This will be particularly significant in the light of the Barker report's expected finding that social housebuilding levels are woefully low. Will funding channelled solely through the corporation still be seen as the most effective way of meeting the crisis in housing supply? The corporation is defiant on the implications for its long-term future but although it claims a merger with English Partnerships is as distant as ever, EP will remain the quango du jour in 2004 and we are likely to see it taking a larger role in funding and developing affordable housing, especially in the four South-eastern growth areas.
In April, all eyes will be on the publication of Places for People's independent governance review. England's largest RSL was placed under supervision last November after a bitter and protracted boardroom dispute, and whether this is lifted before the end of 2004 will hinge on the review's findings. Exoneration in print, some suggest, could mean an escape from supervision before the summer. Board appointee Julia Middleton, chief executive of leadership organisation Common Purpose, will lead the search to appoint two new members, also by next April.
Whatever happens at Places for People will have repercussions for the whole sector. Corporate governance unexpectedly became one of the most contested issues of 2003, with housing associations Unity and Shaftesbury also placed under supervision for their failings. The pressure does not look like letting up in 2004. The corporation's swift action on Places for People was seen as evidence of its new chair Peter Dixon flexing his muscles, so expect more high-profile cases in 2004 as RSLs playing the risky development game are tripped up either by the corporation, Audit Commission, or perhaps – as happened with Places for People – their increasingly vocal boards.
But the Places for People and corporation reports are far from the only bedtime reading governance fans will enjoy this year. This month, the Audit Commission will circulate its study of RSL management efficiency within Whitehall; in the spring, Peter Gershon at the Cabinet Office is scheduled to complete his study into public sector efficiencies – RSL management costs and use of Housing Corporation grants are likely to be singled out as areas of concern. In December there's the Rowntree-sponsored report on establishing a code of governance for the public sector.
Hull
Government inspectors will remain in struggling Hull council at least until September, when the Humberside pathfinder's strategy is due out. It could finally start turning things round for the city, under supervision because of its poor corporate governance inspection report last November (HT 14 November 2003, page 10).
Hull has yet to decide how to deal with the acute low demand that dogs the city. Labour leader Colin Inglis is determined to keep the 32,000 homes in council ownership despite the £118m needed to reach the decent homes standard. The council is yet to begin its stock options appraisal, however.
Birmingham
Birmingham's bold gamble of shifting money earmarked for the decent homes standard towards clearing its huge repairs backlog is bound to attract close scrutiny.
The council allocated almost £24m to repairs and maintenance last year following a damning Audit Commission inspection report in October. By the end of March this year – the council's self-imposed target for completing a backlog of 45,000 jobs – we should know how successful the strategy has been.
Failure could lead to further shake-ups at Birmingham's housing department. Experienced figures such as David Hucker and Michael Irvine were brought in last year on short-term contracts to help turn things around; whether they will stay remains to be seen.
Source
Housing Today
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