Professor Steve Wilcox, of the University of York, who modelled restructuring for the government, told Housing Today: "I think that there are legitimate concerns that rent restructuring will lead to divergence rather than convergence.
"There is a problem of vested interest, and we risk going from one form of chaos to another."
Wilcox explained that, as things stand, RSLs had an incentive to maximise their rents. This was because compensation payments for the inevitable fall in revenue once increases are capped are unlikely for most associations.
But local authorities would be keen to ensure their rents were as low as possible, in order to pick up higher subsidies from the DTLR.
Mark Lupton, policy analyst at the Chartered Institute of Housing, expressed sympathy with Wilcox's views. But he added that it was important to look at the bigger picture.
"The whole rationale behind rent restructuring was to reform housing benefit. It would be very disappointing if it all turned into a dog's dinner and reform didn't happen," said Lupton.
Danny Friedman, head of research at the National Housing Federation, painted a brighter picture.
"Housing associations are getting their act together and things are proceeding according to plan," he told Housing Today.
"The allegations that it's in chaos don't really seem to be justified."
The federation was concerned about the potential difficulties facing black and minority ethnic associations under restructuring as they face a "difficult time" due to their traditionally higher rents, he added.
Last year the Housing Corporation issued new guidance explaining that RSLs could breach the cap where a strong business case could be made (Housing Today, 20 December).
Source
Housing Today
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