Issue - meetings

Report of the Corporate Director of Adults, Housing and Health. To be presented by the Cabinet Member for Housing.

DECLARATIONS OF INTEREST MADE FOR THIS ITEM:

None

RESOLVED:

That Cabinet, after considering the information within the exempt appendices:

1.    Approved the procurement of a multi-service call-off contract to support the delivery of void (empty property) refurbishment, compliance and remediation works across the Council's housing portfolio, as outlined in Section 1, for an initial five-year term with options to extend for up to two additional one-year periods (5+1+1).

2.    Noted that further Cabinet reports would be presented following completion of the procurement process, seeking approval to award the contracts. These reports would set out the outcome of the procurement, recommended contractors, contract values, affordability within approved budgets, and any associated financial implications for the Housing Revenue Account and General Fund.

Reasons for the decision

The Council continued to experience demand for void refurbishment, compliance and remediation works across a housing portfolio that included General Needs, Sheltered Housing, Temporary Accommodation, Hostels, Lodges, Acquisitions and Private Sector Leased properties managed by partner organisations. Properties that remained empty were unable to generate rental income and could incur additional costs relating to security, utilities, council tax and deterioration of the asset.

Delays in returning properties to occupation placed additional pressure on homelessness and Temporary Accommodation services by reducing the availability of housing stock and increasing the need for alternative accommodation arrangements. Given the range of property types, varying property conditions and differing service requirements, the Council required a flexible delivery model capable of responding to changes in demand and supporting the timely re-letting of properties.

The existing delivery model consisted of a combination of in-house resources and multiple contractor arrangements managed across different service areas. This resulted in separate commissioning arrangements, variations in performance management, differing specifications and pricing structures, and limited oversight of overall demand. A single multi-service contract was intended to provide additional capacity, improve coordination, standardise delivery and reporting arrangements, strengthen commercial oversight and reduce void turnaround times.

The anticipated scale and variability of demand across the housing portfolio indicated the need for a coordinated approach. The proposed procurement would establish a multi-provider call-off contract arrangement, enabling the Council to access additional capacity for void refurbishment, compliance and remediation works as required. No minimum value or volume of work would be guaranteed, and works would be commissioned only in response to operational requirements and within approved budgets. The arrangement was intended to provide flexibility, support value for money and assist in reducing rental income loss by returning properties to occupation more quickly.

Alternative options considered

Maintaining the existing arrangements

This option was not pursued. Retaining the existing delivery model would have continued the use of separate commissioning and contractor arrangements across housing services. This would have maintained pressure on in-house resources and limited the Council's ability to respond consistently to variations in demand.

Longer void periods could have reduced the availability of housing stock, increased costs associated with managing empty properties, reduced rental income to the Housing Revenue Account and General Fund, and resulted in higher repair costs where property conditions  ...  view the full decision text for item 11

The Cabinet Member for Housing introduced the report.

It was stressed that every empty home in Haringey represented housing stock that was not available for occupation. The shortage of affordable housing, combined with a limited supply of council homes and wider pressures in the housing market, contributed to increasing levels of housing need, homelessness and demand for temporary accommodation. Given the scale of demand, it was important that empty homes were returned to occupation as quickly as possible.

It was explained that the proposal was intended to increase capacity, flexibility and coordination within the existing repairs service, helping to reduce the length of time Council properties remained vacant.

With a further 1,700 council homes planned for delivery over the following five years, a continued high level of tenancy turnover was anticipated, as new homes were often allocated to residents living in temporary accommodation or existing Council housing.

The use of external contractors alongside the Council’s in-house service provided additional flexibility and enabled the Council to manage periods of increased demand, including those associated with the completion of new housing developments.

The Council stated its intention to reduce the number of empty homes and make effective use of available housing stock as part of its response to housing need within the borough.

Following questions from Councillors Beckford, Carlin and Cawley-Harrison, the following information was shared:

• It was explained by the Cabinet Member that the resolution of the voids was a building block to solve other issues, including potentially increasing the number of Council homes in the borough. It was stressed that the proposed contract would undertake minor repairs, as well as larger repairs, to bring housing back into viability.
  
  
• Questions were raised regarding some of the quality of repairs of voids, and it was asked whether the Council would ensure that repairs would be robustly checked for quality. The Cabinet Member stressed that there was a need to create a holistic approach across housing in the Council which would seek to improve quality. It was explained by officers that the Council had a strict regime and detailed surveyance of properties.
  
  
• It was explained that there was a wide work stream reviewing strategic voids. It was noted that there had been areas of improvement which had been identified, and that there had been a new manager of strategic voids who would be undertaking work to improve on this.
  
  
• It was asked what the capacity in the repairs service would be to monitor these contracts. It was stressed by the Cabinet Member that there had been discussions with the service and Unions to ensure that the work was manageable. It was explained that the repairs service managers would have resource for the different areas of business, which would allow them to place orders directly and task surveys and quality assurers to these voids. It was additionally noted that officers would hold regular contractor meetings to manage the process.

RESOLVED:

That Cabinet, after considering the information within the exempt appendices:

1.    Approved the procurement  ...  view the full minutes text for item 11