Improving homes, improving lives
The CBI says opening up social housing to greater competition could lead to better quality homes for tenants and considerable savings for taxpayers, as well delivering other spin-off social and economic benefits.
At the launch of the CBI's latest report ‘Improving homes, improving lives: using competition for better social housing,’ the UK’s leading business group said that £1.5bn could be saved in England alone by allowing local councils and housing associations to choose the best provider to deliver services, whether they are from the private, voluntary or charity sectors.
The report features in-depth case studies of where the private sector is already providing high-quality social housing and marks out the benefits of their involvement, which include better property maintenance and related social and economic improvements such as higher GCSE pass rates. Pinnacle PSG is featured in one of the best practice case studies in the report.
In order to encourage greater private sector involvement in the provision of social housing, the CBI is calling on the Government to:
- Create a competitive market for social housing management services, with in-house providers competing against bidders from other sectors to deliver services
- Allow housing management contracts of at least ten years in order to attract investment from providers and enable economies of scale to be achieved
- Eliminate barriers to market entry such as higher VAT rates for private providers
- Use best practice case studies to show commissioners how to apply TUPE correctly to ensure staff can transfer smoothly from the public to private sectors
- Design contracts that can track the impact housing providers make on other parts of the public sector, such as contributing to better education or safer communities, and use an outcomes-based system to reward good results
To read the full report, click on this link Improving homes, improving lives