industry news
Government promises £172m to breathe new life into rundown estates
C
ommunities Secretary Sajid Javid has secured over £170m to invest in estate regeneration schemes with a focus on
improving housing and neighbourhoods, as well as creating jobs for residents. As part of a new blueprint for regenerating
deprived housing estates, an additional £32m of new funding is now available, along with £140m from the estate regeneration fund to build places that work for everyone. It means that councils, housing associations
and developers can now bid for a share of the £172m pot to transform local neighbourhoods and deliver high-quality housing. They will also get advice on transforming
areas from a new ‘national strategy’ to address common challenges that can stop projects, such as resident protection concerns or finding the necessary finance.
Regeneration
Estate regeneration has the potential to deliver thousands of additional homes over the next 10 to 15 years. And provide well-designed public spaces and a better quality of life in areas often characterised by poor quality housing and social deprivation. The new national strategy was developed by
an independent advisory panel, chaired by Lord Heseltine and the Housing and Planning Minister Gavin Barwell MP. Communities Secretary, Sajid Javid, said:
“Rundown estates offer huge potential to become new thriving communities providing homes, jobs and opportunities and places that work for everyone. “That’s why we’re determined to ensure the
success of regeneration projects through the national strategy to transform the lives of thousands of people by delivering better homes in better estates.” Lord Heseltine said: “The national strategy
puts residents at the heart of reshaping their estates, working with local authorities and developers. Estate regeneration must be locally-led and this strategy sets out blueprints for success, to help guide the progress and provide aspiration for delivering tangible plans.” Housing and planning minister Gavin
Barwell said: “The funding we are providing will help kick-start a renaissance for those estates that face tough challenges and have often been overlooked.
Strategy
The strategy was devised after discussions with more than 100 areas across England. Through a combination of practical advice and guidance, the new national strategy will help local partners to improve and speed up the progress of estate regeneration.
The strategy has guidance that covers: • Resident engagement and protection – this includes a model residents’ charter to help ensure a better standard of resident protection
• Good practice guide – steering schemes through all the key stages including the range of finance options available
• Alternative approaches to regeneration – providing advice on community led housing development
• Case studies – illustrating and highlighting examples of design and quality, along with community engagement.
Leader of Wandsworth Council, Cllr Ravi
Govindia said: “This guidance, and the funding that Government has made available, comes as a major boost to getting schemes off the ground in authorities all over the country, not just in London and the South East.” He added: “It is clear that local authorities
have a significant role to play to ensure that estate regeneration meets local housing need and delivering local growth – and in engaging residents and communities in decisions about their area.”
Planning
Chief executive of The Housing & Finance Institute, Natalie Elphicke OBE said: “I very much welcome the Estate Regeneration Strategy – this shows that the most important ingredients for success are agreeing a clear plan at the outset, engaging residents throughout a regeneration scheme, and developing a strong and positive partnership with private sector investors. Together with an effective deployment of public land and finance, high quality long term investment from the private sector can be attracted into estate regeneration.” Chief executive of Hyde Housing Association,
Elaine Bailey said: “This important initiative provides essential help and support to everyone participating in estate regeneration schemes. It is so important that residents are engaged and protected throughout – and it is really good to see the government set out its expectations on this issue.” The strategy will evolve and develop as new
guidance and tools become available. The £32m of additional grant funding
includes £30m for enabling work such as feasibility studies, viability assessments, masterplanning, community engagement and partner or procurement advice, and £2m for local authority capacity building to support estate regeneration work. The £140m loan fund was initially
announced in January, and is designed to cover costs such as land assembly, leaseholder buy- outs, re-housing costs, demolition, and preparatory construction works.
Cost of housing benefit fraud hits £1bn
Fraudulently claimed housing benefit topped the £1bn mark last year for the first time according to official Government figures. This will add to pressure on ministers to make savings in the ever-growing welfare budget. The Department for Work and Pensions has
published data showing the worrying level of fraud, which now represents 4.1 per cent of housing benefit payments, up from 2.4 per cent in the previous year. Failure to declare earnings and employment
was the main cause of fraud and claimant error overpayments, accounting for £658m of overpayments.
20 | HMM January 2017 |
www.housingmmonline.co.uk
“Official error caused £70m in overpayments while claimant errors were worth £380m”
Overpayments in total accounted for six per
cent of all housing benefit payments, up from 5.3 per cent in 2014/15. Claimant error was the most recorded reason for overpayment after fraud, representing 1.6 per cent of housing benefit payments, or £380m. Official error caused £70m in overpayments, 0.3 per cent of the total housing benefit bill and the lowest recorded rate.
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