Agenda item

[Report of the Director for  Housing  and Growth. To be introduced by the Cabinet Member for Housing and  Estate Renewal.]

Report on making discretionary Home Loss Payments to secure tenants of Tangmere who are required to move following the discovery of structural problems with the block and the anticipated consequent withdrawal of gas supply.

The Cabinet Member for Housing and Estate Renewal introduced the report, which sought approval to making Discretionary Home Loss payments to secure tenants of Tangemere Block in Broadwater Farm who have moved since 26^th of June 2018.

The Cabinet Member referred to the 26 June Cabinet decision on rehousing Tangmere residents before the end of October when the gas supply by Cadent was due to cease following structural issues with the block. However, it was important to note that the June Cabinet meeting did not make any decision on the future of Tangmere, as it wanted to seek the opinions of Tangmere residents before making this decision in November.

The Cabinet Member emphasised that moving home was stressful and particularly where someone was losing their home permanently. She explained that for this reason, the law set out that these secure tenants were eligible for Statutory Home Loss payments where their home was to be demolished. However, the law did not recognise the similar disruption caused when a property was being repaired/strengthened and where the households may be away from their original home for up to a year.

Taking into consideration the discussion with residents, the urgency of the Tangmere moves to allow residents to be re-housed by the 31^st of October, together with the potential length of time tenants would be away from their home if the decision on structural repair was taken, Tangmere was felt to be an exceptional case. The report proposed to further recognise this by offering Discretionary Home Loss payments to all Tangmere’s secure tenants regardless of the eventual decision around Tangmere’s future.

This would be a single payment that would be paid and there would be no subsequent payment, should a decision be made to demolish the block.

The Cabinet Member expressed that the section 105 consultation on the future of Tangmere block and Northolt block was going well and there were good response levels given that residents were also moving at the same time. The consultation period ended on the 10^th of October and remaining residents at Tangmere and Northolt Block that had yet to respond to the consultation were encouraged to do so.

In response to questions from Cllr Cawley- Harrison, the following information was noted.

·         Going forward the Cabinet Member could examine the potential for making home loss payments for residents living in temporary accommodation for a prolonged period to allow for required structural works on properties. However, it was further clarified that where residents were living in long term temporary accommodation in a block or property that required structural works and were then subsequently moved to allow for these works, they would not automatically be eligible for a home loss payment. The Council and Homes for Haringey would likely need to assess these circumstances and consider how long the resident had been in temporary accommodation. This situation would not apply to Tangmere.

·         The consultation closed on the 10^th of October and it was not appropriate, at this stage, to speculate on the outcome of the decision on Tangmere block and Northolt block. The outcome of the consultation and decision on these two blocks would be considered at Cabinet in November.

·          It was noted that 70 residents in Tangmere had so far accepted housing offers with 42 signing tenancy agreements.

RESOLVED

1.    To note the cost of payments as set out in 6.8 of the attached report.

2.    To note the payment conditions set out in 6.10 of the attached report.

3.    To approve the payment of Discretionary Home Loss Payments to secure tenants of Tangmere who have moved since 26 June 2018.

4.    To approve as required by Section 1 – Financial Regulations paragraph 5.23 (b) within the Housing Revenue Account virement of £554K from the Depreciation Dwellings budget to a new budget Discretionary Home Loss Payments.

Reasons for decision

Recommendation 3.3 is made because;

a)    Should a decision be made to demolish Tangmere, secure tenants will be eligible for a statutory Home Loss payment.

b)    Should a decision be made to strengthen the block, there would be no statutory requirement to make any payments to Tangmere secure tenants. However, there is still considerable inconvenience for secure tenants who are having to move at short notice, and would be unable to return to their home for at least a year even if the block is strengthened.

c)    Extending the Home Loss payments beyond the statutory requirement will also help achieve the operational requirement to vacate the block before the end of October 2018, as the discretionary payments will be made once residents have moved out of Tangmere.

Alternative options considered

Home Loss payments restricted to where there is a statutory duty to pay these.

This option was rejected, as should a decision be made to strengthen the block, this would not offer any compensation payments to tenants who would be required to be away from their home for at least a year.

Further, it would not help to meet the urgent requirement to vacate the block before the gas supply is shut off at the end of October 2018.