The Tenants’ and Residents’ Organisations of England has raised concerns that proposals to charge regulatory fees are unfair on tenants.
Michael Gelling, chair of Taroe, argued tenants’ rent would be more fairly spent on funding a national tenants’ association.
He said this body could flag up issues to the Homes and Communities Agency regulation committee. He said: ‘Money is already taken out of rents to pay for [membership] of the National Housing Federation, the Local Government Association and the ombudsman.’
Meanwhile, landlord are divided on the subject according to Inside Housing:
The social housing sector is divided over proposals to introduce regulatory fees, with smaller organisations fearing they could be disproportionately hit by the move.
Inside Housing surveyed housing associations across England on their support for fees. The idea is being explored by the cash-strapped Homes and Communities Agency to improve regulation, and the government this week said it would allow the agency to do so.
Of the 35 landlords to respond to the snap survey, 17 said they are in favour of fees, 16 are not in favour and two were undecided.
A total of 11 associations said they considered a fee of up to £10,000 a year to be reasonable, with four suggesting a fee of £15,000 or more.
The figures show stronger support for fees among larger organisations. The 17 in favour of fees own or manage a total of 310,073 homes, an average of 18,245 homes each, while those against own or manage an average of 9,506 homes each.
Smaller landlords fear being hit unfairly unless the system takes into account an organisation’s size and complexity. Brian Summerson, chief executive of 1,000-home Arches Housing, said: ‘For smaller registered providers any cost is significant and ultimately this is borne by the tenants.’
Abraham Krespin, director of 53-home Lambeth Self Help Housing Association, said: ‘Any fees should reflect the lighter regulatory burden in relation to small providers.’
Several landlords, including First Ark (Knowsley Housing Trust), Poplar Harca, and Trent & Dove, said they would expect the regulator to demonstrate how fees would provide value for money.
Karen Mayhew, chief executive of 6,000-home Havebury Housing Partnership, said: ‘If fees are to be charged, there should be a very clear contract as to what the housing association sector can expect in return.’
Tina Barnard, chief executive of the 5,000-home Watford Community Housing Trust, warned there would be a ‘mismatch’ asking tenants to pay for regulation through their rents when the regulator’s role in dealing with tenant complaints has been reduced.
Under the Localism Act, the regulator only intervenes in tenant complaints where there is ‘serious harm’ to tenants.
Those backing fees, including London & Quadrant, argued providers should be willing to pay if it leads to a better service.