Daily Updates: Wednesday 12 March 2008
 
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Alan Ferguson, Gordon Laurie and Paul Tennant listening intently to Jo Goodgame
Keynote 4 ­ Firm Foundations: The end of community based housing associations?

Speaker(s):
Jo Goodgame, Chief Executive, Abertay Housing Association
Gordon Laurie, Director, Sanctuary Scotland Housing Association
Paul Tennant, Chief Executive, Orbit Group

Jo was clear in her message, announcing that the rumours of the demise of small housing associations were premature. She also reminded us that we’d been in a similar place before quite a few years ago, something that Gordon echoed in his speech and he concurred it is not the end of smaller housing associations either. The sector has cried wolf before and survived.

Jo noted that there over 100 RSLs with less than 1,000 houses. Does size matter? She pointed out that in terms of management costs no it does not, Communities Scotland figures clearly show there is little difference in costs against size.

But roles will change and RSLs will need to strive to be smarter in the future and share information and knowledge, such as Abertays’s joint maintenance service with Sertive RSL saving about £100k. She said we have already seen a lot of speed dating and some romancing but not many engagements as yet, but this may now change.

Gordon introduced himself as Director of one of the larger associations - perhaps what many community based RSLs consider to be a predator. He did believe that larger RSLs would find it easier to take advantage of much of Firm Foundations but the debate is not about which type of RSL is best. Such a date is dangerous like Animal Farm – 4 legs good, 2 legs bad. But it will in many ways be the survival of the fittest, not the largest or the smallest and he citied dinosaurs as an example.

Gordon believes that that Firm Foundations will result in 10 Housing Market Areas and therefore 10 Lead Developers. This will mean many of the larger RSLs will no longer be developing associations.
Paul gave an insight into England. And comparing with Scotland he saw the Scottish housing scene exhibited more togetherness and more partnerships than England. However, he did say that Scotland is just about to possibly embark on some the same kind of change processes that England has been through. The key to move on is to respond constructively to the issues and seek to be more innovative. Greater partnership working is required. He said the sector has a duty to respond in this way because we have a hosing crisis and thousands of people in housing need.

All agreed the future is for smaller housing associations is not in doubt but a range of different partnership arrangements are inevitable and should not be feared.

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