1. NIHE: Opportunities and Challenges of Reform Donald Hoodless Chairman Northern Ireland Housing Executive

2. Change inevitable with devolution
This leads to local political involvement
Change is Necessary
Insufficient public finance, opportunity to use private finance
Public bodies limited in what they can do
Need organisations to act as social entrepreneurs
Building – range of tenures
Developing community projects
Training
Employment

3. NIHE’s Reaction Housing Executive has supported the case for change
We welcome the Minister’s intent to secure the future for social housing
The separation of landlord and non-landlord roles is a logical step
Landlord role giving access to private money provides scope for greater innovation
This will benefit the Exchequer and tenants

4. Shaping the debate
The Housing Executive will be a key part of this debate.
We know housing and we need to use our knowledge to establish options through inputting our ideas e.g.
What sort of landlord? How many? How should they be arranged?
What might the regional body look like? How will homelessness services be delivered? How will the assessment of need be done?

5. We have already…
Developed an interim structure that separates landlord and non-landlord services
Split the organisation accounts into landlord and non landlord
Within landlord, introduced “trading accounts” at Area level
Reflected this split in our corporate plan
And soon we will see separate plans with bespoke vision, values objectives and KPIs for each strand

6. Now moving to split staff into
those providing Landlord Services
those providing Regional Services
Those providing services to both the Landlord & Region
A generalist Housing Executive not split
in this way lacks
Focus on individual services
the landlord
Supporting People for example

7. Landlord Supporting People needs better IT
better reporting – tenancy turnover
- why & where tenants go
- maintenance
Supporting People
what services are there for vulnerable people
what are the gaps

8. What happens to NIHE? Proposal is to split in two
Non-landlord functions to new regional body
this should be NDPB with Board appointed on
basis of skills/competencies

9. Regional Body Easy to set up
Some difficult areas – homelessness
Key issue is relationship with its Sponsoring Department
Many of its functions would be carried out by local authorities in GB
Therefore mixed roles –
a strategic agency of government
managing operational services

10. Rent Panel Its role needs to be clear
What is appropriate rent level for social housing tenants
What is appropriate annual increase
Should it be part of an independent regulator

11. Regulation Two issues to debate
Does regulation by Department, turn Housing Association into public bodies? Should it be at Arms Length?
How regulation operates in practice
the current arrangements too detailed and interventionist
should the focus be on finance and governance

12. Landlords Role delivered through a new social enterprise model
Model suggested is a Housing Association but other not for profit structures could be considered
Key question on number of new landlords is whether or not they should serve the community as a whole or only one group – that determines the number
If a decision is taken to divide the landlord, maintaining a Non-Sectarian focus would be a critical consideration

13. New Landlord Structures Why would tenants want to change landlord?
Key issues
Number and type of new landlords
Dealing with the existing Housing Executive debt
Paying for the assets
Working assumption is that the new landlords are created from within NIHE but
What role for stock transfer?
Should the current 2,500 unit programme be increased?
Why would tenants want to change landlord?

14. Key to new landlords role is close working with their tenants on a
housing plus agenda

15. Challenges Maintaining Principles
Preserving the values of Housing Executive – fairness, equality, objectives and transparency
Ensuring full engagement with staff and stakeholders
Communication
Changing Cultures
at Housing Executive – public body to a social business
at Housing Associations – social entrepreneurs?
at Department – what does being strategic mean in practice; hands-off or controlling
gaining political “buy in”

16. What does 2015 look like? We should aim to have by 2015
Agreed functions / structures for regional body, and relationship with DSD, and any legislative requirements sorted
Have clarity over regulatory function
Have detailed proposals agreed on rent panel, and legislation drafted and progressing
Have agreed number and type of landlords, and their territories
Agreement needs to be at NI Executive level
Then it can happen