Social housing crossroads
In his report, Housing Associations in England and the future of Voluntary Organisations, Andrew Purkis examines what happens to the distinctive contribution and character of the voluntary sector, if it takes over the delivery of services previously entrusted to the state.1
It was the housing sector’s complete dependence on government money and backing that, as highlighted in Bharat Mehta’s article ‘No replacement’,2 reduced its thrust for localism and social entrepreneurialism.
Over the last 35 years, some £37bn has been invested by the government to provide affordable homes. At present, one in five households live in social housing with 2.2 million of them in homes owned and management by housing associations.
These are now facing reduced capital subsidy for housing development, changes to rents and constraints on housing benefit. And run a real risk of becoming tantamount to ‘landlords of the poorest’ with little income to support much other than basic property management functions.
A new report: At the Crossroads: A Progressive Future for Housing Associations3 has identified some ways of dealing with the problem. It calls for a greater focus on the potential role as community-focused players and highlights five key areas where they could look to build capacity and develop new approaches.
1) Enablers. They could work with or act on behalf of local communities, particularly those with limited sources of capacity and capital, to help support them in taking on local services or assets.
2) Investors. They could offer support of small scale equity or debt funding to get community-based enterprises started.
3) Active funders. Some housing association groups have set up funds which support local community activities, often in ways that build wider community capacity and resilience.
4) Broader service providers. Those with a strong local presence and delivery capacity may be in a position to use their experience of managing services and a strong financial base to bid for a broader range of services – particularly those that come up for tender following changes in public service procurement.
5) Supporters of local co-operation and self-help. This would involve support for a new generation of small-scale mutuals and self-help projects, to develop new and innovative ways to address individual housing aspirations and the challenge of asset wealth inequality.
1. www.baringfoundation.org.uk/HousingAssociations.pdf
2. Caritas, issue 41, April 2011, page 33
Author: Clarissa Dann
Clarissa Dann was the editor of Caritas as well as an HR and management online service,he People Bulletin until July 2011.
She is now the editor of the specialist trade finance magazine, Trade and Forfaiting Review which can be viewed at www.tfreview.com but does write on charity finance and investment from time to time.
Clarissa has a background in legal and professional publishing, as well as business journalism and holds an MBA from
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