Peabody left to struggle alone

The government has slammed the door on a plea for help from the beleaguered Peabody Trust in meeting the decent homes standard.

The Housing Corporation and ODPM both issued statements after it emerged last week that the trust was considering selling up to 1100 of its 19,500 homes in order to raise the £212m it needs to meet the 2010 target. Peabody called it a “sad irony” that the ODPM was unable to provide financial assistance.

In an open letter setting out its position on decent homes, the corporation’s director of London region, Steve Douglas, said: “All associations need to deal with non-decent homes as part of their asset management strategy. Generally, associations have a good reputation for stock investment and our current assessment is that over 80% of associations in London are already on course to fully achieve the decent homes standard by 2010 without the need for public subsidy or major asset sales.”

The letter implicitly ruled out releasing any additional resources to help associations bring their homes up to the decency standard.

The ODPM adopted a similar hardline stance. A spokeswoman said: “Changes in the circumstances of an RSL does not exempt them from providing homes of a decent standard.

“The Housing Corporation expects RSLs to monitor their progress towards meeting the decent homes standard. Where any RSL is unable to comply with the regulatory code it is for them to discuss their position with the Housing Corporation.

“Peabody, for example, should submit a business plan every year to the Housing Corporation. If the trust feels there is a financial problem, they should discuss this with the Housing Corporation.”

A Peabody spokeswoman declined to comment.