300,000 homes will have to go over 30 years if stock transfer is to be viable
Britain's biggest landlord will need to demolish a third of its homes if its transfer is to be viable, the government has been told.

Birmingham city council's bid to be on next year's transfer programme is based on the assumption that it will flatten at least 30,000 homes over the next 30 years, Housing Today can reveal.

Housing director Graham Farrant confirmed that the demolition of 30,000 homes was in the business plan that went to government. He also revealed that the proposal was made without extensive consultation with tenants - a move that has angered tenant campaigners.

But he added that the demolition of tower blocks was "quite a popular solution" among tenant representatives. He also said that tenants would "appreciate" the plan when the options for the stock and plans for replacement housing were set out.

Farrant explained that there had to be a lot of demolition because a high proportion of the city stock is high rise - it includes 300 tower blocks. If it was to keep those homes over the next 30 years it would have to carry out two expensive refurbishment projects.

The only way the stock could be shown to have a positive value, necessary for transfer, was to assume this level of demolition.

Farrant said that if the transfer went ahead the organisers would "balance the needs of the business plan with the wishes of the tenants".

He added that detailed stock surveys and tenant consultation would be carried before plans were put to a tenant ballot.

Farrant had earlier said the demolition assumptions made in the bid might need to be even higher if the city was to pay off high breakage costs for redeeming its debt early (Housing Today, 16 December).

The city is in discussion with the Housing Corporation and local housing associations about replacement homes.

Tenant Participation Advisory Service policy officer Paul Schofield said there was a danger that Birmingham's tenants would be presented with a "fait accompli".

He said: "If they have not consulted tenants on this when are they going to consult, and how many of the decisions will have already been made? Despite the rhetoric from DETR about tenant involvement in major decisions about transfer we see inadequate mechanisms to translate that into reality."

An announcement on whether Birmingham and the other bidding councils will be on next year's programme is expected later this month.

Source

Housing Today