What is the future of the social rented sector?
Sarah Webb, Deputy Chief Executive, CIH
Andrew Scott, Branch Head Social Housing Division, Scottish Executive
Chair: David Butler, Chief Executive, CIH
Sarah told the delegates that the housing review in England came about because the Minster Ruth Kelly sees housing as a vital element in facing up to the future economic and social challenges. John Hills was asked to conduct the review with a view to looking at how housing can be central to forging the kinds of communities and society we want.
During the review he looked at the key issues of the provision of affordable housing of good quality that is in a mix of communities and which promotes social mobility. He found that the sector is good on affordable but not so much on the other three. He does not think social housing is in crisis. Sarah pointed out that it has transformed people's lives, but we do need to do more to improve quality and to be more focused on our customers. We must consider more about how we play a role as 'place makers' and in doing so develop a more flexible approach to tenure. The Hills review is the start of a discussion about finding the solutions for the future.
Before looking at the future, Gillian said we should look back and remember the successes of social housing and the major role it has played in providing good quality housing for people who may not have been able to access it otherwise. It has served us well. However, more recently it has started becoming more detached from mainstream housing provision. The sector now houses a disproportionately high number of poor people and by 2020 nearly everyone housed in the sector could be the poorest and most vulnerable.
The need to debate the future of the sector should be welcomed and not seen as a threat. It is time that we asked what our housing strategy for the future should be about. She felt that part of this was ensuring that we can house some less well off households in decent areas and provide them with an element of choice on location and tenure. We need to consider where social landlords fit into this, widening the products they can offer. This in turns require consideration of what we need to do to enable the remodelling of the activities of social landlords, what skills are needed and to have someone to champion change. Gillian said we should look to the CIH to enable this process.
Andrew acknowledged that there is huge interest in the future of the sector but that future is seen as being an uncertain one, particularly looking at the Hills review and the CIH report.
The future debate must also take account of the spending review whilst trying to improve existing stock and provide new stock. We must also be aware of the drive for efficiencies and public service reform. Getting public value for spend is important. The Scottish Executive Ministers have a relationship with RSLs through funding them to provide high quality housing at a lower cost to tenants than the private sector. But getting the best possible value for that subsidy into the future is important. This may mean looking at new ways of providing subsidy and encourage good value and also innovation in the sector.
The Scottish Executive wants to put the sector at the forefront of adapting to change and looking at how to meet the needs and aspirations of people. This requires looking at enabling choices through supply that provide housing on different terms, prices and tenures.
The Scottish Executive's review that is due to report in June 2007 is not about over prescribing what is required but is about allowing providers to shape their own future. To do this the sector needs to acknowledge that new business models may be required as well as new freedom for the sector. The Scottish Executive is prepared to look at removing barriers to enable changes in the future but the sector must also change.