12 June 2013 Welfare Reform and the Social Housing Charter

Scale of the welfare reform challenge Glasgow citizens stand to lose around £269m pa Biggest losses from - incapacity benefit changes - tax credits – 1% cap on benefit uprating Worst affected city for changes to incapacity benefit, under occupation deduction and in the 5 worst hit by the other reforms such as DLA to PIP Under occupation – impact on customers communities and business: around 7,000 GHA tenants affected

Universal credit – challenges 18,789 GHA tenants affected by the removal of direct payments 10,000 GHA tenants estimated to be without bank accounts Only 1/3 of tenants are estimated to have internet access at home Tenants face budgeting challenges because of payment frequency and payments in arrears Payment to one individual in a household presents challenges and could contribute to financial abuse

Overall approach Understanding our tenants, who is most affected and target information, advice and support Policy solutions: new Allocations Policy priority for under occupation; incentives to move; affordability discussions with new tenants; mutual exchange matching team; exploring ways to increase number of smaller homes and remodel homes; Case by case approach to arrears; Improved rent collection; Specialist teams of WBAs, money and fuel advisers; and Reviewing furniture service charging policy.

Solution - Getting the message across Customer communication strategy including key messages: Talk to your landlord Maximise benefit entitlement Always seek advice Tenant seminars / events Targeted engagement with tenants likely to affected by the reforms “Customer conversations”

Preparing tenants - Advice and information Detailed welfare benefits advice Fuel & money advice Banking products Budgeting support Help to set up best payment option Welfare reform hotline

What else are we doing? Liaison with GCC to develop city wide strategic response Think Yes and seek solutions for customers Increased staff resources New operating model Developing tailored training for housing staff Influencing Westminster and DWP – exemptions for foster carers etc; implementation timescale Talking to staff who are affected

Other Potential Supports and solutions Digital inclusion programme: 2 feasibility studies – tenants can make savings by using on line transactions – But 2/3 of tenants not connected Housing Options: Helping tenants choose the most appropriate, affordable tenure. Advice and support identified at pre-tenancy stages for new customers Innovative Assets: potential of room dividing screens at design stage to enable low cost re-designation of house size. Overall impact will however be low due to the timescales for delivering our overall new build programme. Potential to purchase smaller affordable properties on open market, providing more options to move Incentives: For key behaviours on rent payment such as opening a bank account or paying by direct debit; move to smaller homes, free up larger home

Social Housing Charter Performance and Business Assurance framework aligned to charter outcomes Scrutiny approach to involving tenants Tenant influence at a number of levels: Governance – Board and Area Committee Strategic – Chairs’ Forum and RTO Federation Local – LHO Committees and RTOs Scrutiny Panel – sits out with governance structures to ensure robust and independent scrutiny annual report to the GHA Board and Wheatley Board as part of ARC submission to the Regulator clear agreed remit, roles and responsibilities, skills and capacity

Links to Charter outcomes Activities around the welfare reforms are clearly linked to Charter outcomes and how we work with tenants to demonstrate our performance against the outcomes: Access to social housing Tenancy sustainment Value for money Rent and Service Charges Equalities Participation Communications….. Impacts of welfare reforms create more opportunities for tenants to engage and influence. Not just in relation to the reforms but across the wider outcomes As impacts hit there will be more formal and informal scrutiny around value for rents and service charges