHC bring its members together to share ideas, we represent their interests and ensure they are heard at a regional and national government level.

Download the Commission for Housing report