Tenants are on a winner but GHA must do better

The Scottish Government housing regulator has published its first report on the performance of Glasgow Housing Association. Good and bad ...what's in report

POSITIVE GHA has already met or is meeting the promises made to tenants at the time of the transfer ballot. Most tenants are satisfied with GHA as a landlord - many think it is a caring and listening landlord. It has got better at helping homeless people. GHA has put a significant level of investment into a large number of tenants' homes. GHA's business plan is well constructed and it has good budgeting and accounting systems. NEGATIVE GHA is poor at handing customer complaints. It doesn't have safety certificates for all its homes and so doesn't meet gas safety or asbestos management standards. GHA is slow to understand homeowners' needs and did not communicate or handle complaints and queries well. No SST to date, despite GHA attempts to make it happen. No clear policy or timescale for its delivery. Scottish Executive and Glasgow City Council also criticised. No clear strategy taking its business beyond hitting transfer commitments. No strong focus on value for money REPORT'S KEY RECOMMENDATIONS GHA should initiate and lead a fundamental review of its purpose and business strategy, which includes the future of SST. Must act more quickly on repairs and meet legal requirements. Must do better at delivering value for money Must do better in collecting rent and letting empty properties. Must improve services for owners Install better overall management system

It was awarded an overall C or Fair grade by Communities Scotland, which investigated every aspect of the organisation, including whether it is delivering on promises made to tenants at the time of the ballot on transferring from Glasgow City Council control to the GHA.

GHA has a turnover of around £234million, with nearly £191m coming from tenants' rent, and owns just under a quarter of all houses in Glasgow - and 60% of the city's social rented stock.

The 86-page report praised GHA for looking after its tenants, saying thousands now had better homes and many had become involved in decisions affecting their communities.

But it criticised the organisation on some issues, including how it treats the 26,000 owner-occupiers - people who own their home in a GHA factored block.

Many have been landed with huge bills for improvement work they did not want and are left struggling to pay.

The overcharging of VAT on a massive overcladding project - reported by the Evening Times in January - was singled out for criticism, as were general standards of management in the organisation.

GHA also came under fire for not meeting all statutory and regulatory requirements on gas safety and managing asbestos, and for the lack of progress made on Second Stage Transfer - community ownership. This was promised when GHA was launched in 2003.

A number of key recommendations were made by the authors of the report, including a fundamental review of GHA's purpose.

The assessors' highest possible rating is A, the lowest D, and politicians and housing experts said the GHA's C grade showed it is well below par.

But the association welcomed the report, saying it recognised delivery on promises made to tenants. It also promised to tackle the areas where it had not done well.

Karen Watt, director of regulation and inspection at Communities Scotland, said: "Our inspectors found GHA has met most of the promises it made to tenants at the time of the transfer ballot. It also has a number of areas - some significant - where it must improve."

Glasgow MSP Sandra White said the report reflected badly on GHA.

She added: "The report states no proper plan or strategy has been put into place for delivering Second Stage Transfer. Four years after GHA's inception there is no sign of this being carried out, which is a disgrace.

"It is time politicians discussed this openly, which is why I have called for a debate in Holyrood next week.

"Poor is the only rating below what GHA was given. So GHA's rating is not good enough."

In the last two years, some smaller housing associations in and around Glasgow has received "good" or "excellent" report cards.

Joe Williamson, of the Glasgow and West of Scotland Forum of Housing Associations said: "GHA is an organisation of unprecedented size and resources, but it dispels the myth that big is beautiful. This report strengthens our view that community ownership must be delivered."

Since its inception, GHA, which manages around 80,000 homes, has been steeped in controversy.

Former boss Michael Lennon, who stepped down in February, was criticised for doing little to progress SST. He left his £200,000 a year post to return to Australia.

Taroub Zahran, his successor, said: "This report is validation we are delivering for tenants.

"Before GHA was formed we regularly heard about damp, cold city houses - those days are gone. Now we provide dry, warm homes and help tenants get a better quality of life.

"Thanks to the report we also have a toolkit for improvement." We're working on improvements

SANDRA FORSYTHE, tenant chairwoman of Glasgow Housing Association, responds to Communities Scotland's report card on how the GHA is shaping up. The GHA board takes its responsibilities seriously, so we welcome the report and its thoroughness in exploring the issues GHA has faced over the last four years.

Significant changes have been made as a result of the inspection process.

The association is setting up a team of GHA board members, staff and tenant leaders to address all the report's recommendations; tackle the shortcomings identified and help the association to further develop the services it provides for tenants.

The inspectors acknowledge GHA has shown a strong willingness to improve and the association is very confident its chief executive and senior management team - working with the tenant-led committees of Local Housing Organisations - are able and committed to making the recommended improvements.

The inspectors also recognise the unique nature of GHA - that it is a young organisation, set up to deliver large and complex tasks, and that it has had to work within a new and difficult operating model, often amid conflicting expectations.

The report identifies tenant participation as a key strength for the association and also notes tenant satisfaction levels are increasing.

It also acknowledges GHA's considerable achievements in delivering key promises made to tenants at the ballot for stock transfer on massive improvements to homes and on repairs; rents and tenancy guarantees; neighbour relations and concierge services; tenant consultation and job creation.

The inspectors' comments on Second Stage Transfer are particularly supportive and the association is encouraged by their statement that "a clear future direction" will be fundamental to improving GHA.

We agree we must take responsibility for leading that change and welcome the recommendation others must allow us to do this. The GHA Board believes it is essential tenants are in the driving seat in forming that strategy and developing options and priorities. We are already working with Local Housing Organisations on this.