Four local authorities have been graded at ‘C2’, indicating “some weaknesses” in how well they are meeting the outcomes of the consumer standards

The Regulator of Social Housing (RSH) has released its latest regulatory judgements as part of its ongoing inspection programme of registered providers.

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The regulator has issued four councils with ‘C2’ gradings, meaning they are meeting the outcomes of the consumer standards, but there are “some weaknesses” and improvements need to be made. 

The councils that have received an initial consumer grading of ‘C2’ are Dacorum Borough Council, High Peak Borough Council, Melton Borough Council, and North East Derbyshire District Council.

From its inspection, RSH found that North East Derbyshire District Council does not currently have records at an individual property level of the condition of all its homes.

However, the council has provided evidence that it plans to meet this outcome.

>> See also: Ombudsman and Regulator of Social Housing set out how they will work together

>> See also: RSH opens investigation into Southwark Council over potential ‘serious failings’

North East Derbyshire District Council, which owns around 7,500 social homes, was reported to have appropriate systems in place to manage the health and safety of tenants and be managing damp and mould risks and prioritising remedial works.

The council identified that it needs to adopt a more planned approach to managing damp and mould risks.

The RSH also noted that, in line with the neighbourhood and community standard, the council has effective oversight of the number of anti-social behaviour cases and hate incidents in the neighbourhoods where it provides homes.

In its assessment of Dacorum Borough Council, the regulator noted that there are some gaps in the information it holds, as over 40% of property records are not up-to-date. The regulator said it saw evidence that work is underway to address this issue.

The report also noted that the council has a number of homes that do not meet the Decent Homes Standard.

In its assessment of High Peak Borough Council, the regulator said that the authority is achieving outcomes across the main health and safety compliance areas and that an effective, efficient and timely repairs service is being delivered. 

The regulator added that the council has a number of homes which are failing to meet the Decent Homes Standard, but that it has been reducing the number of non-decent homes through planned investment. 

Leader of High Peak Borough Council, councillor Anthony McKeown, said: “This is a fantastic result for our first grading, especially given how recently the regulator introduced the inspection regime to Councils.

“It’s reassuring that the investments we have been making to improve the quality and safety of homes, together with the improvements to our repairs service through the creation of Alliance Norse, has been recognised by the regulator.

“We are looking forward to working with the regulator, our tenants and partners to demonstrate how we have made changes in areas where further improvements have been highlighted, along with continuing to improve and develop the service overall.”

Meanwhile, Liverpool-based housing association Cobalt Housing has had its financial viability regraded from ‘V1’ to ‘V2’ due to increased investment in existing homes, and has received a consumer standard grading of ‘C2’.

The regulator said it identified some weaknesses in Cobalt’s provision of repairs and maintenance to its tenants and that improvement is needed for the housing association to provide an effective, efficient and timely repairs and maintenance service.

On financial viability, the RSH said Cobalt has sufficient liquidity, but that increased investment in its existing homes “reduces its capacity to respond to adverse scenarios”.

North Devon Homes (NDH) was issued with a ‘C1’ grading for meeting the outcomes of the consumer standards, while its governance grading and financial viability grading remain at ‘G1’ and ‘V2’ respectively.

The regulator said that NDH provided evidence that it has appropriate systems for ensuring tenants’ health and safety in their homes and communal areas.

The report stated that NDH also has plans in place to seek regular independent, expert assurance across all statutory compliance activity, including making sure the information it holds is correct, complete and up-to-date.

Norwich-based Saffron Housing has received a ‘C1’ consumer standard grading. The 6,600-home housing association, which was formed in 2004 through a housing stock transfer from South Norwich Council, has retained its ‘G1’ governance grading and ‘V2’ financial viability grading.

Saffron’s latest regulatory judgement stated that the housing association operates an effective, efficient and timely repairs and maintenance service and continues to make improvements when issues occur.

In addition, Saffron provided evidence that it treats tenants with fairness and respect and has a strategic objective to champion tenant inclusion through its ‘Inspiring Trust’ initiative.

Saffron Housing’s ‘V2’ financial viability grading was reconfirmed, due to its increased investment in existing homes, as well as risks associated with the development of new homes and sales programme, which the regulator said “reduces its capacity to respond to adverse events”.

Salford-based Salix Homes was also issued with a ‘C1’ grading, while its governance and financial viability gradings remain unchanged at ‘G1’ and ‘V2’.

The regulator noted that Salix is working effectively with local partners to deter and tackle anti-social behaviour in the neighbourhoods where it has homes.

It also said that Salix has created engagement and scrutiny arrangements that provide “a wide range of meaningful opportunities for tenants to share their views”.

Salix’s financial viability grading remains at ‘V2’ due to increased investment in existing homes and delivery of new homes.

The regulator noted that the costs associated with these activities, alongside Salix’s low operating margins mean its capacity to respond to adverse scenarios is reduced and this requires ongoing management.

The full list of today’s regulatory judgements

Provider nameGradingsNotes

Cobalt Housing Limited

G1 V2 C2

Governance grading unchanged

Viability regrade from V1 to V2

First consumer grading

Dacorum Borough Council

C2

First consumer grading

High Peak Borough Council

C2

First consumer grading

Melton Borough Council

C2

First consumer grading

North Devon Homes

G1 V2 C1

Governance & viability gradings unchanged

First consumer grading

North East Derbyshire

C2

First consumer grading

Saffron Housing Trust Limited

G1 V2 C1

Governance & viability gradings unchanged

First consumer grading

Salix Homes Limited

G1 V2 C1

Governance & viability gradings unchanged

First consumer grading