Corporation backs call for 'less intrusive' regulation of best RSLs

It may also launch a league table for the sector, following an independent review of its regulatory function published on Tuesday.

The review, by consultant Indepen, recommended that the corporation split associations into three groups: those that just have to fill in basic forms and need no extra regulation; those that require minimal regulation with inquiries when necessary; and those that need tailored regulation programmes.

It also urged the corporation to publish a table so associations can be compared and to put greater emphasis on continual improvement.

A corporation spokeswoman said it was taking the findings "very, very seriously". Its official response stated: "For those who perform well, our regulation will be less intrusive."

However the corporation, which commissioned the review after it overhauled its regulatory code in April 2002, would not comment on whether it plans to adopt the recommendations in their exact form.

Brendan Sarsfield, chief executive of 5500-home association New Islington & Hackney, said: "People will be pleased. Regulation costs time and money. Anything that lets efficient organisations put more money into the front line is good."

Many black and minority-ethnic housing associations have had to delay vital financial forecasts because they are waiting for the Housing Corporation to confirm how it will offset the effects of rent restructuring.

The corporation's regulatory regime requires them to complete the forecasts by the end of April.

The corporation said the rent announcement was imminent.