13 September 2005
Tenant ballot nears as Council signs off housing plan
The opportunity for all Council tenants to have their say on housing transfer plans before the end of the year has moved a step closer following formal approval of Argyll Community Housing Association’s (ACHA) plans by Argyll and Bute Council. ACHA’s Putting Tenants First plans were formally approved at a meeting of the Council’s Housing Stock Transfer Committee last week.
Councillor George Freeman, Argyll and Bute Council’s Housing Spokesperson, said, “This is the biggest financial project that the Council has been involved in and for that reason, and the fact that we want the very best for our tenants, it was extremely important that we get it right. With final negotiations now completed, we are confident that these plans represent a good deal for our tenants and also for communities throughout Argyll and Bute, who will benefit through the massive investment that will be unlocked through the stock transfer process.”
“Although this agreement is an important step forward in the process, there is still a great deal of work to be done before transfer becomes a reality. We will shortly be undertaking formal consultation with tenants in order to explain the proposals to them in more detail and to answer any questions that they may have. Only once this formal consultation process has been completed will we then move to an independent ballot, which will give all of our tenants the opportunity to vote on the stock transfer proposal.”
Final negotiations before the sign-off of ACHA’s proposals saw plans for the transfer of the majority of the Council’s Direct Labour Organisation (DLO) agreed. ACHA intends to deliver a vastly improved repairs and maintenance service to tenants following transfer. Final discussions have centred on how best to use part of the DLO to deliver some of these proposals.
The improved repairs and maintenance service will be funded from the multi-million pound investment package which will include up to £46,000 per Council house (over 30 years) as well as a significant new build programme.
ACHA Chairman Norman Beaton, commented, “We are delighted that our plans have now been formally signed off by the Council and we can now look forward to telling tenants about them in more detail. It was important that this final issue was resolved in order to deliver the best possible deal for tenants, and we believe that is exactly what we’ve achieved. Over the coming six weeks ACHA staff will be out and about to explain to tenants exactly what ACHA plans to deliver following transfer. We are extremely optimistic that their response will be positive.”
ACHA is a not-for-profit housing body and its Putting Tenants First plans give tenants reassurances on guaranteed affordable rents, protected rights and a major multi-million pound investment programme including upgrades and service improvements. The plans will give tenants a far greater say than ever before in the management of their homes and housing services. Tenants will be at the heart of the decision-making process, sitting on the management committee and also on the four area committees.
Funds made available through transfer will enable the upgrading of existing homes and allow the building of new houses to meet the high level of demand across Argyll and Bute. In the event of transfer the Scottish Executive will clear the Council’s existing housing debt of around £48 million, which will not be passed on to ACHA. In addition the Scottish Executive is expected to contribute over £41million towards ACHA’s commitments as well as an additional regeneration package of between £10-£15million for housing in Argyll and Bute. This money will be used, with tenants’ rents, to deliver the substantial improvements housing in Argyll and Bute requires.
Due to the existing loan debts and strict borrowing requirements, the Council is unable to invest the minimum of £169 million that previous studies have indicated is required to upgrade and maintain tenants’ homes over the next 30 years. Currently 40 pence in every £1 of Council rents received goes towards its housing loan repayments. However, by far the lion’s share of tenants’ rent paid to ACHA following transfer would be spent on the goals set out in the business plan such as upgrading homes and running housing services.
Ends
Issued on behalf of Aygyll and Bute Council and Argyll Community Housing Association (ACHA) by TNC. For further media information, please contact Ken Newton (ken@tnc.uk.com), Managing Director, or Dan Hughes (dan@tnc.uk.com), Consultant, on 01698 420420, mobile 07951 579332.
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