Committee MP launches stinging attack on quango’s lacklustre regulatory role
The MP tipped to become chair of the influential Office of the Deputy Prime Minister’s select committee has pledged to hold a government inquiry into the future of the Housing Corporation.

In a stinging attack on the corporation, Andrew Bennett, MP for Denton and Reddish, said he was “unimpressed” by its role and accused it of “lacking vigour” as a regulator.

He told Housing Today that, should he take over as chair of the select committee, he would “persuade” the committee to launch an inquiry into the corporation – one of the biggest quangos in operation.

Bennett’s words cast fresh doubt over the corporation’s future, coming just two months after a white paper suggested its investment work be handed to regional assemblies.

“The Housing Corporation has not been an effective regulator and has allowed some housing associations to build up substantial assets,” Bennett said.

As a regulator, he said, it should be chasing these associations and getting them to spend their money building more affordable homes. “It has also failed to inspect the stock transfer companies with enough vigour,” he added.

Bennett was co-chair of the transport, local government and the regions committee, which was undertaking an inquiry into affordable housing. But its evidence sessions have been postponed in the run-up to the comprehensive spending review, prompting fears it has been mothballed to silence government critics.

The Housing Corporation expressed surprise at Bennett’s comments and said the remarks had “no foundation in fact”.