Wayne Hainsworth and Pauline Ford gave a presentation which covered progress to date on delivering the commitments within the stock transfer form Merton Council to Circle Housing Merton Priory (CHMP). The presentation was tabled and is available on the councils website.

The presentation covered the following:

·               Changing environment for the provision and maintenance of social housing;

·               Achievements to date following the housing stock transfer;

·               Commitments in the housing stock transfer that have been delivered on to date;

·                     Outstanding commitments and how they are to be addressed;

·                     Resident involvement in the design and maintenance of social housing;

·                     Developments to sheltered housing;

·                     Plans for developing new homes in the borough;

·                     CHMP Regeneration Programme intentions;

·                     Current and future investment;

·                     Welfare Reform and support to residents;

·                     Neighbourhood renewal and initiatives to increase the number of residents in employment; and

·                     Support for better financial management by residents

Councillor Dennis Pearce asked about the number of people supported into employment and the possibility of increasing the number in the coming years. Wayne Hainsworth stated that CHMP are delivering the programme through MTEC with the assistance of a Performance and Reward Grant, this sets out clear targets and CHMP have exceeded these since MTEC opened. It was also highlighted that many of the people supported have vulnerabilities and / or have been long term unemployed and that many clients need a lot of support before they are job ready. The aim is to increase the numbers going into employment and CHMP are extending the programmes on offer beyond construction to include customer service and health and social care and will continue to invest in this going forward. 

Councillor Dennis Pearce asked how CHMP intended to increase the number of new homes. Pauline Ford explained that Circle Housing have a clear development strategy and aim to build 1,250 new homes per annum (nationally) and highlighted that Merton was considered to be a key driver borough for development. It was highlighted that CHMP have considered all opportunities across land in its ownership to increase units and these are included within the current programme of garage sites. Land is in short supply within the borough and it was highlighted that CHMP and Circle Housing would seek support from LBM in its enabling role support aspirations for future growth in the borough.

Councillor Janice Howard asked if high income earners occupying social housing were an issue. Wayne Hainsworth informed the Panel that this was not an issue in Merton and that CHMP has a range of residents in which a high proportion of those are struggling financially. It was highlighted that many of its residents in receipt of Housing Benefit are actually in employment.  Some residents who do have higher levels of income help to create balanced and sustainable communities and CHMP work with partners to offer a range of future housing options including shared ownership to support future aspirations.

Councillor David Dean stated that any new houses needed to have sufficient sized rooms. Pauline Ford explained that residents of Circle Housing are involved in setting design standards for homes. Also as part of the regeneration programme that CHMP are currently consulting on, there will be significant involvement of residents in the master planning process.

Councillor Samantha George enquired about the timetable for master planning for the regeneration programme. Pauline Ford stated that there was a  procurement process underway for an organisation to undertake this master planning with Circle Housing/CHMP. There are a number of factors that would determine the timescales and at this stage there is no definitive answer.

Councillor Samantha George asked about repairs and issues with performance against response times. Pauline Ford explained that response times are in place and vary according to the type of repair required and its urgency.   CCH has implemented all the promises and actually now undertakes emergency repairs in 4 hours rather than 12 hours. The issue has occurred with the IT system and response time starting when the call was made or when the repair was logged with the response team as opposed to when the job is received by the contractor. There is work being undertaken to address these IT issues as well as other activities to deliver continuous improvement in this area.

Councillor Samantha George asked about the investment programme and who the new contractor for repairs was. Pauline Ford informed the Panel that United House Limited were the new planned contractor and that they are a reputable family run company which covers a number of social housing companies across London and the South East.

Councillor Ian Munn asked for clarification on the number of new houses target. Pauline Ford explained that the 1,250 target was based across the whole of Circle Housing and re-enforced Circle Housing’s commitment to growth within the borough subject to the availability of land.

Councillor Ian Munn asked if CHMP envisaged meeting the 340 new homes which were in the borough plan for Merton for this year. Pauline Ford explained that this target for housing growth was for the whole borough and included the development of private sector homes as well as those in development by other social housing providers in the borough.

Councillor Samantha George asked about the right to buy scheme and if changes since 2010 benefited CHMP rather than the council. Steve Webb explained that changes introduced by the coalition government have increased the level of discounts available for people under the ‘Right to Buy’ scheme. This has resulted in an increase in sales but a decrease in the capital receipt. The biggest beneficiary is the tenant. The council share of the sale is significantly less now but there is an increase in sales. The share from the sale to CHMP has increased slightly.

Councillor Samantha George added that there should be a dialogue with Future Merton to look at how we can encourage more houses being built in the borough.

Councillor Samantha George asked if a copy of CHMP accounts could be shared with the Panel. Steve Webb confirmed that this is a public document and it can be shared.

Councillor David Dean asked what percentage of the sale of a house under the ‘Right to Buy’ scheme the council receives. Steve Webb explained that this amount varies and is dependent upon the type of property house/ flat, the number of bedrooms, the market value and the level of discount.

Councillor Dennis Pearce asked what quality control measures were in place for contractors. Pauline Ford explained that CHMP undertakes regular pre and post inspections on a sample of properties and all works over a certain value. All major works are post inspected and signed off by residents. In addition further audits and checks are carried out on statutory works such as Gas servicing by external consultants.

Councillor Russell Makin asked if CHMP were setting up their own credit union. Pauline Ford explained that the Circle Housing Group are currently looking at this but highlighted the priority is to ensure accessibility of these services in parts of the group where local provision is not available. It was noted that CHMP made a commitment to support the local credit union at the point of transfer and this commitment continues.

RESOLVED: Panel noted the presentation.