Our purpose? We are here to raise the standard of services for tenants: • tochampionthe needs and aspirations of tenants - both those within and those as yet unable to access affordable housing • to challengeproviders of affordable housing services to meet or exceed the highest standards of organisational effectiveness and service delivery • to promotechoicefor tenants and providers of affordable housing
Our timeline? • December 2008: New regulator established • Jan - March 2009: “National Conversation” • Spring 2009: Informal consultation • Autumn 2009:Statutory consultation • December 2009: New powers for RSLs (Subject to timing of ‘orders’) • April 2010: New powers for LAs and ALMOs
National Conversation: What tenants have told us • Polarised views on landlord performance • Repairs & Maintenance, rents and good quality homes are the big priorities • Keeping your promises is important • Opportunities for involvement • Mixed views on choice
Regulatory style? Proportionate Confident, intelligent Tenant focused Co-regulatory Partnerships
January 2009 Quarterly Survey – finance markets • The sector has £53.1bn total loan facilities in place, £39bn of these are drawn • There is £28.2bn of security in place to cover the un-drawn loan facilities • Over the next 12 months the sector plans to draw down a further £5.6bn of debt, £5.2bn of this is already in place • 87% of respondents said they had loan facilities in place that could fund their business plans for at least 12 months
FinancialFundamentals The most successful PFI in Europe? • Asset values are based on continuing existing use and represent a discount relative to market value. Private finance ranks above SHG – providing a further substantial cushion for lenders • Two thirds of rental streams are backed by the state via housing benefit • New supply is funded by social housing grant • Demand continues to outstrip supply by between 50-100% • This sector is resilient and able to withstand a further period of downturn
Questions: Choice • Sometimes the big things, sometimes the little things • - Paying more for extras • - Information • - Rationalisation • - Those who can’t get in • - Developer, owner, manager – which for you?
Questions: Needs of tenants • Social rent • Intermediate rent • Shared Ownership • Shared Equity • Are we as clear as we should be about why we use our resources to subsidise differing needs?
Questions: Efficiency Gains • £9 billion spent on management and maintenance: • What could this total be with a more rational stock holding?
Questions: Opportunities • How will we look back at this moment - • Opportunities to take or leave: • Unsold stock; Impairment; Hard ball banks • or • Low cost of long-term money; low land prices; flexibility?
Working in partnership to deliver Tenants Delivering better services to tenants Landlords TSA