17th December 2008

Council HousingBusiness Plan2008 - 2018

Draft for Cabinet

Acknowledgements Enfield Homes has made a significant and valuable contribution to the development of this document. Enfield Council appreciates the considerable time and effort made in providing the Council with constructive feedback on drafts of this plan.

Table of Contents Introduction ........................................................................................................ 3

Council Strategies .......................................................................................3 Enfield’s Council Housing .............................................................................4 Fit for Purpose Business Plans.......................................................................5

Assessing our main Housing Options ............................................................. 7 Housing Stock Options Appraisal ...................................................................7 Enfield Homes Strategy ...............................................................................8

Background to our Housing Plans ................................................................. 10 Place Shaping Strategy.............................................................................. 10 Local Area Agreement ............................................................................... 12 The Housing Strategy 2005-2010................................................................ 13 Delivering Housing Services: ...................................................................... 14 Maximising the use of Public Sector Stock: ................................................... 14 Meeting the Decent Homes Standard: .......................................................... 14 Allocations Policy and Choice-Based Lettings................................................. 14

Background to the Housing Market................................................................ 16 Providing the Housing Service ....................................................................... 18

Performance Management.......................................................................... 18 Income.................................................................................................... 19 Repairs & Maintenance .............................................................................. 20 Management ............................................................................................ 20 Energy Efficiency ...................................................................................... 20 Capital Programme ................................................................................... 21 The Efficiency Agenda................................................................................ 21 Performance Indicators.............................................................................. 22 Voluntary Improvement Work..................................................................... 23 Enfield Homes Delivery Plan 2008/09........................................................... 32 Enfield Homes Value for Money Strategy ...................................................... 33 Fairness in Housing Services....................................................................... 34

Resident Involvement ...................................................................................... 35 Resident Involvement in Enfield .................................................................. 35 Resident Involvement in the Appraisal ......................................................... 35 Resident Consultation on the Council Housing Business Plan............................ 36

Managing our Assets and Creating Decent Homes ...................................... 38 Stock Condition Survey.............................................................................. 38 Decent Homes Programme......................................................................... 40 Procurement ............................................................................................ 42 The Council’s Asset Management Plan (AMP)................................................. 43 Viability of Estates .................................................................................... 44 Review of Sheltered Housing ...................................................................... 45

Delivering Decent Homes................................................................................ 46 Fire Safety and Fire Management ................................................................ 47 Lifts ........................................................................................................ 47 DDA and Inclusive environment .................................................................. 48 Energy, Fuel poverty and Insulation............................................................. 48 Sustainability and Recycling ....................................................................... 48 Financial Strategy ..................................................................................... 48 Enfield Homes .......................................................................................... 49 Housing Revenue Account .......................................................................... 51 Right to Buy Sales .................................................................................... 52 Disposals ................................................................................................. 52 Repairs & Maintenance .............................................................................. 52 Management ............................................................................................ 52 Housing Subsidy ....................................................................................... 53 Rents ...................................................................................................... 53

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Service Charges and Other Income.............................................................. 53 Summary of Housing Revenue Account ........................................................ 53 Capital Programme ................................................................................... 54 Capital Expenditure Projections................................................................... 56 Sensitivity Analysis (What If)...................................................................... 57 Conclusions.............................................................................................. 58

Planning our Priorities..................................................................................... 59 Business Plan Completion Timetable ............................................................ 60 Frequently asked questions............................................................................ 61 Meaning of technical words ............................................................................ 63

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Introduction 1. On 1st April 2008 there were 119,379 dwellings in Enfield of which 11,834 were

council homes. The Housing Revenue Account is the account the Council uses to record the income and spending for the council homes. The Council Housing Business Plan is the document that sets out how the Council plans to use the money within the Housing Revenue Account over the next ten years.

Council Strategies 2. The Council Housing Business Plan is closely linked to the Council’s corporate

strategies. 3. The Council’s Housing Strategy for 2005 -2010, identified strategic housing

objectives, one of which is ‘to maintain and improve the physical condition of the housing stock with regards to the Decent Homes Standard’.

4. The Council’s capital strategy is built around the Council’s strategic corporate

objectives and priorities. These are detailed in ‘Putting Enfield First’, the Corporate Strategy and the Council Improvement Plan. The Housing Strategy states that:

“Housing is one of the most important assets of the Council and the Capital Strategy provides an effective system of checks and balances to ensure effective management of assets, prudent financial management and probity.”

5. The Council’s Place Shaping Strategy has been developed in response to the

changing challenges and opportunities facing the borough. The purpose of the strategy is to ensure that we focus our resources and energy on the things that will make the biggest difference to our communities. Working together in a co-ordinated way we will achieve more effective delivery of existing priorities. The Place Shaping Strategy will enable us to deliver the targets already set out in the borough’s sustainable communities strategy and Local Area Agreement.

6. The Council and its partners have a shared vision to make Enfield one of the best

places to live, work, study and do business. At the heart of the community strategy is a desire to build sustainable communities forged through strong neighbourhoods and community cohesion.

7. The Council recognises that the provision and management of housing is integral

to strong communities and is committed to ensuring residents have access to good quality, affordable housing. To that end, housing and quality of life issues feature strongly in the borough’s community strategy, the Council’s Improvement Plan and the Local Area Agreement.

8. As community leaders, the Council continually seeks to address deprivation and

inequality of opportunity, to strengthen liveability, community cohesion and the empowerment of local people. This role for local authorities has received renewed emphasis in the 2006 Local Government White Paper that focuses on the role of a local authority as a ‘place shaper’. The Council sees Enfield Homes making a key contribution towards this vision by providing better housing both now and into the future, enhanced value for money, improved management and a stronger voice for tenants and leaseholders.

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9. The Council recognises that improving the quality and management of homes alone will not achieve either local or national priorities for sustainability and community renewal. Hence, in addition to Decent Homes the Council is looking to invest in improvements to community safety, anti-social behaviour and the environment and in so doing address the respect and liveability agendas.

Enfield’s Council Housing 10. The Council completed the previous Council Housing Business Plan in 2003. The

Government Office for London said that it was ‘fit for purpose’ in early 2004. Since then, the Council has completed a Housing Options Appraisal. On 1st April 2008, the Council set up an Arm’s Length Management Organisation (ALMO) called Enfield Homes, to manage council housing. The Council owns Enfield Homes, but it is run by an independent board. The Council successfully bid for extra money to improve housing so that it reaches the government’s Decent Homes Standard working with Enfield Homes.

11. Updating the Council Housing Business Plan has involved talking to service

managers about their services, and consulting the Enfield Homes Board of Directors and the Federation of Enfield Community Associations Limited (FECA). This Business Plan reflects the latest financial and stock survey position, and takes account of the outcomes of the Options Appraisal and the changes to subsidy and rent restructuring since 2004.

12. The following key strategic themes within the Business Plan are confirmed:

• Resources are required to meet the Decent Homes Standard in a comprehensive and sustainable way.

• Significant work is in progress to improve the response in relation to anti-social behaviour, graffiti and residents’ concerns around safety and security.

• Residents are closely involved in decisions on priorities for the capital programme through resident engagement structures.

• Robust mechanisms for participation are in place to support residents in expressing their views on the shaping and delivering of Housing services.

• Effective partnerships, developed through a competitive efficiency framework, are in place with outside agencies for architectural and building design services.

13. Enfield Homes is responsible for the delivery of the Council Housing Business

Plan objectives, and specifically achieving the Decent Homes Standard. To ensure that housing revenue account resources are being effectively used, Enfield Homes will have to demonstrate value for money, both at the time of the inspection and in the future.

14. Enfield Homes has its own Value for Money Strategy, which is part of its Delivery

Plan and has clear links to the Council’s efficiency strategy. The strategy embraces setting efficiency targets for Enfield Homes linked to the Council’s Annual Efficiency Statement, including the partnering contracts for repairs and maintenance from 1st April 2007. It also includes evaluating and reducing housing management costs.

15. The Council Housing Business Plan focuses on Enfield’s five year Housing

Strategy 2005–2010 and shows the latest progress in services. Enfield Council will secure funding from Communities and Local Government, subject to achieving a two star rating in the February 2009 inspection. Enfield Home’s five key strategic aims are: • high quality accessible services • sound stock investment and maintenance

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• successful partnerships and sustainable communities • organisational excellence • effective use of resources

16. In preparing this document the Council has:

• summarised the plans and priorities from the previous Business Plan and • updated the context (the circumstances and background) for future plans.

17. In this document the Council:

• sets out progress since 2003, • describes the main plans and priorities for services and • sets out the main tasks

18. The previous Business Plan highlighted the priorities the Council had as a landlord for providing services: • Need and demand: To deal with housing shortages locally using a range of

suitable methods. • Services: To continue to work on improvement plans from previous Best

Value Reviews; to complete a Best Value Review of the Repairs Service. • Asset management: To meet the Decent Homes Standard for all housing

that needs investment. • Housing Options Appraisal: Examined the best option for managing

council housing. 19. The Council has made good progress in all these areas but it is recognised that

more work needs to be done on some of them. The new Council Housing Business Plan builds on progress to date and deals with these areas in detail.

Fit for Purpose Business Plans 20. Communities and Local Government has produced guidance on what it considers

essential to make a Business Plan ‘fit for purpose’. To comply with this guidance, authorities must address the following matters adequately: • Strategic Context (37-65) • Effective Consultation (184-199) • Stock Condition (204-216) • Current Performance (80-94 & 97-172) • Resources (95-96 & 252-253) • Priorities (3-19, 173, 174 & 176) • Options (23-30) • Progress to Date (112-172) • Accessibility (172-183) • Action Plan and Conclusions (327-333)

21. In particular, a business plan needs to demonstrate that the Council has a

strategy for long-term sustainability. This includes: • balancing the Housing Revenue Account and • financing the Capital Programme at the Decent Homes Standard.

22. Regional Government Offices evaluate Council Housing Business Plans. The key

areas for improvement in local authorities that have been identified by Government Offices are: • Business Plans should be at the centre of the management and delivery of

the landlord role.

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• Clear summary of stock condition, homes failing ‘decent homes’ and current and future finances.

• Should not include all the detailed outputs of the business plan model. • Priorities for action should look more widely than just improvements to the

stock. • Look at options for different approaches to management, maintenance and

capital programming. • Explain how targets feed through into capital programming.

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Assessing our main Housing Options 23. The 2003 Council Housing Business Plan set out the Council’s aim to carry out a

full Housing Options Appraisal for all council housing, as required by government. The plan showed that all the management and ownership options were a possibility, but that the Council needed to get more information on the demand and costs involved for different types of housing and for different areas, including high-rise blocks.

24. The Government’s Communities Plan, published in January 2003, confirmed that

additional investment would be available to those authorities that would otherwise be unable to meet the Decent Homes Standard in their own stock. The Communities Plan made clear that any authority choosing to retain ownership and management of its stock would not be able to access additional funding. The Communities Plan identified that additional finance would only be available through one or more of the following routes: • Large Scale Voluntary Transfer • Arms Length Management Organisation • Private Finance Initiative

Housing Stock Options Appraisal 25. The Options Appraisal began in spring 2004 when the Council set up a steering

group, made up of representatives from residents’ groups. The role of the group was to manage the Options Appraisal project and recommend a preferred option to the council. The Council also: • Completely updated the thirty year financial estimates for the whole of

council housing. • Increased the estimate of the amount of investment needed in the short and

longer term. • Reviewed in detail the six housing areas that needed the most investment. • Reviewed in detail the amount and type of investment needed for all council

housing. • Formally consulted residents’ groups, and carried out a survey of all tenants

and residents. 26. In considering options for the delivery of housing and housing related services

the Council has taken into account: • the exercise of its responsibilities within existing statutory frameworks

including planning regulations and financial requirements • procurement strategy • Corporate Asset Management Strategy • Corporate Asset Management Plan • value for money issues • locally and centrally determined service requirements • capacity, availability and track record of service providers to meet identified

needs 27. Residents were consulted on the options available to them, in line with the

requirements of the stock options appraisal guidelines. The financial imperative to opt for change to attract additional government investment to ensure that the current stock meets and maintains the Decent Homes Standard has resulted in the Council identifying two suitable options. The Council then undertook a test of opinion with tenants and leaseholders on these options: • mix of Retention and Transfer

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• Arms Length Management Organisation 28. Following the test of opinion, which showed that the preferred option was an

Arms Length Management Organisation, the Council took forward a programme of consultation which included: • consultation with the stakeholder steering group involving residents as well

as elected members and officers • appointment of an Independent Tenants Advisor • three away-days involving residents’ representatives • 27 local estate road shows • face to face consultation with 22 tenant and leaseholder groups • consultation through the Community Housing Partnerships

29. The Government introduced Arms Length Management Organisations as an

option that allows councils to retain ownership of their stock, provided that the strategic and operational roles are separated, with the operational role being undertaken by an independent company. Arms Length Management Organisations allow local authorities to access additional funding to meet the Decent Homes Standard. The new company must achieve a two star rating from the Best Value Inspectorate as a condition of the Council being granted additional investment. The amount of additional funds made available is the amount required to meet the Decent Homes Standard plus 5% for environmental works.

30. In July 2005, the steering group agreed that the best option was to set up an

Arms Length Management Organisation to bid for funding. In January 2008, funding of £137m was agreed and in April 2008 the ALMO, Enfield Homes, was launched.` The release of this money is subject to Enfield Homes achieving two stars at the inspection in February 2009. This means that there is a need to work towards making all Enfield Homes’ services the best they can be.

Enfield Homes Strategy 31. In July 2005, the steering group agreed that the best option for the future of was

to set up an ALMO that could then bid for Decent Homes money to improve Council Housing. The Council bid included £7.3m to enhance the sustainability of the investment, to bring its Council homes up to the Decent Homes standard. The bid was based on the estimated total cost of the decent homes programme of £235m which included the Council’s own resources of £88million. The Council has based this figure on sound stock condition information, tenant priorities and a detailed analysis of future resources available, all updated since the time of the Stock Options Appraisal.

32. In the final funding agreement signed between the Council and Communities and

Local Government, Enfield Homes has been provisionally allocated £137m, pending a two star inspection in February 2009. In the five year period from 1st April 2009, the total anticipated resources are £230m, including £94m of the Council’s own resources (subject to any variance in the HRA allocation). Work is therefore needed to ensure that Enfield Homes is providing the best possible service and will achieve a positive result at inspection.

33. The Council set up Enfield Homes with residents’ support. The Council has

provided residents with details on how Enfield Homes is run, improvements to homes and services, and increasing their role in the development of services and support continues to grow. This is evidenced, for example, by the results of a door-to-door survey in which more than two-thirds of respondents supported Enfield Homes.

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34. The Council fully supports and works in partnership with Enfield Homes to ensure that it has the independence to deliver housing objectives effectively. At the same time, the Council monitors progress and performance within the framework of the Management Agreement.

35. While the Decent Homes funding is the priority, Enfield Homes and the Council

will continue looking at other options for improving services in a changing environment. It is important that the Council can meet needs in all areas of the borough, using specific solutions. To do this the Council will consider: • What local residents need and want. • How much investment is needed in the long term for council housing and for

the environment. • The possibility of raising extra money by selling pieces of land and buildings

the Council do not need or use. • Making the best use of existing council housing while finding new solutions.

36. These considerations will inform Enfield Home’s Delivery Plan for 2009/10 and

subsequent years. In addition, social landlords are obliged to carry out a periodic tenant satisfaction survey, called a STATUS survey. Questionnaires for a new satisfaction survey were sent out in September 2008. A full report will be available in December 2008, and the results will inform the Enfield Homes Delivery Plan.

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Background to our Housing Plans 37. The Housing Strategy 2005-2010 and the Council Housing Business Plan reflect

the corporate objectives for housing included within the Enfield Improvement Plan 2008/11: ‘Putting Enfield First’. This plan sets out the key priorities and major projects which will deliver improvement in Enfield. The key priorities for Housing are: • To maintain and improve the physical condition of the housing stock to the

Decent Homes standard. • To maintain and improve the supply of affordable housing, promote best use

of stock and ensure the effective allocation of social housing on a basis that is fair and equal.

• To promote a range of housing opportunities for people who need housing related support and to address the needs of homeless households.

• To ensure that government targets for new housing provision are met in a manner consistent with planning policies and the needs of residents.

• To promote community safety. • To promote the protection of the environment. • To support the economic regeneration of the most deprived parts of Enfield. • To support the aspirations of residents to become homeowners. • To facilitate the development of a safe and decent private rented housing

market. • To pursue best practice and value for money in the provision of housing and

housing services. • To ensure residents have a real opportunity to influence the delivery of

services and to participate in the Council’s decision making. 38. This Business Plan also reflects objectives in Enfield’s Future 2007-2017, the

Council’s sustainable community strategy, which seeks to create balanced sustainable communities. It is a partnership document providing an overarching framework for improvement in key services in the borough and containing specific targets for improvements in council housing. One of these, to set up an ALMO, has already been achieved with the setting up of Enfield Homes. Other targets include reducing the non-decency rate to zero by 2013.

39. The Council’s corporate objectives are supported by Enfield Homes. The key

strategic objective to improve the physical condition of the housing stock to the Decent Homes Standard will be achieved through the new additional investment under the Arms Length Management Organisation programme. Funds will be invested in the environmental improvement of our estates, which helps in the regeneration of an area and reduces anti-social behaviour.

40. The tenant participation structure ensures that residents have a real opportunity

to influence the services provided by Enfield Homes. The performance management framework will ensure that services are tenant and leaseholder led, making the best use of resources and providing value for money.

Place Shaping Strategy 41. Enfield’s Place Shaping Strategy has been developed in response to the changing

challenges facing the borough. It reflects the determination of the Council and its partners to build on strengths and achievements, and address the needs of some key parts of the borough and the communities who live in them.

42. Place Shaping is about making the whole of Enfield a place of choice – where

people choose to live, work, learn and do business. The Council knows that, 10

unless it tackles the biggest challenges in the most demanding parts of the borough, it risks undermining the overall strengths of Enfield.

43. The Place Shaping Strategy has been developed with a clear direction from

Councillors and leaders of key partners in Enfield. It sets out the Council’s commitment to improving the lives of all citizens. It builds on existing strategies and policies and ensures that they are focused effectively on shared objectives.

44. The Overall Vision of the Enfield Strategic Partnership is to make the Borough:

“A Healthy, Prosperous, Cohesive Community living in a Borough that is Safe, Clean and Green.”

45. The Council’s Place Shaping ambition, as set out in the Local Area Agreement is

to ensure that:

‘By 2026 Enfield will have a strong sense of place and identity; it will be a place that people are proud to call home and want to invest in. It will be a prosperous, sustainable borough, maximising its strategic position relative to the two government growth areas and the UK’s main economic driver, Central London. Development in Enfield will meet the needs of the present and add to the ability of future generations to meet their needs.”

46. The Place Shaping strategy sits alongside the Local Area Agreement which is the

main delivery vehicle for the Sustainable Community Strategy, focusing on tackling key borough wide challenges including increasing the availability of affordable homes and reducing the number of households living in temporary housing.

47. There are a variety of housing-related challenges facing the Council and its

partners. • The number of claims for Housing Benefit has been rising, from a historically

low baseline. Between 2005 and 2007, the caseload increased by 11%, compared to a London average of 2%, and an average fall of 15% across England.

• In common with other Outer London boroughs, Enfield’s position in the indices of deprivation has worsened. Enfield’s ranking in the 2007 Index of Multiple Deprivation (IMD) dropped from 104th (in 2004) to 70th most deprived of 354 English local authorities.

• Enfield has a large number of families in temporary accommodation. As at 31st March 2007, the last year for which nationally comparable statistics are available, only three other authorities, all London boroughs, placed more households in temporary accommodation.

• Whilst Enfield has not experienced the precipitous rises in house prices seen in some London boroughs, affordability has worsened for local residents. Between April 2000 and July 2008, the average selling price for a home in Enfield had almost doubled.

48. Place shaping in Enfield addresses a range of issues including providing more

attractive and more affordable housing across the borough. This will be achieved by developing new housing and improving the existing stock and by offering houses that people choose to make their long term homes.

49. The Place Shaping Strategy includes action plans for four priority areas. One of

these is New Southgate and the North Circular Road Area. Uncertainty about plans for the North Circular Road has caused housing blight, with many properties being neglected and falling into disrepair. The Council will work with

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the community to transform the area both physically and socially. On the council owned Ladderswood Way Estate, residents took part in a consultation about the future of their homes, with the majority involved favouring regeneration rather than refurbishment.

50. To achieve the objectives of the Place Shaping Strategy which relate to council

housing, the Council will focus on a number of borough wide or thematic priorities including: • Improving the Housing Stock – ensuring that there is an increase in the

quality of housing and availability of all kinds of housing in line with the assessed housing need now and in the future.

51. Existing Delivery Mechanisms for Improving the Housing Stock are:

• Local Area Agreement – managed by the Enfield Strategic Partnership (ESP) • Enfield Council Housing Business Plan 2008/18 • Strategic Housing Forum reporting to Communities and Economic

Development Board (ESP) • Housing Services Board

52. The Place Shaping delivery and focus will be on:

• Local Engagement and Capacity Building • Area Action Plans for the four Priority Areas • Capacity and Skills around managing developers • Enfield Homes and the Decent Homes programme

53. The Priority Indicators in the Local Area Agreement include the following housing

indicators that will be monitored by the Council and the Enfield Strategic Partnership: • NI155 – Number of affordable homes delivered (gross) • NI156 – Number of households living in temporary accommodation

54. The Council will know when the Place Shaping Strategy is succeeding when a

number of conditions are achieved. Those that are of relevance to housing include: • The level of temporary households in the borough stops increasing and is

then reduced to the average level for London. • All housing stock in the borough achieves the Decent Homes standard.

Local Area Agreement 55. Enfield’s Local Area Agreement ‘Building Futures, Changing Lives 2008 - 2011,’

directly links to the Enfield Strategic Partnership’s (ESP) vision of ‘making Enfield one of the best places to live, work, study and do business’ and is wholly consistent with the Community Strategy ‘Enfield’s Future 2007 - 2017’.

56. Our new LAA supersedes our previous agreement, ‘Every Child Really Does

Matter 2006 - 2009’ which focused on addressing child poverty and was praised by the secretary of state for Children, Schools and Families. Our new LAA, together with its revised priorities, has been agreed by the Council, our strategic partners and the Government Office for London. ‘Building Futures, Changing Lives’ sets out what the members of Enfield Strategic Partnership, including Enfield Homes, a member of the ESP board, aim to achieve for the community of Enfield.

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57. The Local Area Agreement has identified a series of areas where the Council and its partners will seek improvements, and LAA targets are based on these key themes: • Crime and community safety • Environment • Drugs and alcohol • Health • Children and young people • Economy / Employment • Social Care and Community Housing

58. Enfield Homes and the Federation of Enfield Community Associations are

members of the Strategic Housing Forum, a specialist delivery group of the Enfield Strategic Partnership which was launched in July 2008. The forum is a key strategic partnership which oversees housing delivery in Enfield.

59. One of the key local priorities for ‘Building Futures Changing Lives’ is to deliver

improvements in the number of decent homes in Enfield (NI 158). The need for quality housing and services means that Enfield Homes is a major partner in helping to reduce child poverty and improving quality of life in Enfield. The Council Housing Business Plan builds on the work done in the Local Area Agreement, looking at the priorities that are most relevant for Council tenants and leaseholders. As part of this process, Enfield Homes will: • keep the assessment of the condition of council housing up to date • make its services accessible for all • produce an ambitious service improvement plan • provide opportunities for tenants and leaseholders to be involved in

managing their homes

The Housing Strategy 2005-2010 60. The Council finalised the Housing Strategy in February 2005, after a long

consultation with residents and other interested parties. It was approved by Cabinet in March 2005 and full Council in September 2005. The strategy is the main document that sets out the Council’s housing objectives and priorities that are as follows: • Maintain and improve the condition of our council housing according to the

Decent Homes Standard. • Promote a range of housing for people who need housing-related support

and deal with the needs of homeless households. • Promote community safety. • Promote protection of the environment. • Support the economic development and improvement of the poorest parts of

Enfield. • Support residents who want to become homeowners. • Try to achieve best practice and get value for money when providing

housing and housing services. • Make sure residents have a real opportunity to influence services and take

part in the council’s decision making. 61. The following priorities relate to Council Housing Services:

• Selling buildings that are no longer needed or used, to release money to reinvest in the community and housing.

• Increase sources of income where possible. • Create incentives that will encourage residents to move home if their home

is too big for them, which will help with overcrowding.

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• Reduce the costs of running council housing. • Reinvest the money from selling buildings to provide more affordable

housing, especially for disabled people. 62. The Housing Strategy also identifies a number of national, regional and sub-

regional priorities, and how the Council, together with Enfield Homes, contribute towards them. Those with relevance to the management of the Council’s housing stock include:

Delivering Housing Services:

• Identifying the needs of the local community by means of surveys, focus groups and resident feedback.

• Keeping a register of interested residents who wish to be consulted on housing issues.

• Working in partnership with registered social landlords and other statutory and voluntary agencies.

• Involving tenants and leaseholders in the development of documents for service users such as the repairs handbook produced in 2007.

Maximising the use of Public Sector Stock:

• Working with partner registered social landlords to maximise the use of the social housing stock through joint monitoring and regular liaison meetings.

• Working towards prioritising under-occupiers in the housing register to increase supply.

• Providing a financial incentive for under-occupiers to move who would not otherwise do so.

Meeting the Decent Homes Standard:

• Carried out a council stock condition survey in 2006. Allocations Policy and Choice-Based Lettings

• The Council’s Community Housing Service is involved in the Police-led multi-agency public protection arrangements panel.

• The Council has up to date nominations agreements in place. • Working with Enfield Homes, the Council has choice based letting in place.

63. For some time the Council has recognised that traditional approaches to the

provision of housing services with local authorities as the sole provider are unsustainable. Over five years ago the Council transferred a significant amount of its stock to London & Quadrant and Metropolitan housing trusts, later seeing the demolition of sub-standard tower blocks and provision of new affordable housing, as part of the Edmonton Partnership Initiative. The Council continues to seek to make the best use of all its housing provision and, as a result, investigates disposal schemes to make sure all council stock is being used to maximum efficiency.

64. The Council is actively pursuing opportunities presented by Homefinder Plus to

provide additional housing options for housing applicants outside the borough. For example, the Council bid successfully for funding from the Bed and Breakfast

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Unit to convert self-contained, nightly paid annexe accommodation into leased accommodation and renew 100 private sector leases. The successful use of this funding has meant that the target of having no families in Bed and Breakfast accommodation was achieved well ahead of the target time.

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Background to the Housing Market 65. Enfield published a ‘housing needs study’ in 2005. The results of the study

influenced Enfield’s housing strategy and informed priorities for the Council Housing Business Plan. The study concluded that: • there is a shortage of 2,900 homes a year • there are not enough 3 and 4 bedroom homes • there is too much sheltered housing • more than 3,000 households were in temporary housing at 31 March 2006 • 86.5% of vulnerable people live in ordinary housing • 35.3% of vulnerable people are pensioners and live alone or with another

pensioner • 13.3% of vulnerable people want to move • about 4,400 people live in unsuitable housing, 37.5% due to mobility

problems. 66. Enfield’s Housing Market Assessment for 2008 is underway with results expected

in Autumn 2008. Using the guidelines issued by Communities and Local Government, the Housing Market Assessment replaces the previous Housing Needs Study with a comprehensive investigation of housing requirements and aspirations in the borough. It captures borough-wide and local area housing issues in accordance with the areas identified in the place shaping strategy. It examines attitudes to the place shaping areas as well as housing growth, population change, tenure and affordable homeownership. Analysis of the findings will give the Council a robust evidence base, which will inform future housing plans.

67. In terms of demand for council properties, the number of (non-transfer)

applicants on the Housing Register as at 31st March 2008 was 6,378. Clearly there is a long-term continued demand for affordable and council housing in Enfield.

68. At the time of the 2001 Census, Enfield had a population of 273,559 living in

110,398 households. 69. The Housing Needs Survey completed in 2005 indicates that the level of housing

need in Enfield is acute with a significant gap between need and supply, despite the perception of Enfield as a ‘leafy’ borough.

70. The average property price in Enfield is £267,762 with a terrace house at

£247,293 and a flat/maisonette at £202,792 (Land Registry: July 2008). With median average incomes in the borough around £24,022 (National Statistics Annual Survey of Hours and Earning 2007) it is difficult for families to access the owner-occupier market and therefore there is a demand for affordable housing which meets their needs.

71. There is a significant shortage of social rented housing stock in Enfield and in

particular shortages of larger family units. This situation is exacerbated by the limited opportunities to develop appropriate housing due to the high cost and lack of available land.

72. Private developers are more competitive at securing any land that is available

and have largely concentrated provision on smaller flat-type housing. The difficulties of securing appropriate accommodation are most acute for growing families and those with support needs.

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73. The Housing Needs Survey showed that Enfield has higher levels of owner occupation and lower levels of social rented housing than national and regional estimates. Enfield contains more single pensioner households and fewer single non-pensioner households than London as a whole.

74. The key trend in predicting the need and demand for housing is the rate of

household formation. The results of the 2005 Housing Needs Survey indicate that there will be an additional 552 households forming per year in Enfield, of which 82.3% will be unable to afford private sector housing. This converts to an additional 455 households in housing need per year.

75. The Council estimates that each year 1,246 existing households will fall into need

and a further 1,534 in-migrant households, who cannot afford suitable private sector housing, will move into the borough. Furthermore, the Council estimates that 76 households from the ex-institutional population will fall into need each year.

76. In total, the figures from the 2005 housing needs survey indicates that additional

need will arise from 3,311 households each year. 77. Re-lets of existing social housing in the current stock are the most important

source of supply. Based on the 2005 Housing Needs Survey it is estimated that the annual supply of affordable housing from the current stock in Enfield (council and housing association) is 685 units.

78. Due to the shortage of affordable housing in the borough there is strong demand

for Council homes. There is ample evidence of the long-term demand for council housing for which the improvements are proposed. The Decent Homes funding is needed to ensure the housing itself can be maintained at decent standards, but also as a centrepiece for broader place shaping.

79. In the limited instances where the Council has had a problem with demand, for

example, in some of the sheltered blocks, the Council has responded quickly. Four blocks of sheltered accommodation, a total of 106 units, were disposed of to housing associations over three years ago. A later survey of sheltered accommodation identified further problems with demand for particular types of property, which the Council responded to promptly with further disposals.1

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1 Sheltered Housing is considered in more detail in the Asset Management section of this Business Plan

Providing the Housing Service 80. The Comprehensive Performance Assessment process has shown that the Council

is an improving authority. The Council was the first authority in London to undertake the corporate assessment and Joint Area Review at the same time. Every year the Council has shown significant improvement and it is now assessed as a three star authority that is improving well.

81. The Council has strong ambitions to be a four star authority. The previous

corporate assessment recognised that the Council had strengthened performance management and the new processes and culture had led to significant service improvements.

Performance Management 82. The culture of continuous improvement in which the Council develops its service

has provided strong foundations for Enfield Homes. The Council has, for example: • Improved performance, as reflected in the housing performance indicators. • Set up the Housing Services Board, a partnership board with members from

the Council, Enfield Homes and the community. • The strategic function of the Council is strengthened through the post of

Assistant Director of Housing Strategic Services. This provides a clear demarcation between the strategic and operational leads.

83. Enfield Homes has a strong performance management focus and will deliver a

range of important benefits to the Council and residents of Enfield: • All Council homes will achieve the Decent Homes Standard. • Enfield Homes will invest in providing skills training and create employment

opportunities for local residents. • The greater volume of investment will open up more opportunities for

procurement of planned maintenance and repairs contracts through partnerships. Value for money enhancements will be achieved through improved procurement and partnering, effective use of technology and process re-engineering. The new repairs centre demonstrates what can be achieved. We will deliver at least 3% efficiency savings per annum from April 2009 onwards.

• The staffing structure at Enfield Homes creates specialist teams for key services such as anti-social behaviour and rent collection, enabling staff to use their skills to best effect.

• The Enfield Homes board is made up of six residents, six independents and six Council nominees.

• Resident participation will widen the involvement of the community in housing services.

84. Enfield Homes has a central role in delivering the key housing objectives for the

Council, including Decent Homes. The organisation contributes to the wider aims of sustainable communities, community cohesion and the Council’s Place Shaping Strategy. The Enfield Homes Delivery Plan has been developed with residents and brings together existing improvement plans for repairs and maintenance and housing management, ensuring that performance continues to improve.

85. The significant amount of preparation, planning and consultation that lead up to

the creation of Enfield Homes has generated strong support from the Council, staff and the community. With improved performance and continued investment in new and improving services, the Council is confident that Enfield Homes will

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achieve the two stars needed at inspection to draw down the additional funding for Decent Homes.

86. The Housing Scrutiny Panel will maintain an independent role in challenging

performance, examining standards of service and improving the efficiency of Enfield Homes, to ensure local democratic accountability.

87. The Annual Delivery Plan is Enfield Homes’ main document for setting out its

plans for providing services, and focuses on four main areas: • Improving all services so that Enfield Homes gets at least a two star rating

in the February 2009 housing inspection. • Working hard to improve the way it tackles anti-social behaviour. • A new strategy for involving residents, including hard-to-reach groups such

as people with language needs and people with disabilities. • Accessing funds needed to reach the government’s Decent Homes Standard

by 2013.

Income 88. Effective and efficient systems for collecting rent and service charges and making

payment of housing benefit payment are vital to maximising the income available to the Council. The Benefits Service achieved four stars in its inspection by the Benefit Fraud Inspectorate. Efficient and effective service charge collection is vital to providing leaseholders with detailed information on services received and their costs. An efficient and effective housing benefit service is vital to making sure that rental income due will be paid promptly.

89. The Council has undertaken a number of initiatives to maximise the use of the

housing stock in Enfield, both in its own stock and in partnerships with registered social landlords and the private sector. Enfield Homes is continuing this work. In its own stock the Council has: • Recently reduced its void turnaround through a combination of revised

procedures, closer monitoring, Officers who accompany prospective tenants on viewings have the authority to raise orders for minor works ensuring a fast response time that allows the tenant to move in as soon as possible.

• Addressed the problem of falling demand for sheltered accommodation by re-designating some dwellings to allow them to be let to other groups,

• Remodelled new built sheltered housing blocks so that all units are self-contained and thus more attractive to prospective occupants.2

• Transferred non decent blocks of 144 low demand dwellings to a registered social landlord for redevelopment as family accommodation.

• Made a commitment to making the best use of all spaces on its estates as part of the asset management strategy and place shaping.

• Introduced an under-occupancy scheme targeting those under-occupying family sized accommodation, releasing seventeen properties.

• Implemented systems to detect and evict unauthorised occupants. • Used mutual exchanges to allow tenants to swap their home with other

secure council or housing association tenants.

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2 Sheltered Housing is considered in more detail in the Asset Management section of this Business Plan

Repairs & Maintenance 90. In the repairs and maintenance inspection the Audit Commission saw

performance management arrangements as a strength within the housing service. The report said:

“There are good performance management arrangements in place which in time will be embedded across the organisation. The performance management systems are clearly linked to the overall corporate aims and objectives.”

91. Housing managers work closely with residents on repairs contracts and changes

to repairs systems for day to day repairs – residents were involved in the repairs fundamental service review.

Management 92. The Government’s e-programme aims to bring government closer to people by

making it more accessible, accountable, efficient and responsive. In November 2004 the Council published its ‘electronic delivery statement 4.’ The Council’s housing services have become more accessible and suited to service users’ needs, including online choice based lettings and repairs reporting. Rent payments can be made via the Council’s customer service centre. A range of housing information, including publications, is available on the Council’s website and online payment of rent and service charges are also available.

93. The Council developed an ‘Access to Services Strategy 2007/12’ following a Best

Value Review. The aim of this strategy is ensuring that all of Enfield’s residents are easily able to access the same high quality responsive services from the Council. In January 2008, following the cross-cutting inspection, the Council gained a two star rating on access to services from the Audit Commission. This inspection, which examined access to services across Enfield including the Council’s Housing Needs Centre at John Wilkes House, and the Housing Repairs Centre on the Claverings Estate, achieved the highest rating awarded to any Local Authority at the time.

Energy Efficiency 94. The Council and Enfield Homes recognise the need to reduce energy use. The

Council has already invested in its housing stock to improve energy efficiency and Enfield Homes continues to support this aim. Some measures that are already in place are listed below: • A comprehensive database of energy profiles has been developed as part of

the stock condition database software. • Energy efficiency has been improved by upgrading components. • Computerised Remote Energy Management Systems have been installed in

eight boiler houses. • Fuel economy and thermal performance have been incorporated as key

factors of all major works briefs.

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Capital Programme 95. The Council has good knowledge of its stock, and has invested significantly over

the years as shown below:

2006/07 £12.4million 2007/08 £16.3million 2008/09 £20.7million

96. The Council also has an ongoing programme of stock condition surveys.

Residents are involved in consultation on major works issues from initial capital schemes to the content of the Business Plan.

The Efficiency Agenda 97. Enfield has a strong value for money culture and builds value for money

considerations into its management processes and decision making. One of the 6 key aims of the Council’s Corporate Strategy is ‘To provide high quality and efficient services’ and the Council is constantly seeking ways to identify and pursue opportunities to improve economy, efficiency and effectiveness. Through an increasingly pro-active approach to improving value of money the Council has achieved efficiency savings of over £24m in the period 2004 to 2008.

98. The Council’s Business Improvement Plan sets out an action plan and

performance targets to deliver corporate priorities including the aim to provide high quality and efficient services. Departmental and Service Centre Plans, together with Performance Assessment Reviews, set out how departments, services and individual employees will deliver improved services and corporate priorities.

99. To maintain this focus on value for money in housing, Enfield Homes is a

member of Housemark and measures costs and performance against upper quartile performance. This information has been used to design and inform service reviews, for example the new staffing structure.

100. Another key strategy for reducing costs is the Enfield Homes Procurement

Strategy, and specifically the use of partnering to deliver efficiencies. The Council has set a target of 3% year-on-year savings for the responsive and cyclical maintenance programmes.

101. Under partnering contracts that have been introduced, the contractors will

inspect and specify repairs to voids and the Council will carry out sample checking and quality control. In this case business reengineering has removed duplication and streamlining the voids re-letting process.

102. Value for money is an essential part of service improvement. Enfield Homes has

identified ways to make services more efficient, particularly for repairs and maintenance. Enfield Homes has a Value For Money Strategy that is underpinned by an Action Plan setting out how targeted efficiency savings will be achieved.

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Performance Indicators 103. The Council monitors its performance through a range of national and local

performance indicators and compares its performance with the upper quartile position for England as outlined below:

Year Enfield England Upper Quartile

Enfield - Quartile

The proportion of LA homes which were non-decent (BVPI 184a) 2006/07 26% 13% Middle

Annual percentage change in proportion of non-decent LA homes (%) (BVPI 184b) 2006/07 7.8% 31.5% Middle Average SAP rating of all HRA dwellings (BVPI 63) 2006/07 66 72 Middle

Percentage of urgent repairs completed within government time limits (%) (ex BVPI 72) 2006/07 97.46% 98.20% Middle

Average time taken to complete non- urgent repairs (days) 2006/07 10 9 Middle Average time to relet council housing (days) (ex BVPI 212) 2006/07 30 26 Middle

Satisfaction of tenants with the overall service provided by their landlord (%) (BVPI 74) All tenants 2006/07 69% 82% Lower

Percentage of rent collected (%) (BVPI 66a) 2006/07 96.75% 98.57% Lower

104. The proportion of local authority homes that are non-decent in Enfield is higher

than the upper quartile for England; the Council is in the middle quartiles of performance. The Council is also in the middle quartiles for the annual percentage change in the proportion of non-decent local authority homes. The release of funding for decent homes is subject to Enfield Homes achieving a two star rating at the inspection in February 2009. The aim of the bid and this business plan is to achieve Decent Homes for all local authority tenants by 2013.

105. The average SAP rating of local authority homes in Enfield is lower than the

upper quartile for England, placing the authority in the middle quartiles. The Council plans to increase the SAP rating of its homes as part of the decent homes programme.

106. The percentage of urgent repairs completed within government time limits is

slightly lower than the upper quartile for England, thus performance is in the middle quartiles. The average time taken to complete non-urgent repairs is slightly higher than the upper quartile for England, placing the Council in the middle quartiles. The Council has carried out a fundamental review of the repairs

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and maintenance service as a result of which improvements in performance are now being recorded.

107. The average re-let time is higher than the upper quartile for England placing the

Council in the middle quartiles. 108. Satisfaction of tenants with the overall service provided by their landlord at

Enfield is lower than the upper quartile figure for England, placing the Council in the lower quartile. The Council has an improvement plan in place that is designed to increase the level of satisfaction of tenants with the service that they receive from the Council.

109. The percentage of rent collected is lower than the upper quartile for England,

placing Enfield in the lower quartile. The Council’s Improvement Plan envisages that Enfield Homes will increase the proportion of rent collected.

110. Council officers have compared the average weekly cost of management per unit

in cash terms at the Council with other London Councils. Enfield ranks 3rd out of 29 boroughs, having a relatively low cost of £17.72 a unit compared with an average for London of £25.15. Furthermore, between 2002 and 2007, management costs at Enfield decreased by 11% (a real terms reduction) compared to an increase of 11% across London (a real terms increase).

111. Council officers have also compared the average weekly cost of maintenance per

unit at the Council with other London Councils as shown below. Enfield ranks 22nd out of 29 boroughs, having a cost of £25.22 a unit compared with an average for London of £21.87.

Voluntary Improvement Work 112. In April 2008 the Audit Commission’s Housing Inspectorate reported on the

voluntary improvement work being carried out by the Council before setting up Enfield Homes, examined those services which were transferred to Enfield Homes. The Housing Inspectorate considered a number of areas. A summary of their findings and Enfield Homes’ progress in addressing the recommendations are as follows:

Access and customer care 113. The Inspectors found that weaknesses outweigh strengths in this area. Service

delivery changes are taking place before customer access requirements are identified. There was no tenants’ handbook to publicise services and how to access them and services are not always delivered promptly. The facilities at the new office do not provide a responsive service to customers and arrangements for monitoring and reporting performance against service standards are not agreed. Performance in responding to customer complaints on target is weak, with low customer satisfaction. Staff deal with customers effectively and service standards publicise commitments in service delivery. Newsletters and leaflets are of a high standard and available in a wide range of formats and languages, although for languages this is not always effectively publicised.

114. Enfield Homes have since produced a comprehensive customer access strategy

and action plan, leading to a number of improvements to customer access, including: • Changing the timescale for answering phone calls from 20 seconds to 15

seconds and at the same time exceeding the target for answering calls on

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time: during Apr-Sep 08 81.39% of calls were answered on time compared to the target of 80%.

• Extending office opening times from 9am-4.40pm to 8.30am-5pm. A customer survey carried out in 2008 showed that 91% of customers who responded felt these new opening times were convenient.

• Reducing the time taken to respond to complaints from 15 working days to 10 working days. Performance in answering complaints has improved from 78.50% answered on time in 07/08 to 94.44% from Apr-Sep 08.

• Five community festivals were held during 2008 and were used to promote Enfield Homes’ services on estates.

115. A comprehensive tenants’ handbook has been produced in consultation with a

tenants’ focus group and was sent to all tenants. A follow-up survey was conducted in Sept 08 and showed that 93% of respondents found it a useful document. A copy is included in the welcome pack for new tenants and a DVD version of the handbook (with translation in community languages) has also been produced.

116. A number of improvements have been introduced to the reception service at

Edmonton, including the installation of a Q-Matic system for managing access to the reception service. The results of customer satisfaction monitoring carried out during Apr-Sep 2008 showed that 97.44% of respondents were either satisfied or very satisfied with the reception service.

117. Residents have been consulted on the monitoring and reporting of service

standards via the tenants' handbook focus group. Consultation was also carried out with all tenants and leaseholders via Housing News in April 2008. As a consequence, performance information is published in every edition of Housing News. Further information on the monitoring and reporting of performance information has been included in the tenants' handbook and the leaseholders’ handbook.

118. The translation needs of established communities have been assessed using info

from various sources (e.g. the Translation & Interpretation Team). Most common requests for translation are Turkish, Somali, Farsi and French. Actions arising from the assessment have been included in the Diversity Strategy action plan.

119. The information on the translation needs of established communities has been

used to tailor services, for example the new website (www.enfieldhomes.org) and the recently produced DVD describing the tenants’ handbook and major works process have translations in the main community languages. All leaflets and newsletters offer translation in the main community languages.

Diversity 120. The Inspectors found that there is a balance of strengths and weaknesses in this

area. There are corporate arrangements to meet the diverse need of tenants, but the lack of plans to continue this when the Arms Length Management Organisation is established is a serious concern.

121. Diversity is prioritised in corporate aims and objectives and championed by

departmental representatives and the Council is responding to statutory guidelines to assess the impact of polices, procedures and services on the local community and develop inclusive services that people need. There is partnership working to develop community cohesion and tackle the causes of anti-social behaviour. The Council is not sufficiently using profiling to identify and eliminate barriers to access and staff are not routinely receiving diversity training.

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Communal areas are not assessed to ensure they are accessible for people with disabilities under the Disability Discrimination Act (DDA).

122. Enfield Homes has produced an Equality and Diversity Strategy and action plan,

which provides a framework for delivering services that reflect and meet the diverse needs of tenants, leaseholders and other customers.

123. Procedures for capturing profiling information have been improved and as a

result profiling information has been captured for 79% of tenants (up from 62% in 2005 and 72% in 2007) and 38% of leaseholders (up from under 2% in Oct 07). This information has been used to monitor access to services and to ensure that policies and procedures do not discriminate against any section of the community. For example, ethnicity monitoring is carried out in relation to rent arrears, anti-social behaviour reporting, allocations and lettings and satisfaction with services. The information has also been used to tailor services to meet the needs of tenants and leaseholders, for example, translated mail shots have been sent to all Greek, Greek Cypriot, Bangladeshi and Somalian tenants advising them of services offered by various community groups in the area.

124. All Enfield Homes’ staff and Board members have completed a diversity learning

package and successfully taken an online test to reinforce the learning points. 125. An access audit of all blocks is underway: phase 1 of the audit has been

completed and involved surveying 33 high rise blocks. The works from phase 1 have been prioritised and will be programmed into the capital programme. Phase 2, which involves surveying the medium and low rise blocks, has commenced and will be completed during 2008/9.

Stock Investment and Asset Management - Capital Improvements 126. The inspectors found that there is a balance of strengths and weaknesses in this

area. Stock condition surveys are comprehensive and tenants influence asset management decisions including property improvements, for which there are high levels of satisfaction. The sustainability of estates is being assessed and action is taken to consider options for regeneration, where this is needed, in consultation with tenants. The stock condition database identifies stock investment requirements, although component replacements are only updated annually. It is a serious weakness that the asset management plan was incomplete.

127. Enfield Homes has introduced a system updating the stock condition database

immediately after the completion of individual major works projects. This ensures that the most up to date stock condition data is used for capital programming decisions, such as the formulation of the 5-year capital programme.

128. The Enfield Homes Asset Management Plan (AMP) was reviewed following the

launch of Enfield Homes and new information was included in the AMP to address the issues raised by the Audit Commission, for example, information on resident involvement. As a result, the framework for the involvement of residents in major works has been simplified (with the involvement of the residents’ Repairs Focus Group).

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Stock Investment and Asset Management - Responsive Repairs 129. The inspectors found that there is a balance of strengths and weaknesses in this

area. The Council carries out responsive repairs on time and tenants can easily report repairs. A repairs handbook gives tenants effective guidance on identifying faults. The Council exceeds acceptable levels for expensive repairs impacting on its capacity to deliver value for money and there is no monitoring of appointments being made and kept and repairs being completed in one visit to ensure that service commitments are met. Pre and post inspections are taking too long to complete and the handypersons service has limited capacity to carry out minor repairs quickly.

130. Since the inspectorate’s report, controls for checking emergencies & urgent jobs

have been put in place and a training programme arranged for Customer Services Officers. Computer monitoring reports are now available to allow managers to monitor the level of emergencies and urgent jobs. As a result, performance has improved: the percentage of emergency and urgent repairs has reduced from 31.57% in 2007/8 to 29.13% in Sept 08 and performance is now within the best practice guidelines of 30%. The percentage of emergencies has also reduced slightly from 12.37% in 2007/8 to 12.30% in Sept 08. Further measures are being introduced to bring the level of emergencies to below the best practice guidelines of 10%.

131. Systems have been introduced for monitoring performance in relation to

appointments made and kept and the percentage of repairs completed on the first visit. The percentage of repairs completed on the first visit has increased from 83.60% in Apr 08 to 88.04% in Sep 08 (compared to a target of 80%). The percentage of repairs for which an appointment was made and kept stood at 97.39% in Jul 08 (compared to a target of 95%). These figures are well above the 2007/8 and 2008/9 (Q1) Housemark median figures for ALMOs, which were 95.47% and 96.08% respectively.

132. The Enfield Homes’ handyperson service has been reviewed and now focuses on

carrying out minor repairs for new tenants, those moving due to under occupation and those being compulsorily decanted. Close links have been established between Enfield Homes and Age Concern Enfield who provide a complementary handyperson service, which is grant funded by Enfield Council through the supporting people programme. Enfield Homes has promoted the Age Concern scheme via Housing News and information in reception areas in order to ensure that tenants and leaseholders have access to a comprehensive handyperson service.

Stock Investment and Asset Management - Empty property (voids) management 133. The inspectors found that there is a balance of strengths and weaknesses in this

area. A comprehensive re-let standard reflects tenant priorities and this is being delivered. Properties are let quickly, but escalating costs are not being scrutinised to identify efficiencies. Tenant satisfaction is low and surveys do not canvass all aspects of the service to identify service improvements.

134. Detailed analysis of voids costs has now been carried out and the results show

that between 2006/7 and 2007/8 the average cost of re-servicing voids (excluding decent homes work) reduced from £2,905 to £2,342 following the letting of partnering contracts. However, in 2008/9 the costs increased by approximately 10% to £2,584. This represents a net increase of approximately 5% taking the BCIS building inflation figure of 5% into account. Further controls have been put in place and a target set to reduce the average voids costs to the

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median figure for the Housemark London Voids Benchmarking Club, (i.e. £2,527) for the remainder of the year.

135. The information given to new tenants as part of the lettings process has been

improved and other changes have been introduced, such as ensuring that all new tenants are seen by a Welfare Benefits Adviser and the introduction of a decorations card to allow new tenants to purchase decorating materials from Homebase. These changes have contributed towards an initial increase in customer satisfaction with the lettings process: the percentage of tenants who thought the service received from the Rehousing team was ‘very good’ or ‘good’ was 73.2% in 2007/8 and this has increased to 85.5% in 2008/9 (Q1). Enfield Homes has also taken the opportunity to revamp the customer satisfaction survey form so that questions are now asked on the condition of the property and on the bidding process under the Choice Based Lettings scheme.

Stock Investment and Asset Management - Gas servicing 136. The inspectors found that strengths outweigh weaknesses in this area. Gas

servicing is being carried out on time and prompt action is taken where there are access issues. Leaseholders have the option to access this service for a competitive charge. The importance of gas servicing is publicised and certificates for completed services are appropriately managed. Records for the programme are not always up to date, requiring regular updates of a manual system.

137. Enfield Homes is currently in the process of procuring an integrated Asset

Management System, which will bring together the various systems relating to the management of the housing stock, for example gas servicing, asbestos management, aids and adaptations, planned maintenance, major works and repairs.

Stock Investment and Asset Management - Aids and adaptations 138. The inspectors found that weaknesses outweigh strengths in this area. There is a

backlog of works required to assist tenants to live independently in their homes and the service is not effectively publicised, to raise awareness amongst tenants needing support. Arrangements to obtain tenant feedback to identify service improvements are ineffective. The database recording and managing aids and adaptations is not integrated with the housing management system to aid recycling once aids and adaptations are no longer needed. Capacity to provide aids and adaptations is increasing and the Council makes use of opportunities for inward investment. Targets for assessing applications are met.

139. Since the inspectorate’s report, new arrangements have been introduced for

Occupational Therapist (OT) assessments. The OT service is now provided by Enfield Council Social Services and this has led to the clearance of the backlog of cases that existed in 2007.

140. Details of the aids and adaptations service have been publicised in the tenants'

handbook and in the revised repairs handbook. A publicity leaflet has also been produced and is available from reception points. This publicity has contributed towards a 30% increase in the number of homes subject to major adaptations carried out during April-Sep 08 compared to the previous 6 month period.

Income management 141. The inspectors found that weaknesses outweigh strengths in this area. The

Council is a weak performer in rent collection and does not demonstrate best practice in some aspects of the service, such as payment methods and

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incentives. There are no formal arrangements for monitoring that procedures are complied with and benefit take up campaigns are limited. Positively, the service is being promoted to tenants whose preferred language is not English and there is an effective escalation procedure. Recovery action supports tenants, with eviction used as a last resort. Former tenant arrears are effectively recovered and tenants have access to welfare benefits and debt advice.

142. Rent collection performance has improved considerably following the formation of

the Income Recovery Team in 2007. The rent collection rate for 2006/7 was 96.75%, in 2007/8 it was 97.23% and in 2008/9 (Q2) it has increased to 98.04%. A number of improvements to the rent arrears prevention and collection service have helped to achieve these increases, including: • The introduction of plastic rent payment cards to enable tenants to pay their

rent at PayZone outlets, of which there are 116 in Enfield, including newsagents, petrol stations and supermarkets.

• Agreeing a joint welfare benefits take-up strategy / campaign with the Housing Benefits Team.

• The introduction of a rent payment incentive scheme in the form of a prize draw.

• Improvements to the arrangements for monitoring compliance with the computerised escalation system using bespoke reports.

• Introduction of a direct debit payment incentive scheme. Resident involvement 143. The inspectors found that weaknesses outweigh strengths in this area. There are

options for tenants and leaseholders to get involved in the activities of the Council, but these have not been agreed in partnership to ensure they provide sufficient opportunity to influence service delivery in convenient ways. Tenant and resident groups are not being assessed against criteria in place to recognise that they are representative of the communities they serve, and they have not been consulted on proposed changes to the support they receive from the Council. The Council is increasing BME involvement by using tenant profiling to target recruitment of its consultation network, and comprehensive training is available to support tenants and leaseholders to be fully involved.

144. Since the inspectorate’s report, a framework outlining the current methods of

involvement has been included in the tenants' handbook and the leaseholders’ handbook, both of which were agreed with FECA and produced in consultation with tenants’ and leaseholders’ focus groups. A separate mailshot was sent to all tenants and leaseholders outlining the methods of involvement. Details of the methods of involvement are included in the welcome pack for new tenants and in the new resident involvement strategy. The methods of involvement were extensively promoted at the five community festivals held in 2008/9.

145. As a result of promoting the various methods of involvement, there has been an

increase in the attendance at the residents meetings, the Repairs Focus Group meetings and the ASB Steering Group meetings. The consultative Network still has over a thousand members and reflects the wider tenant profile in terms of its ethnic make-up. The Network has been used for involving customers in various service improvements, for example in testing the revised Choice Based Lettings website, revising the anti-social behaviour policy/procedures to encompass the Respect Standard, producing the lettings standard for empty properties and reformatting of the service charge bills to make them clearer.

146. During 2008 Enfield Homes has worked with the Tenant Participation Advisory

Service (TPAS) to ensure that all residents’ associations have been assessed against the recognition criteria and their support requirements have been

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assessed. Follow-up action to strengthen the working relationship between residents’ associations and Enfield Homes is underway. Both FECA and Enfield Homes will continue to provide support to the associations and a workplan has been agreed for FECA to show the support they will provide to associations.

Tenancy and estate management - Tenancy management 147. The inspectors found that strengths outweigh weaknesses in this area. There are

successes in dealing with incidents of anti-social behaviour using legal remedies, robust investigation and evidence collection and supporting perpetrators to amend their behaviour. Strong partnership working through multi-agency forums targets resources to improve areas most affected by anti-social behaviour, and tenants report incidents are being dealt with more effectively. The Council is not monitoring performance against targets within the anti-social behaviour procedure and options for dealing with complaints against leaseholders are undeveloped. Arrangements to report incidents of anti-social behaviour are not customer friendly.

148. Action taken to address the Audit Commission’s recommendations has included

the development of comprehensive reports to enable managers to monitor performance against the ASB service standards and timescales. As a result, regular reports are produced and are used by managers during supervision meetings and by the Housing Management Team to monitor overall performance. Performance in contacting the victim on time in 2007/8 was 91.11%, in 2008/9 this was 95.89%.

149. The ASB leaflet and procedures were redrafted in order to strengthen the

approach for dealing with ASB involving leaseholders. Details have also been included in the tenants' handbook, the revised leaseholders' handbook and the Enfield Homes’ website (www.enfieldhomes.org). The contents of the tenants’ handbook was approved by residents’ focus groups and the leaseholders’ handbook by the Leaseholder Panel and focus group.

150. The residents’ Respect Steering Group has continued to assist policy

development and to steer the priorities for tackling ASB in the borough and service standards. For example, Good Neighbour Agreements have been developed by the Group and publicised in posters and leaflets, in new tenants welcome packs, receptions and at the community festivals.

151. The Quarter 2 (Jul-Sep 08) ASB satisfaction survey results show that 97% of

respondents were satisfied with the service received from the person dealing with their report of ASB (114 survey forms were sent out and there was a 41% response rate). 72% of respondents found it easy to contact a member of staff to report ASB.

152. Following the introduction of the Enfield Homes’ freephone number, the reporting

arrangements for ASB were reviewed. The freephone number has been extensively publicised in Housing News, mailshots, the tenants' handbook, the ASB leaflet and other publications. The move away from advertising the Council’s Community Safety Unit has also strengthened the arm’s length approach adopted by Enfield Homes and the Council. A recent telephone survey has shown that 80% of respondents were aware of the new freephone number, and 92% said they found it easy to contact Enfield Homes by phone.

Tenancy and estate management - Estate management 153. The inspectors found that there is a balance of strengths and weaknesses in this

area. Some estates are well maintained, but others still require investment and

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intensive management to be attractive places to live. It is a significant weakness that there are no arrangements to assess estate management for estates where the Council has responsibility outside Enfield. Trained tenant inspectors independently assess estate management services and there are local budgets to deliver environmental improvements.

154. A comprehensive estate inspection regime is now in place so that all estates are

inspected on a regular basis, including estates that are outside Enfield. Further improvements to the estate inspection process are planned during 2008/9, including setting aside an additional £1m for communal repairs and improvements arising from estate inspections.

Supported Housing 155. The inspectors found that strengths outweigh weaknesses in this area. Tenants

have access to the advice and support they need to live independently. Support plans are in place and strong partnerships with other agencies enable additional care and support needs to be identified and met. Tenants are generally satisfied with the service, which is meeting statutory requirements in service delivery. Service standards are in place and reflect tenant priorities. The viability of sheltered housing accommodation is being assessed, but this is overdue and options appraisal outcomes are still to be considered within the asset management plan.

156. The review of sheltered housing was completed early in 2008 and agreed by

Cabinet in March 2008. Five blocks were agreed for disposal as they do not meet modern standards. These blocks are currently being decanted.

Leasehold and Shared Ownership 157. The inspectors found that weaknesses outweigh strengths in this area.

Leaseholder satisfaction with the service has not been assessed, and it is not always easy to access services, which are not comprehensively promoted. There is limited profile information for leaseholders to determine priorities and needs. Some leasehold service charges are not accurately apportioned and invoicing of repairs and maintenance expenditure is not timely. The formal dispute resolution procedure is confusing to access and section 125 notices are not always being issued on time. Leaseholder rights and responsibilities are promoted in newsletters, but a handbook has taken several years to produce. Leaseholders are involved in the activities of the Council through consultation forums including the shadow board. There are effective arrangements to notify major works costs and financial assistance available, and information on service charges is effective, with collection increasing. Arrears are routinely monitored and leaseholders have access to debt advice.

158. As stated earlier, procedures for capturing profiling information have been

improved and, as a result, profiling information has been captured for 38% of leaseholders (up from under 2% in Oct 07).

159. The caretaking and grounds maintenance and management costs are being

reviewed to improve the apportionment of service charges. Collation of information to enable the introduction of new apportionments is already underway, for example a time measurement exercise at block and estate levels has been carried out for caretakers. It is anticipated that the new apportionments will be introduced in 2010/11.

160. A system has been introduced to send listings of communal repairs to

leaseholders on a 6-monthly basis as opposed to annually. This frequency was

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agreed with a focus group of leaseholders. The format of the repairs listings has also been revised and now includes an explanation of abbreviations.

161. A simplified disputes resolution procedure has been produced and agreed with

FECA. A leaflet outlining the procedure has been printed and is available in reception areas and other offices in Enfield. Details have been included in the leaseholders’ handbook which has been sent to all leaseholders.

162. The leaseholders’ handbook was issued to all leaseholders in 2007 and has been

updated in 2008. 163. Performance in issuing Section 125 Notices has improved: the cumulative

performance from Apr-Sep 08 is that 92.86% of notices for flats have been issued on time, compared to 59% in 2007/8.

Value for Money 164. The inspectors found that there is a balance of strengths and weaknesses in this

area. Benchmarking takes place to set performance indicators and make cost comparisons, and modern procurement methods comply with European Union tendering requirements and involve tenants. Significant savings have been achieved and there are examples of inward investment. It is a serious weakness that the housing department has not set efficiency targets or started to formalise its approach to delivering value for money through a strategy, in preparation for the Arms Length Management Organisation going live. The Council is not meeting key areas of best practice, such as levels of repairs which are more expensive to deliver than routine or planned, and clearly setting priorities for investment through a comprehensive asset management plan.

165. Since the inspectorate’s report, Enfield Homes’ has produced a Value for Money

strategy and action plan to meet the short term and long term requirements to keep the HRA in balance. The strategy embraces a series of service efficiency and Service Level Agreement reviews, and business process re-engineering, to enable continuing improvement in services despite funding pressures.

166. Enfield Homes is now meeting the best practice guidance figures for planned to

responsive repairs: the 2008/9 (Q2) performance is 65.17% planned maintenance (HIPSA D27&28).

Management of Performance 167. The inspectors found that there is a balance of strengths and weaknesses in this

area. Performance management is being led corporately and housing services have not yet prepared independent arrangements for when the Arms Length Management Organisation is set up. Ways to involve tenants and leaseholders are not formalised and objectives to set the strategic direction of key services when the Arms Length Management Organisation goes live are not included in plans. Service outcomes are reviewed when service plans are agreed and priorities for housing services are informed by statutory requirements and improvements identified through audits. Staff receive the training they need to deliver services.

168. Enfield Homes has now developed a performance and financial management

framework which provides a sound basis for improvement planning. The organisation’s mission, vision and values are translated through a series of immediate and longer term objectives in the Delivery Plan to the four Service Plans and individual performance agreements. The Delivery Plan was in place at the time of the launch, having been the subject of a detailed process of

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construction involving the Shadow Board, staff, councillors and Council officers. It was regarded as vital to put the corresponding Service Plans and a performance agreement for each member of staff in place in the first few months of Enfield Homes. This was achieved by September, and gave the ability for a mid-year review in November to take stock on performance to date in the first year of Enfield Homes’ operation.

169. Good quality performance and financial monitoring information for Enfield Homes

have been available since June. They are looked at monthly at Management Team meetings, always side by side on the agenda, to facilitate the link between outcomes and resources and the potential for achieving value for money. The performance information is summarised in an easy to understand format to act as a barometer of how the organisation is doing against its main performance objectives in the Delivery and Service Plans, to allow prompt action where performance is falling short, or reinforcement and celebration where performance is strong. The format lends itself to use without major alteration for performance review at Enfield Homes Board and Committee meetings, the monthly client liaison meetings with the Council, the Housing Services Board, and meetings with residents. Performance on the key indicators and local PI’s has improved through the year driven by some stretching but realistic targets.

Enfield Homes Delivery Plan 2008/09 170. Enfield Homes published its delivery plan for 2008/09 in April 2008. The plan

identifies five long-term strategic aims: • High Quality Accessible Services • Sound Stock Investment and Maintenance • Successful Partnerships and Sustainable Communities • Organisational Excellence • Effective use of Resources

171. The Council has set out the key outcomes it expects of Enfield Homes as follows:

• To achieve a minimum two star inspection rating on inspection by the Audit Commission in February 2009.

• To complete all the actions that are set out in the Council’s November 2007 Audit Commission Inspection Action Plan on time and in budget.

• To deliver minimum efficiency savings of 3% per annum from 2009/10, to be regularly reviewed in line with the Council Housing Business Plan.

• To deliver the Decent Homes and Major Works programmes to time and to cost.

• To meet the Council’s targets for Housing Performance Indicators set out in the Council’s Business and Improvement Plan for 2008 – 2011.3

172. To achieve the Council’s key outcomes for Enfield Homes, they will focus in

2008/09 on the following priorities: • Achieving at least two stars in the scheduled inspection. • Completing all the actions in the Council’s November 2007 Audit Commission

Inspection Action Plan on time and in budget. • Developing and implementing our Value for Money strategy. • Delivering the 2008/09 Decent Homes programme to timetable and cost. • Developing capacity to deliver an expanded Decent Homes programme from

2009/10. • Meeting the Council’s 2008/09 targets for Housing PIs.

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3 The Council’s performance indicators are explained in more detail in the previous section, page 24

Enfield Homes Value for Money Strategy 173. Value for money and efficiency will be key features of Enfield Homes’

development. They have therefore identified the effective use of resources as one of their five key long-term strategic aims and their first priority for this in 2008/09 is the development and implementation of a Value for Money Strategy.

174. As part of the first Delivery Plan agreed between Enfield Homes and the Council

for 2008/09, efficiency savings of at least 3% a year have been identified as a central target for 2009/10 onwards. There will be short and long-term targets in the delegated and managed budgets. There will be Fundamental Service Reviews and Benchmarking.

175. The following has already been achieved:

• The Repairs 4U Centre was formed in 2006. • New Partnering and Collaborative working contracts were let from August

2007. • Re-tendered Mechanical and Electrical contracts provide better value for

money. • Electricity and gas for communal lighting and boilers is now purchased

through a bulk-buying consortium. • The Housing Management Service was reorganised in 2007/08 leading to a

reduction in costs of £250,000 and a structure better able to deliver quality services.

• Savings of £200,000 were achieved on legal representation by introducing DIY Possession Orders.

• Service Level Agreements have been reached with the major support service providers.

• The Shadow Arms Length Management Organisation Board agreed a draft Service Efficiency Review Programme based on a Risk matrix in 2007/08.

176. Key Priorities for 2008/09 include:

• Developing a Value for Money Strategy including an Action Plan • Integrating value for money into planning and performance management

frameworks. • Creating a value for money culture

o The Board will adopt the overarching Value for Money Strategy o The Executive Team will ensure that the Value for Money Strategy and

Action Plan is put in place o Managers will be responsible for delivering value for money in their

services o All Staff will be aware of the importance of value for money.

• Residents will be kept informed and involved. • Service level agreements will be used to review central support services. • Procurement strategies will use economies of scale and partnering

opportunities • Structures, procedures and processes will be reviewed to reduce overheads • Business process re-engineering and improved use of information

technology • Maximising income • Benchmarking • Service reviews

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Fairness in Housing Services 177. Public authorities, including both local authorities and ALMOs, need to meet a

series of statutory requirements in respect of equalities. These include the Equality Act 2006; Race Relations (Amendment) Act 2000; and the Disability Equality Duty and Gender Equality Duty.

178. Enfield Council and Enfield Homes also have responsibilities which are outlined in

the Code of Practice for Racial Equality in Housing. One of the key themes of the code is the requirement to adopt a positive approach to equality. This means that housing landlords need to work actively to ensure that their services meet the needs of all residents, irrespective of their ethnicity.

179. Enfield Council’s response to these challenges has been to develop an approach

that allows us to consider equalities across all the Council’s services in a systematic and standardised way. This means that all services will evaluate their performance against all six equalities strands: • Race • Gender • Disability • Faith / Religion • Age • Sexuality

180. As part of this approach, the Council has devised an Equalities Impact

Assessment (EqIA) tool. EqIAs enable individual service managers to identify any work needed to ensure that their service is compliant with equalities obligations. This business plan has been assessed using an EqIA to ensure that it does not disadvantage any of Enfield communities, and complies with equalities legislation.

181. The Council’s impact assessments and action plans are brought together annually

into one corporate document, the Equality and Diversity Annual Report. This means that all information pertaining to equalities and diversity is presented in a coherent, unified way. The first of these reports was published in September 2007; the next report is expected in September 2008.

182. Enfield Council also produces an Annual Housing Equalities Report, which

complements the Council’s Equality and Diversity Annual Report by offering more detailed analysis of housing services. This reflects the requirements of the Statutory Code of practice for Racial Equality in Housing, and the Equality Standard for Local Government.

183. Enfield Homes is in the process of assessing its services. Their programme for

improvement is set out in the Enfield Homes Equality and Diversity Strategy and Action Plan. This explains how Enfield Homes will meet the requirements of the various equalities duties, and the Statutory Code for Racial Equality in Housing. The programme of work captures outstanding actions from the Council’s Equalities Action Plans.

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Resident Involvement

Resident Involvement in Enfield 184. The Council, Enfield Homes and the Federation of Enfield Community

Associations (FECA) are committed to working in partnership with council tenants and leaseholders.

185. The Council’s borough wide Tenant Participation Compact, revised and up-dated

this year by Enfield Homes in partnership with FECA, is a formal agreement between the Council, Enfield Homes and its residents. The Compact sets out the ways in which tenants and leaseholders can be involved in decisions related to their homes.

186. Enfield Homes provides tenants and leaseholders with many opportunities to be

involved, through ‘People Like You Making A Difference.’ its resident involvement strategy Tenants and leaseholders can be involved in setting, monitoring and reviewing housing service standards, influencing policy and participating in the Enfield Homes’ improvement and delivery plans. Delivering this strategy is an important part of Enfield Homes’ improvement and delivery plans.

187. Enfield Homes is building on existing good practice and is developing a resident-

focused, customer-led approach to housing services. Empowering residents in the community, Enfield Homes is working to develop an organisational culture where participation and involvement of residents is encouraged, supported and used to make a difference to housing services.

188. FECA, is the umbrella organisation which represents the views of all affiliated

tenant, resident and community organisations and individuals. Practically, it encourages resident involvement in housing by providing support, training and advice. In partnership with FECA, and tenant and resident associations, Enfield Homes has successfully engaged with a diverse range of residents and their children through annual community festivals organised across the borough, and regular activities and events at community halls.

Resident Involvement in the Appraisal 189. Tenants and leaseholders have already been involved in helping the Council to

make decisions about the services they receive. For example, tenants were involved in the Housing Options Appraisal, both through the Steering Group, and through questionnaires and surveys. The previous business plan set out how the Council would improve tenant involvement, and the Council will follow this through in the new plan.

190. Enfield Homes has offered more ways for residents to get involved in managing

their homes. Tenants and leaseholders make up one third of the board that governs Enfield Homes. The Council has also set up an annual tenants and leaseholders' conference. The last conference was in November 2008.

191. Tenant support for the creation of Enfield Homes was demonstrated through:

• A ‘test of opinion’ postal survey undertaken during the stock options appraisal process.

• Face to face surveys carried out by the Independent Tenants’ Advisor to test residents’ knowledge of the decision and support for the outcome.

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• Events and activities that were held to raise awareness of Enfield Homes, provide information, and engage residents in the development of the resident involvement strategy and the service improvement plan.

• Fourteen road shows held at various locations in March 2006. • Workshops held with residents’ representatives. • A Saturday conference for residents held in January 2006. • Presentations on the Enfield Homes to the Federation of Enfield Community

Associations and the Leaseholders’ Panel.

192. The Federation of Enfield Community Associations fully supported the decision to

form Enfield Homes. 193. As part of the preparation of the Housing Strategy 2005-2010, a questionnaire

was sent to all council tenants and leaseholders. It was also completed by the Enfield Residents’ Panel, a representative sample of Enfield residents, who identified ‘increasing the availability of affordable housing for people looking for a home’ as the single most important priority for over 60% of residents. Other priorities identified included repairs and maintenance in council and housing association properties, and overcrowding in council and housing association properties.

Resident Consultation on the Council Housing Business Plan 194. The Council has consulted tenants, leaseholders and other interested parties on

the new Council Housing Business Plan, formally and informally. Methods have included a postal survey in December 2006, articles in the magazine ‘Housing News’ in December 2006 and March 2007, and attendance at all of the area based resident engagement forums which involved both residents associations and Councillors. The Council has used residents’ feedback to help to decide on priorities for the business plan.

195. In terms of the Council Housing Business Plan 2008-2018, the Council has

formally consulted with residents and other interested parties, including the Federation of Enfield Community Associations and the Enfield Homes Board, ahead of Cabinet approval in December 2008. The Council Housing Business Plan is available on the Council’s website and the Enfield Homes website. In November, further articles appeared in ‘Housing News’ to keep tenants and leaseholders fully informed.

196. The details and results of the consultation with tenants and leaseholders are

shown below. A wide range of issues were addressed, many of which are relevant to this Business Plan. As part of the consultation, residents were asked what they thought the priorities for council housing should be: • 63% of tenants and leaseholders would like to see more housing staff on

their estates while only 8% would not. • Tenants and leaseholders identified the following as the most important

issues relating to their homes: o safety in my home or on my estate – 58% o warm home with low bills – 45% o home in good repair – 38% o security patrols – 32% o modern kitchen & bathroom – 28% o clean communal areas in good repair – 27% o working lifts – 10%

• Tenants and leaseholders considered that the Council should work first on estates where:

36o the physical condition is worst – 35%

o people are on the lowest incomes – 27% o energy bills are high because of poor insulation – 18%

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Managing our Assets and Creating Decent Homes 197. The Capital Investment Programme looks closely at:

• The standard of improvements to properties • What choices are offered to tenants to minimise disruption to their lives • Priorities for investment, driven by the Housing Strategy • Which partners will complete what work, and where • How to spread resources between Decent Homes and other areas, such as

adaptations for disabled people and environmental work. 198. The Council’s comprehensive information on stock condition has been used to

inform the Building Cost Model and the Decent Homes Programme. Nearly a third of council owned flats are of non-traditional construction and are in high rise blocks of six storeys or more. As at 31st March 2008, 22% of properties fail the Decent Homes Standard, with a further 35% projected to become non-decent by 2011 (based on April 2006 information).

199. The Council is developing a procurement strategy embracing the Egan principles

of partnering and supply chain management to give better control of our costs. The Council will work more closely with our stakeholders to incorporate Best Value and continuous improvement.

Stock Condition Survey 200. The stock condition database is based on a borough-wide stock survey

undertaken in 1999 by our partners in developing our Stock Asset Management System database, NBA Consortium Services. We have updated and refined this on at least an annual basis in accordance with industry best practice.

201. The information derived from the 1999 survey was sufficiently robust to allow a

true assessment of the condition of the stock and its investment needs as part of the Housing Stock Options Appraisal. The Community Housing Task Force commented in 2004 that the database was 'a good survey, well maintained and understood by in-house staff' and 'an adequate foundation for the Options Appraisal exercise'.

202. A new stock condition survey was carried out in June 2006 and published in

March 2007. The exercise was again undertaken by NBA Consortium Services and involved carrying out surveys of 100% of external areas, as well as internal surveys on 17% of the tenanted stock.

203. This latest survey addresses new standards, such as the Housing Health and

Safety Rating System, and provides updated information on Decent Homes. This has been used to review and update the capital programme. The Council plans to improve the standard of council homes; for example many kitchen and bathroom layouts and fittings are below present day expectations.

204. Some older properties require modernisation and remodelling, due to poor

quality conversions during the 1960s and 1970s. During this period relatively little thought was given to sound insulation and thermal comfort. These issues, as well as the high density of development, have led to management and anti-social behaviour issues.

205. Residents confirm that affordable warmth is a high priority. Given that much of

the stock consists of blocks of flats, a high priority will be replacing costly and

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inefficient systems, such as under floor heating and partial warm air heating, with modern energy efficient low-maintenance systems.

206. The 2006 stock condition survey, published in March 2007, concluded that the

stock is of good design and generally of sound traditional construction. It is certainly worthy of the investment necessary for effective ongoing maintenance.

207. On repair, condition and past maintenance the survey found that the stock is

generally in good condition and has benefited from the Council’s past maintenance activity. The level of works identified is modest and can be attributed largely to the ageing of the stock. The relatively sound condition of the stock today reflects the Council’s commitment to maintenance and the effective targeting of finances by officers. However, there remains a need for significant further investment to catch up on some basic fabric repair works; keep pace with maintenance demands from an ageing stock; to provide for perceived future maintenance needs; and to improve the standards of accommodation and amenity.

208. On Decent Homes the survey found that 26% of the stock failed to meet the

criteria of HHSRS hazards, condition, amenity and thermal comfort stipulated by the Decent Homes Standard. A total of £10million is required to render all properties ‘decent’. A further £62million is required to maintain the condition of the stock and prevent further dwellings becoming non-decent within the ten year period, as the result of the future deterioration of key elements.

209. On standards of accommodation and amenity the survey found that a significant

proportion of the stock fails to meet present day basic standards of accommodation and amenity. While the vast majority of dwellings benefit from a central heating system and insulation, the level of appointment in terms of kitchen and bathroom fittings is often below present day expectations, and some older properties require the modernisation of plan layouts. £37million (14% of the total expenditure) has been identified as required to carry out the improvements necessary to raise the stock to a level of appointment and amenity that would meet the ‘benchmark standards’ identified.

210. On energy efficiency the survey found that the stock has an average SAP energy

efficiency rating of 66, significantly higher than the UK average for council housing. However, 27% of the stock falls short of the ‘acceptable’ target of 55 and only 40% of dwellings achieve the ‘preferred’ target of a SAP rating of 70+. The shortfall indicates that significant scope remains for improving the energy efficiency of the stock. The measures recommended would, within the programme period, bring 99% of the stock above the ‘acceptable’ target and achieve a significant 32% reduction in average running costs, CO2 emissions and total energy consumption.

211. On future maintenance the survey found two underlying factors that will have a

strong influence on the levels, scope and nature of future maintenance demands. These are the material make up of the stock, and its age and type profile. It is imperative that future maintenance is based on rationalised programmes, formulated from sound knowledge of stock condition and priorities. In this way maximum benefit can be achieved from the funds available. The surveyors believe that every possible effort should be made to allocate the resources needed to implement the programme in full.

212. The surveyors warn that failure to carry out the works that have been identified

by the survey would result in a growing backlog of repair and upgrading demands, an escalating level of uneconomic reactive maintenance activity, a decline in the standards of accommodation offered to tenants, and consequently an increasing burden on the resources of the Council.

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Decent Homes Programme 213. During its first year Enfield Homes has prepared new initiatives and funding to

improve not only the SAP rating and HECA (Home Energy Conservation Act) profile of its stock, but also to maximise ‘affordable warmth’. Initiatives will include: • Installing boilers with an efficiency in excess of 90%, qualifying for a

SEDBUK ‘A’ rating. • Weather compensation and optimised heating controls to boilers to regulate

ambient temperatures to agreed household comfort levels, and reduce the over-use of fuel.

• Reducing CO2 emissions. 214. The Decent Homes position is summarised below:

Resources 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Failing at start of year 2,864 2,641 2,294 1,936 1,495 945 396 Failing during the year 824 653 653 653 653 653 654 Brought up to standard during year 1,047 1,000 1,011 1,094 1,202 1,202 1,050

Disposals 45 36 36 36 36 36 36 Non-decent homes at year end 2,641 2,294 1,936 1,495 945 396 0 Proportion of total 22.3% 19.4% 16.5% 12.8% 8.1% 3.4% 0.0%

215. In preparation for the investment programme, the Council has developed the

Building Cost Model for submission to Communities and Local Government. This builds on the analysis carried out for the Stock Options Appraisal in early 2005. The cost of works included in the stock condition survey database is appropriate, being representative of actual expenditure requirements, and sufficient to predict expenditure needs. The Council continues to appraise the costs included in the stock condition survey by market testing. The rates and scheme costs which were used are compared with up to date results from consultant feasibilities and competitive tendering.

216. A new and comprehensive Housing Asset Management and Procurement Strategy

has been developed in line with the Council’s Corporate Procurement Strategy. The Council is in the process of setting up new partnering contracts with contractors, to achieve best value and continuous improvement, in line with the Egan agenda.

217. A single major constructor partner procurement process is being followed for the

procurement of £100m for the first of two phases of the longer-term stock investment and achievement of Decent Homes. The OJEU (Official Journal of the European Union) process is lengthy and it is anticipated that the first partner will be in place during 2008/09. The first procurement was set at £100m over 4 years, as the level the Council can support based on the funding available. The initial Pre-Qualification Questionnaire part of the procurement process is complete. Delays have occurred due to challenges from contractors, and external expert advice was taken from Eversheds and KPMG to mitigate as far as possible any risks of further financial challenges, and to ensure that procedures are robust.

218. The Council expects the first year's efficiency savings to accrue in 2009/10 as

Enfield Homes is required to deliver 3% efficiency savings in accordance with the terms of the management agreement. Savings from the day to day repairs partnering contract will be used for investment in planned preventative works to

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reduce further the need for responsive repairs. Apart from reduced costs and better value for money, the other benefits that will arise include: • Good local knowledge on the part of companies employed • A greater proportion of planned maintenance • Better performance from contractors both in terms of quality and timeliness

of work because measures such as linking performance to payment are being introduced

• Improvements in environmental performance and sustainability • Local employment and training opportunities for residents (provision for this

has been made within the partnering contracts). 219. The Council recognises the importance of procurement in making efficiency

savings, which will be a major contributor to the Council’s work in addressing Gershon agenda.

220. A summary of the proposed works to meet the Decent Homes Standard is shown

below: Work area Number of units Bathroom upgrades 1,364 Heating upgrades 2,609 Insulation improvements 1,065 Kitchen upgrades 3,161 Rewires and electrical upgrades 4,040 Roof repairs and renewals 876 Cladding/ Rendering 251 Windows and external doors 3,671 221. The Council’s aim is to minimise disturbance to residents and generally most

works packages will require only two “within-home” access periods: • Lift replacement programme including services upgrading (communal

systems including heating, electrical and water). • External envelope works, including window replacement, roofing, rain screen

cladding, block insulation and structural repair works. • New kitchens, bathrooms, central heating renewal and replacement,

rewiring and internal refurbishment in line with the Decent Homes Standard. • Estate environment and security improvements including door entry systems

222. This approach is important to residents, especially those on lower incomes, who

cannot afford to take too much time off work. By better planning and avoiding duplication of activities, the Council can reduce the overall time spent on any one home, to minimise the effect on residents.

223. The Council has effective measures in place for ensuring co-ordination between

planning, housing and other services. A major applications meeting is held every fortnight involving planning, housing, highways, education and other services to consider all major planning applications (and pre-application submissions).

224. This close working relationship will be extended as the Asset Management

Strategy develops. Enfield Homes will work proactively to ensure the Decent Homes investment feeds into wider regeneration and renewal approaches for the benefit of Enfield’s residents.

225. The overall level of activity in the housebuilding and maintenance industry is

difficult to predict with any degree of certainty over the short and medium terms. Known factors that are likely to have a significant effect are: the lead up to the Olympics; decent homes programmes in other authorities; and house building targets in the region. However, variations in the level of market activity as a

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result of changes in the economy are less easy to assess. The Council recognises the need for flexibility in the programme to respond to the effects of such outside influences. To address these risks and uncertainties the Council has already secured the design and professional services of a framework of six construction consultancy services.

226. The Council is planning to enter into partnering contracts for the delivery of the

Decent Homes programme of works, and the OJEU Notice for these contracts have been placed.

227. The performance of all contractors will be monitored using the industry standard,

which is focused on quality delivery principles, value for money and resident satisfaction. Residents will be involved in the monitoring of the contractors’ performance and will be an integral part of individual project teams.

228. Enfield Homes is in line to receive additional Decent Homes funding, subject to

achieving a two-star rating at the inspection in February 2009. The use of these funds must be planned and managed carefully to make sure that the extra resources are used effectively. A number of measures to achieve this are already in place. These include: • A programme of consultation with residents and stakeholders on the delivery

of a five-year programme of major works. • Feasibility and consultation processes are being brought forward to ensure

that schemes are ready to proceed when funds become available • The Council has identified the potential risk of not being able to recruit

suitably competent and qualified personnel to drive forward the delivery of the major works programme. Through an integrated team structure with constructor partner working, high overheads and difficulties in recruiting professional staff are minimised.

• The Council is aware that the statutory requirements to consult with leaseholders can add significant delays unless they are properly managed. The Home Ownership Service has been restructured to provide adequately trained staff to deal with the consultation requirements.

Procurement 229. The Council has carried out a fundamental review of the repairs service. As a

result of this the Council has procured the responsive and void repairs contracts using partnering to improve and build on the service to residents. The Council is dividing works among contractors so that performance can be benchmarked make sure that contractors deliver excellent quality.

230. The Council also wants to ensure the involvement of all stakeholders in

improving the sustainability of the community. This will include skills training and local employment initiatives that can be further developed across the other partnering contracts in future procurement programmes. Residents will be key participants in the process of selecting contractors and some of them are already receiving training.

231. In November 2007, the Council hosted a product display week where various

mainstream housing product manufacturers and suppliers displayed boilers, kitchens and windows etc which residents were invited to view. The weeklong event was well attended and the suppliers fielded a number of queries regarding installation, maintenance, efficiency, life cycle and choices.

232. The Council has entered into long-term supply chain management and the

options of consortia or constructor arrangements are being reviewed as part of the major works tender evaluation. The Council is already a member of the

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London Housing Consortium. There will be tenant and leaseholder representation as part of the tender evaluation process. The Council will: • Maximise gains by rationalising product ranges • Benefit from long-term warranties and continuous manufacturer support for

design, insulation and commissioning, on-going maintenance, as-installed product data entry for stock repair management.

• Improve energy efficiency by raising the specification of boilers and controls for heating

• Deliver affordable warmth by specifying better products and looking to manufacturers to invest in research and development

• Use it knowledge gained through repairs to exclude products not offering Enfield Homes or its residents value for money, but which might otherwise be accepted as “adequate”

• Reduce our risks in an overheated market influenced by major initiatives such as the Thames Gateway, Decent Homes, and Olympic developments.

233. Following the issue of the Official Journal of the European Union notices, the Pre-

Qualification Questionnaire stage for the procurement of a major constructor partner contract has been completed.. Residents will form part of the tender evaluation panel at the next stage of the procurement process and the recommendations from that panel will be included in reports to when seeking approval to award the contract for achieving Decent Homes.

234. As part of our risk management strategy for managing the supply chain, the

Council will standardise the specifications of materials as far as possible, without compromising on quality, so that other suppliers can be used in the event that existing suppliers fail or under-perform.

The Council’s Asset Management Plan (AMP) 235. Asset management planning for Council housing is part of the Council’s overall

policy towards how it uses its buildings. The Council’s Corporate Asset Management Plan shows the balance between investing in housing, investing in the environment, and investing in maintaining the buildings the Council already own. The Council will take advantage of the change in financial rules that now allow Councils to reinvest 100% of the money from voluntary sales of property and land into new and existing housing. The Council needs to sell buildings that are too expensive to maintain and make sure it has the money for the housing it does want to keep.

236. The Council has in place a robust corporate asset management planning system

that covers all service department policies and brings them together in a single corporate programme. The Council’s Asset Management Strategy refers to the housing stock as follows:

“Cabinet received the first full housing business plan with projections in July 2001, which covered a five year time span. This plan gave projections over thirty years. Strategies have been developed to maximise occupancy and rental income and to maintain the fabric.

“The Housing Group undertook a Best Value Review into the arrangements relating to the housing capital and planned maintenance programmes for works to stock. The housing and property teams are working closely to implement the findings of the review through an action plan.”

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237. The Council’s stock of approximately 16,198 properties of which 11,664 are rented and 4,534 are leasehold where the Council retains responsibility for the fabric of the buildings. Finance for the capital programme has increased from £8million in 1997 to £21million in 2008. A stock condition survey was carried out in 2006. The previous Business Plan identified 3,938 units, representing 32% of the stock, that did not meet the Decent Homes Standard, and a further 4,858 units that would become non-decent by 2010 without capital works.

238. Work on financial modelling that took place during the stock options process had

indicated change from the position in the previous Business Plan. Programmes of work are developed in partnership with residents through resident engagement structures. In 2005 the capital programme concentrated on whole property refurbishment and essential repair, together with elemental renewal initiatives. It was anticipated that 532 properties would cease to be non-decent by the end of March 2005 and that 278 would cease to be non-decent by the end of March 2006. Based on current stock knowledge and past investment, the 2006 application for Arms Length Management Organisation funding projected that significant additional funding was needed to achieve the Decent Homes Standard by 2013.

239. A further 100% stock condition survey was carried out in 2006 to provide

additional information, such as information on the Housing Health and Safety Rating System and updated information on Decent Homes for future years. A comprehensive and integrated stock condition database has been developed in conjunction with the survey. The results will influence the projects on which we spend our money from 2007 onwards. The amount of council housing, including council-owned hostel accommodation, has fallen from 12,782 properties in 2003,to 11,834 properties in 2008.

240. The Council’s priority is reducing the number of homes that do not meet the

Decent Homes Standard. So far this has reduced from 3,938 in 2003, to 2,641 at as 31st March 2008, a drop of 33.6%. The Council estimates that another 5,000 homes (35%) will become non-decent by 2010. Arms Length Management Organisation funding, alongside money already held, will allow all council housing to meet the government’s Decent Homes Standard by 2013.

241. The Council has produced a detailed plan describing the Capital Investment

Programme (for large building and renovation projects), including a Decent Homes Programme.

242. The Asset Management Plan identifies a need to sell buildings that are too

expensive and to make sure that the Council has the money for the housing that it wants to keep. New financial rules allow the Council to invest 100% of receipts from a property sale in either new housing or existing housing. The intention is to achieve a balance between investment in new housing, the environment and maintenance of existing homes.

Viability of Estates 243. The Stock Condition Survey has identified the work required to achieve and

maintain the Decent Homes Standard on each individual estate. This enables the Council to carry out an analysis to identify the estates that have a viable long-term future and those that are not viable. This analysis will show all the estates, where the cost of achieving and maintaining the Decent Homes Standard exceeds the Major Repairs Allowance by a ratio of more than five.

244. The Council will carry out appraisals of the future of estates that are not viable in

the long term that will include looking at the implications of Small Scale Stock

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Transfer, Demolition and Redevelopment and the Private Finance Initiative. The Council will consult fully with the tenants and leaseholders on such estates as part of the appraisal and before arriving at any conclusions. The Council will also consider the option of disposing of individual vacant freehold properties where major works are required before the property can be tenanted and the cost of achieving the Decent Homes Standard is uneconomic.

Review of Sheltered Housing 245. The Council has carried out a review of its sheltered housing provision and in

March 2008 took decisions about those blocks that are no longer suitable for use as sheltered housing.

246. The review has identified a continued need for sheltered housing in the Borough

and therefore the majority of the existing sheltered homes will be retained by the Council.

247. However, the Council confirmed that the following properties will be disposed of

as they are no longer considered suitable for use as sheltered housing: Sheltered Blocks Number of Units 9-85 Parsonage Lane 40 119-135 Lavender Hill 9 281-309 Hoe Lane 15 22-68 Forty Hill 24 41-63 Tudor Crescent 12 50-60 St George’s Road 6 Total 106 248. The tenants from these schemes are being housed in alternative social housing

following consultation with them to identify their housing needs. 249. The Sheltered Homes at Johnby Close, Pruden Close and Jasper Close will be

retained by the Council and feasibility studies undertaken to consider improvements.

250. The income from the sale of the sheltered sites will be re-invested into improving

other the Council Housing, particularly sheltered housing, in line with the Housing Asset Management Plan.

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Delivering Decent Homes 251. The Enfield Homes’ Asset Management Plan deals with the detail of maintaining

Enfield’s council housing and the delivery of Decent Homes for our tenants. As well as this it deals with fire safety, lift maintenance and renewal, environmental works and asbestos and energy performance. Enfield Homes Board’s Asset Management Executive, consisting of residents, Enfield Homes and Enfield Council representatives, is responsible for monitoring the Asset Management Plan. The Asset Management Executive reports to Enfield Homes’ Finance and Audit Committee.

252. From 2008–2014, the Council plans to spend £230million. The money will come

from: • Funding bid Enfield Homes £137 million • Major Repairs Allowance £54 million • Borrowings £29 million • Reserves and Revenue Contributions £10 million

253. The Decent Homes Programme, together with investment in our housing stock,

will cost £230 million, of which the Council is able to provide £93 million of the required resource and has received approval for the remaining £137 million to be met by Arms Length Management Organisation funding, subject to Enfield Homes receiving two starts in the Inspection in February 2009. Included within this is £7.0 million for environmental improvements to support the delivery of sustainable communities.

254. The funding requirements are set out in the profile of annual expenditure. This

takes account of the capacity of the local building industry and contractors to meet the investment requirements, while avoiding the risk of inflating contract prices by excess competition for scarce capacity. There is an indication how the funding would be used with other resources to maximise its effectiveness, and to reduce ongoing maintenance and service costs. The contribution of efficient procurement methods and robust supply chain management is emphasised.

255. Since the analysis at the time of the Options Appraisal, the figures have been

updated to take account of: • Revised estimates for inflation up to 2013, whereas the Stock Options

Appraisal price base was 2003 • Re-profiling of works for greater efficiency, with the result that some works

will be completed earlier • Inclusion of works previously not completed due to lack of resources.

256. In devising the programme the Council has taken care to test the capacity of the

local building industry and contractors to meet the requirements of all housing providers in the surrounding area, for example through conferences held with potential contractors.

257. The Council is taking measures to counter the risk of inflating contract prices

through excess competition for scarce capacity, in particular by agreeing long term partnering arrangements for day to day repairs that confer a greater certainty on assumptions and avoid the risk of uncontrolled inflation increases.

258. The Council has started its Decent Homes Programme in advance of the

government’s decision on the financing of Arms Length Management Organisations and is funding this from its own resources, principally the Major Repairs Allowance and prudential borrowing. Enfield Homes is continuing investment in our housing stock through planned maintenance programmes and an efficient reactive repairs service.

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259. The scope of the Asset Management Plan includes decent homes but also

includes emergency repairs; work on empty homes all regular cyclical maintenance such as regular servicing of gas appliances and electrical testing. The asset management plan ensures that effective contracts are in place for: • lift servicing • testing of communal water storage tanks for legionella • fire alarm and fire fighting equipment servicing

260. The Asset Management Plan oversees routine planned works to external roofs,

heating systems and window replacement and internal upgrading of wiring, kitchens, bathrooms, water supplies and door entry systems.

261. The redecoration programme involves surveying each property on the identified

estates for minor repairs such as defective gutters, damaged roof tiles, rain water pipes which will be remedied as part of the pre-paining repair process.

Fire Safety and Fire Management 262. Within the Council’s housing stock, there are no homes of post-1980

construction. In general, the flatted blocks are not compliant with current building regulations. A full Fire Risk Assessment survey is being undertaken to comply with the Fire Safety Order 2005 and is on schedule for completion in 2008. Recommendations to date show that fire doors to common parts, flat front entrance doors, emergency lighting and signage all require upgrading. Unless there is an urgent need, works are to be undertaken as part of the major capital improvement projects.

263. Some council tenants and leaseholders of flats have replaced front entrance

doors with non-fire resisting doors or fitted steel gates across the front door thus compromising access and emergency escape and causing a particular security problem. Management action and where necessary legal action, is taken in these circumstances.

Lifts 264. Lifts are inspected periodically and regularly serviced. However, few of the

installations have ever been replaced and there are a large number that are now at the end of their life, where spare parts are no longer manufactured, and so are due for replacement. This is not straightforward as many of the lift motor rooms no longer meet required safety standards and require enlarging to accommodate permanent safe access to motors. Winding gear and controls must be provided to comply with safety regulations.

265. Lift motor rooms can no longer be used to access the roof unless a secure

protected route can be provided. In some cases, a new separate access will be required.

266. 33 blocks are served by “alternate floor” lifts, and 20 blocks served by a single

lift. These have obvious disability and general access implications, however, adaptation to “all floor” calling in most cases is uneconomic.

267. Lift replacement on high-rise blocks is a very lengthy process, so large scale

block improvements will be postponed until after lift replacement, as many of these old installations will not cope with the additional traffic.

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DDA and Inclusive environment 268. Many of the high-rise blocks have accessibility issues i.e. podium access and lifts

that stop at alternate floors. An access audit of the common parts of flatted blocks commenced in 2008. The first phase of 35 high-rise blocks has been completed and a second phase has been commissioned including 35 sheltered homes and 72 high, medium and low-rise blocks.

269. Recommendations for a prioritised programme of works include short-term

improvements, mainly signage, with longer-term upgrading of lighting, lift and entrance door control panels, door ironmongery and colour contrasts to stair nosings.

Energy, Fuel poverty and Insulation 270. There are over 2,000 homes fitted with open flued, gas fired, back boilers. There

is a programme in place to ensure that these are replaced with wall hung energy efficient room sealed gas boilers.

271. A large number of homes have electric under floor heating and storage radiator

systems often without individual room controls. These are being replaced by gas systems where feasible.

272. Energy Performance Certificates are available for 886 homes following the EPC

grant funded pilot survey. Each EPC has a summary of the home’s energy performance against each key element and list of recommendations with potential energy efficiency saving. The EPC Pilot showed that the SAP rating contained within the 2006 Stock Condition Survey is accurate. Enfield Homes has a SAP rating for each home and a generic list of recommended energy saving measures to be undertaken on a programmed basis during major works.

Sustainability and Recycling 273. The medium and high-rise blocks are installed with simple waste refuse chute

systems (one estate has Garchey waste disposal) that do not have the facility for waste segregation for recycling. Whilst it may be possible to retrofit waste separator systems these have drawbacks including high capital cost of installation, regular maintenance needs and sound transference. It is possible to provide waste bins with separators so that recyclable waste can be stored separately inside flats to be transferred to segregated waste storage at ground level, although this relies on the interest of residents.

Financial Strategy 274. The Financial Strategy is linked to the Asset Management Plan as outlined above. 275. The Council’s new Place Shaping Agenda will provide a fully integrated approach

to economic and social development to improve the quality of life of every resident in Enfield. Housing will be a key element of this strategy and therefore the development of the strategic housing and enabling roles within the Improvement Plan are crucial. The actions within the Improvement Plan emphasise the value of a range of different housing options to be developed to produce a sustainable community and the need for effective links between Housing and Planning to deliver place shaping.

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276. The Housing Strategy identifies some key decisions to improve the use of resources in the Housing Revenue Account including: • Sell low demand properties (studio and one bedroom properties designated

for older people) to key workers on the open market and recycle receipts. However, another option would be to sell the properties for the maximum receipt, perhaps with planning permission, and to reinvest the proceeds in housing for older people. A strategy is required to support disposal and refurbishment activity.

• Obtain an effective rate of return on council owned assets by increasing garage and shed rents to better reflect market prices and the value of the assets. The risk that this may lead to a lower use of assets needs to be managed.

• Reduce management costs to the council by enforcing tenancy obligations. Examples of this include recouping the costs of storage, lock changes or failure to give notice. This should include any damage that exceeds ‘normal wear and tear’ including missing doors and broken kitchen units.

277. Since 2003, there have been several major changes to the amount of money that

is coming in and the way it is spent. These changes and their effect are that: • Councils are now getting less money from the government for housing as

the Major Repairs Allowance has been reduced in real terms • There has been a slow-down in Right-to-Buy sales • The rent-restructuring review in April 2006 increased rents by well above

inflation. This will continue until new target rents (in line with housing association rents) are reached, originally scheduled for 2012. However, in 2008 the Council increased rents so that they would converge in 2017 following changes that the government made to the housing subsidy calculation. The future of rent convergence is now under review by government and a consultation is underway regarding the setting of housing subsidy and rents for 2009/10 and 2010/11. This additional income is not available to the Council as it is withdrawn from the housing revenue account through negative housing subsidy.

• The Council needs more money to meet the Decent Homes Standard. Following the submission of the Arms Length Management Organisation bid, the Council has been awarded £137million of additional supported borrowing subject to Enfield Homes being awarded two stars in the housing inspection planned for February 2009.

278. The Council is committed to value for money and to achieving the government’s

targets for efficiency gains. The Council’s financial plans are therefore based on achieving cashable efficiency gains of at least 3% in all controllable budgets, including the Enfield Homes Management Fee. It is intended to achieve these efficiency gains each year commencing in 2009/10.

Enfield Homes 279. ‘Enfield Homes’ is the Arms Length Management Organisation set up by the

Council to manage their council homes. It is a limited company wholly owned by the Council and ‘went live’ on 1st April 2008. The principal objective of Enfield Homes is to achieve the Decent Homes Standard by 2013 and to deliver high quality, value for money services in a consistent way for the benefit of its 16,198 tenants and leaseholders. Enfield Homes is working in partnership with the Council to deliver excellent housing services, high quality homes and neighbourhoods and strong communities. Enfield Homes has prepared a delivery plan for 2008/09.

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280. Enfield Homes’ activities are funded through the management fee agreed with the Council. The management fee for 2008/09 is based on the resources available for the Council’s Housing Revenue Account and the requirements of the Delivery Plan.

281. The different elements of the Housing Revenue Account have been separated so

the Council can establish how much should be used to fund the work of Enfield Homes, and how much is required for the Council’s strategic housing role. The Council remains responsible for managing the Housing Revenue Account.

282. The management fee for 2008/09 is £16.1million. During the year the

management fee can be amended by agreement between the Council and Enfield Homes for a number of reasons including: • Additional services requested by the Council • Unforeseen extra costs and variations outside the control of either party • Efficiency improvements in the delivery of agreed services.

283. The Council is satisfied that Enfield Homes has adequate financial management

in place and keeps this under review. Enfield Homes has two separate budget areas to manage: • The management fee. This is an operational services budget for the internal

management of Enfield Homes (e.g. salaries, office accommodation) • A managed service budget. This relates to areas of service delivery (e.g.

repairs) where Enfield Homes has delegated responsibility for administering and managing the budget but where the expenditure is charged to the Council’s accounts. This is not part of the management fee.

284. Enfield Homes is responsible for procuring and managing the planned and

responsive repairs programmes, and the delivery of the major works, including the achievement of the Decent Homes Standard. The cost of the works, although procured and managed by Enfield Homes, will continue to be borne directly by the Council. Enfield Homes receives an annual fee for managing the capital and repairs programmes.

285. The following financial principles have been agreed between Enfield Homes and

the Council: • There should be sufficient resources available for Enfield Homes to ensure

that it has adequate financial management and accountancy skills to manage the business in a professional manner.

• The Enfield Homes Executive Management Team will receive monthly financial performance management information.

• Enfield Homes will provide financial management and performance information to the Council each month.

• The Finance and Audit Committee of Enfield Homes will receive in-depth financial reports at each meeting and will be responsible for financial forward planning.

• Enfield Homes will ensure that all managers are fully aware of their financial management and fiduciary responsibilities, are supported through an ongoing programme of “finance for non-financial managers” training, and are able to access support from the finance team.

• Enfield Homes’ Improvement Plan will include measures to improve value for money throughout the organisation.

• Enfield Homes will work with the Council deliver its part of the efficiency agenda.

• Enfield Homes is adopting financial regulations and standing orders, which cover all aspects of financial governance of the organisation. These are based on the Council’s financial regulations and standing orders.

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• Enfield Homes will use the Council’s financial system, SAP, to provide financial management information to support service delivery. A separate company ledger will be set up within the SAP system to provide for the financial information needs of Enfield Homes.

286. The finance team is headed by the Director of Finance and Resources. This team

will manage the accountancy and financial management functions of Enfield Homes.

287. The Enfield Homes Board has established a Finance and Audit Committee to

ensure that financial strategies and budget management are contributing as effectively as possible to the achievement of Enfield Homes’ objectives.

288. Enfield Homes maintains a ‘Scheme of Delegation’ approved by its Board. This

includes: • Describing the delegation of budgets to service managers and their

accountability and obligations. • The arrangements for approving budget virement. • The adoption of council financial procedures where a contractual

commitment is been entered on behalf of the Council. • The establishment of a Finance and Efficiency working group to review the

Enfield Homes’ forward-planning budgets, its financial position and the appointment of internal and external auditors.

289. Schedule 6 to the Management Agreement between the Council and Enfield

Homes contains detailed financial arrangements, including: • Financial Planning • Budget and Cash Flow management • Reconciliations • Financial Reporting • The Financial Timetable • The Management Fee and Payment of the Fee • Financial Procedure Rules

290. The Council has developed a capital programme plan for the delivery of Decent

Homes. This is dependent on the achievement of two stars or better performance at the inspection in February 2009.

291. Enfield Homes is responsible for procuring and managing the delivery of planned

and responsive repairs, and the capital programme, including the achievement of the Decent Homes Standard. The cost of the works, although procured and managed by Enfield Homes, will continue to be borne directly by the Council. Enfield Homes receives an annual fee for managing the capital and repairs programmes. Enfield Homes is responsible for ensuring that residents are fully consulted on the Decent Homes Programme and all major improvement works and that the programme is developed in partnership with residents and is widely publicised and promoted.

Housing Revenue Account 292. The data and assumptions that are used in making financial projections were

reviewed comprehensively as part of the production of the Council Housing Business Plan for 2008/09 to 2017/18. The redistributive Housing Revenue Account subsidy system is currently under review by Communities and Local Government to ensure that it provides a sustainable, long term system for financing council housing. The results of this review may have an impact on Enfield’s financial projections, which are updated on an annual basis. The data for

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the initial year (2008/09) is taken from the Council’s approved budget for that year.The main assumptions that have been made in projecting the 2008/09 account forward are outlined below:

Right to Buy Sales 293. The level of ‘right to buy’ sales increased during 2007/08 with 78 sales made.

However, the number of sales has declined in 2008/09. It is therefore considered prudent to plan on the basis of 36 sales in 2008/09 in accordance with the budget and 36 sales a year in subsequent years.

Disposals 294. It is assumed that there will be 81 disposals in 2008/09, 24 in 2009/10 and 25 in

2010/11 in accordance with the Council’s strategy on sheltered housing. It is also assumed that there will be 58 disposals at Highmead in 2009/10.

295. The council has 198 properties along the North Circular Road which are leased,

where the leases are coming to an end. The financial implications of the future of these properties will need to be taken into account in due course.

Repairs & Maintenance 296. Communities & Local Government advises that in the long-term there is no

reason to expect repairs and maintenance costs to increase by more than the retail price index but in view of recent experience it has been decided to be prudent and to allow for a 1% annual real increase in repairs and maintenance costs. However, this assumption will be monitored closely as major construction contracts in London continue past this date and it is possible that building costs will continue to increase at a more rapid rate than inflation plus 1%.

297. The Council is developing a more robust planned maintenance programme that

should deliver not only the Decent Homes Programme, but also a more effective five-year planned maintenance programme and a reduced need to rely on responsive repairs. Following the introduction of a call centre, demand for responsive repairs has increased but it is believed that this will be a temporary effect. This should enable the Council to address the government’s efficiency agenda and to secure 3% efficiency gains each year. In accordance with government guidance, these gains should be ‘cashable’. It is considered that as productivity in the economy generally is expected to increase this should also be reflected in the Council’s repairs and maintenance services. The financial projection assumes a 3% cashable efficiency gain in 2009/10 and 1.7% gains each year until 2014/15.

298. However, the Decent Homes Standard may reduce day to day responsive and

void repair costs. It is therefore possible that the Council may achieve further reductions in expenditure on repairs and maintenance due to efficiency gains but any further gains have not been included in these financial projections.

Management 299. It is assumed that management costs are variable and that unit costs will

increase by 0.5% a year more than the retail price index – reflecting real increases in local government salaries and other costs. It is envisaged that the

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Council will be able to make cashable efficiency gains in management expenditure principally through the increased use of information technology and the application of the e-government agenda. The financial projection assumes a 3% cashable efficiency gain in 2009/10 and 1.7% gains each year until 2014/15. However, it will be necessary to monitor the Council’s performance in making these gains.

Housing Subsidy 300. It is assumed that management and maintenance allowances will be increased by

0.45% a year in real terms at national level until 2011/12. Thereafter it is assumed that management and maintenance allowances will not increase in real terms. It is assumed that the major repairs allowance will increase by less than the retail price index each year throughout the thirty year projection. This is in line with recent housing revenue account subsidy determinations4.

Rents 301. The model assumes that rent convergence will take place in 2016/17 rather than

in 2011/12 in accordance with the assumptions contained in the 2008/09 Housing Revenue Account subsidy determination. However, this assumption makes little difference to the level of resources in the Housing Revenue Account as the same assumption has been made in projecting housing subsidy. The model may need to be reviewed following any changes in the approach to setting guideline rents as part of the review of council housing finance.

302. It is assumed that the level of voids and bad debts will be in line with the best

value performance indicator projections and thereafter will gradually decline to 2%.

Service Charges and Other Income 303. It is assumed that service charges for leaseholders and tenants will increase in

real terms by 0.5% a year in accordance with assumed increases in expenditure and government guidance on the maximum permissible increases in service charges.

304. It is assumed that other income (garage and shop rents) will increase in line with

inflation.

Summary of Housing Revenue Account 305. The table below shows the money coming into the Housing Revenue Account:

• Rents and service charges are the money paid by tenants. • Other income includes income from non-dwelling rents and leaseholder

service charges. • Interest is earned on the cash balances in the Housing Revenue Account. • Housing subsidy is the amount of money the Council has to repay to the

government from the amount of rent collected. • Income to spend is the total amount of money each year to spend.

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4 A review of the HRA system is underway at the time of writing

2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 £m £m £m £m £m £m £m £m £m £m

Income Rents and Service Charges 49.0 50.5 51.9 53.4 55.0 56.8 58.5 60.3 62.1 63.8 Other Income 5.6 5.7 5.9 6.1 6.3 6.4 6.7 6.8 7.1 7.3 Housing subsidy 8.3- 8.2- 7.8- 7.3- 6.9- 6.6- 7.0- 8.0- 9.1- 9.8- Total 46.3 48.0 50.0 52.2 54.4 56.6 58.2 59.1 60.1 61.3 306. The next four lines show how the Council spends the money and the surpluses

and deficits that are projected to arise: • Management is the cost of managing council housing including estate

management, central administration and services such as neighbourhood wardens and grounds maintenance

• Maintenance is the cost of planned and responsive repairs • Major Repairs is the cost of major repairs to dwellings such as replacement

kitchens and bathrooms • Capital and other costs includes the cost of financing loans that have been

taken out to fund improvements to homes or estates and the cost of writing off bad debts

2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 £m £m £m £m £m £m £m £m £m £m

Management 17.9 17.7 17.8 17.9 18.1 18.3 18.4 18.9 19.3 19.7 Maintenance 15.5 16.2 16.3 16.6 16.8 17.0 17.3 17.7 18.0 18.4 Major repairs Allowance 9.0 9.1 9.1 9.1 9.1 9.0 9.2 9.3 9.5 9.7 Capital and Other costs 1.8 2.1 21 2.0 2.0 2.0 2.0 2.1 2.0 2.0 Total 44.2 45.1 45.3 45.6 46.0 46.3 46.9 47.8 48.8 49.8 Interest Charges 3.2 4.2 5.9 7.7 9.6 11.6 12.4 12.4 12.4 12.4 Interest received 1.7 - 1.4 - 1.3 - 1.3 - 1.3 - 1.2 - 1.1 - 1.1 - 1.1 - 1.1- Surplus/Deficit 4.3- 0.9- 0.7- 0.8- 0.9 - 1.1 - 0.0 0.0 0.0 0.2 Closing Balance 5.0 4.1 3.4 2.6 1.7 0.6 0.6 0.6 0.6 0.8 307. The plan shows that the Housing Revenue Account is sustainable throughout the

ten year projection on revenue. However, the projection includes efficiency gains that the Council intends to make during this period. The projection shows that cashable efficiency gains of between 1.7% and 3.0% a year are required to enable the Council to balance the Housing Revenue Account over the ten year period. The Housing Revenue Account and projections are updated on an annual basis.

308. The business plan is based on the presumption that the Council will wish to

manage its finances to ensure that it has a viable and sustainable Housing Revenue Account. It is necessary to demonstrate that the Council has a strategy to achieve this if the option of a large scale transfer is to be avoided. To achieve this strategy savings in management and maintenance budgets will be required.

Capital Programme 309. The Council maintains a five year approved capital programme as part of its

Asset Management Strategy, which is reviewed each year. The Director of 54

Finance and Corporate Resources has overall responsibility for the preparation and monitoring of the Council’s Capital Programme and for reporting the outcome to Cabinet. The process is managed by the Capital Programme Group, a group of senior officers from all Departments of the Council that meets monthly. The Capital Programme Group has the following roles: • Reviewing annually the corporate four-year capital programme including the

appraisal of Service Departments’ capital priority statements that reflects their proposals within the context of their service plans and the Council’s strategic plan. These statements include cross Council and cross sector priorities. The review also covers the current and likely future availability of external earmarked funding and other opportunities for levering in or bidding for additional capital resources.

• Prioritisation and appraising new proposals against agreed corporate criteria • Preparing the Council’s capital programme strategy and consultation process • Monitoring progress in achieving capital programme objectives • Ensuring that the outcomes of investment are reported to the Council’s

Corporate Management Board and Cabinet • Ensuring that there are effective arrangements for project planning and

project evaluation • Reviewing and monitoring the Council’s capital resources and assets

disposals programme 310. The housing capital programme receives funding from the Major Repairs

Allowance, revenue contribution to capital outlay, borrowing approvals, use of capital receipts and accumulated capital reserves. The allocation of funding for the capital programme is agreed at programme level by the Council’s Cabinet, allowing officers and the Cabinet Member for Housing to determine the programme in consultation with residents.

311. Individual schemes to be included in the programme for works to the Council

stock, the largest element of the programme, are identified by reference to stock condition information and maintenance reports. The individual schemes are initially prioritised by housing officers, taking into account levels of non-decency and sustainability needs. The draft programme is then submitted to the resident engagement schemes to gather the views of residents and local Members, after which the detailed programme is agreed by the Cabinet Member for Housing. Having established the schemes to be included in the programme, feasibility studies are undertaken including where appropriate, appraisals of alternative options and estimates produced by the Professional Services Team in liaison with design consultants. At this stage the revenue effects and resourcing of the schemes are considered by Enfield Homes in liaison with the Council’s Housing Finance Team, after which detailed consultation on the scheme is undertaken with the local residents who are involved in all stages of the design and tendering process.

312. The capital allocation process produces a rolling five year programme, which is

kept under constant review throughout the year by housing officers and reported to the Cabinet Member for Housing, resident engagement schemes and the Cabinet at periodic intervals.

313. Monthly reports are prepared for the Enfield Homes Board and the Cabinet

Member and the Senior Management Team of the Department and progress reports are submitted to Cabinet on a quarterly basis. The resident engagement schemes receive updates on the capital programme at periodic intervals throughout the year and on individual schemes if they identify an interest.

314. Some degree of flexibility is built into the capital programme to enable the

Council to respond to changes in circumstances. Where gaps in the programme

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are identified or where schemes are brought forward as a high priority, virement or budget variations can be approved within the block allocation for the housing programme. If additional funds are required over and above the allocation to the housing programme, then bids are considered as an exception by the Capital Programme Group and Cabinet outside of the normal budget cycle.

315. The way resources are used to finance the Housing Revenue Account and general

fund programmes follows the Council’s published Asset Management Strategy. The resource planning strand of the strategy requires that works to the stock be financed within the Housing Revenue Account. Non Housing Revenue Account schemes must be financed through general fund borrowing, relevant grants and reimbursements and usable capital receipts. Usable capital receipts are not applied to the Housing Revenue Account.

Capital Expenditure Projections 316. As part of the Housing Stock Options Appraisal and preparing the ALMO funding

bid, the Council commissioned a full housing stock condition survey that identified the investment required to achieve and sustain the Decent Homes Standard. The business plan model assumes that sufficient expenditure is incurred to achieve the Decent Homes Standard by 2013, and an ‘investment gap’ of £137million – consistent with the bid for Arms Length Management Organisation funding is shown for the years 2007/08 to 2013/14. After 2013/14 the model shows the investment required to maintain the Decent Homes Standard as identified through the stock condition survey.

317. It is assumed that the Major Repairs Allowance will increase by less than the

retail price index throughout the projection. Supported borrowing of £4.8million a year until 2013/14 is assumed. Unsupported borrowing of £1.9million was carried out in 2007/08. Revenue contributions to capital outlay of £1.4million were made in 2007/08 with further contributions of £4.9 million in 2008/09 and £1.0 million a year for the following five years. Contributions from capital reserves of £108,000 were made in 2007/08. It is assumed that no usable capital receipts are applied to the Housing Revenue Account. Arms Length Management Organisation funding of £137.0 million is assumed in accordance with the recent award of ‘Communities & Local Government’ and is drawn down £25.0 million in 2009/10, £25.0 million in 2010/11, £30.0 million in 2011/12, £30.0million in 2012/13 and £27.0million in 2013/14.

318. The capital expenditure projections and its funding for decent homes are shown

below:

2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Total £m £m £m £m £m £m £m Expenditure Catch up Repairs 1.2 2.7 3.7 1.8 3.4 2.9 15.7 Future Major Repairs 17.4 37.2 36.2 43.1 41.5 38.9 214.3 Total 18.6 39.9 39.9 44.9 44.9 41.8 230.0 Resources

2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 Total £m £m £m £m £m £m £m ALMO Funding 0.0 25.0 25.0 30.0 30.0 27.0 137.0 Supported Capital Expenditure 4.8 4.8 4.8 4.8 4.8 4.8 28.8 Major Repairs Allowance 9.0 9.1 9.1 9.1 9.1 9.0 54.4 Revenue Contribution 4.9 1.0 1.0 1.0 1.0 1.0 9.9 56

Total 18.6 39.9 39.9 44.9 44.9 41.8 230.0 319. The Major Repairs Allowance was projected on the basis of a 0.5% real reduction

each year. Supported Capital Expenditure was projected to be maintained at £4.8million a year until 2010/11 in accordance with commitments made by the Government at the time of the Housing Stock Options Appraisal. Sums were withdrawn from the capital reserve as required to fund the capital programme included in the financial model.

Sensitivity Analysis (What If) 320. It has been necessary to make some assumptions in preparing these financial

projections. These assumptions are described above. However, some of the factors that affect this business plan are difficult to predict and so a sensitivity analysis has been carried out to identify what the effect would be on the Housing Revenue Account and the capital programme of varying some of the main assumptions about factors that are difficult to predict. These include housing subsidy, right to buy sales, inflation and interest rates.

2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18

£m £m £m £m £m £m £m £m £m £m Housing subsidy (effect on negative subsidy) 0.45% Increase 8.3- 8.2- 7.7- 7.3- 6.9- 6.6- 7.0- 8.0- 9.1- 9.7- 1.45% increase 8.3- 8.1- 7.5- 6.9- 6.4- 6.0- 6.3- 7.3- 8.4- 9.0- Additional 0.0 0.1 0.2 0.4 0.5 0.6 0.7 0.7 0.7 0.7 0.55% reduction 8.3- 8.4- 8.0- 7.7- 7.3- 7.0- 7.5- 8.7- 9.9- 10.5- Reduction 0.0 0.2- 0.3- 0.4- 0.4- 0.4- 0.5- 0.7- 0.8- 0.8- 321. An increase in the assumed level of increase at national level in management and

maintenance allowances from 0.45% to 1.45% has a favourable effect on projected negative subsidy, reducing it by £0.7million a year by 2017/18. A reduction in the assumed level of increase at national level in management and maintenance allowances from 0.45% to 0.55% negative has an adverse effect on projected negative subsidy, increasing it by £0.8million a year by 2017/18.

2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 £m £m £m £m £m £m £m £m £m £m Right to buy sales (effect on ‘bottom line’) 36 a year 4.3- 0.9- 0.7- 0.8- 0.9- 1.1- 0.0 0.0 0.0 0.2 10 a year 4.3- 0.9- 0.7- 0.8- 0.9- 1.1- 0.2- 0.2- 0.2- 0.0 Additional cost 0.0 0.0 0.0 0.0 0.0 0.0 0.2 0.2 0.2 0.2 60 a year 4.3- 0.9- 0.7- 0.8- 0.9- 1.0- 0.0 0.1 0.2 0.5 Additional cost 0.0 0.0 0.0 0.0 0.0 0.1- 0.0 0.1- 0.2- 0.3- 322. As it is assumed that management and repairs & maintenance costs are variable,

the effect of variations in the level of right to buy sales is minimal. The slight positive effect of higher right to buy sales results from the favourable effect on expenditure and subsidy being greater than the negative effect on income.

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2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18

£m £m £m £m £m £m £m £m £m £m Interest Rates (effect on ‘bottom line’) Base model 4.3- 0.9- 0.7- 0.8- 0.9- 1.1- 0.0 0.0 0.0 0.2 Increase of 1% 4.3- 0.1- 0.0 0.0 0.0 0.1- 0.9 1.1 1.2 1.7 Increased income 0.0 0.8 0.7 0.8 0.9 1.0 0.9 1.1 1.2 1.5 Reduction of 1% 4.3- 1.6- 1.5- 1.5- 1.8- 1.9- 0.9- 1.0- 1.1- 0.9- Reduced income 0.0 0.7- 0.8- 0.7- 0.9- 0.8- 0.9- 1.0- 1.1- 0.7- 323. An increase of 1% in the assumed level of interest has a favourable effect on the

‘bottom line’. A reduction in the assumed rate of interest of 1% has an adverse effect on the projected ‘bottom line’. This is because of the loss of interest on balances and because the subsidy calculation of capital charges assumes a higher level of debt than is actually in place in Enfield.

Conclusions 324. The financial projection demonstrates that the Council needs to reduce

expenditure by between 1.7% and 3% a year until 2014/15 if it is to balance the Housing Revenue Account.

325. The Council is committed to achieving the Government’s target of 3% cashable

efficiency gains each year. This will result in £1million of cashable efficiency gains being made in management and maintenance costs in the Housing Revenue Account. This will be sufficient to balance the Housing Revenue Account and to provide additional resources each year to fund improvements in services.

326. The Council and Enfield Homes are in the process of preparing a detailed plan to

address specifically how these cashable efficiency gains will be achieved.

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Planning our Priorities 327. The Housing Strategy identified the following actions for the council stock which

have been completed: • To prepare for and undertake a new stock condition survey in 2005 • To conduct a review of its sheltered housing as part of a strategy ensuring

all its housing is modern, warm, accessible, and uses available technology to prevent admissions into residential care

328. The Housing Strategy identified the following actions for the council stock, which

are ongoing: • To ensure that the Decent Homes target is met. Decent Homes funding will

be released subject to Enfield Homes achieving a two star rating at the inspection in February 2009

• To continue involving residents in drawing up future capital programmes under the Tenant Compact

• To continue to implement the Housing Management Improvement plan arising from the Best Value inspection

329. The Council also ensures that best use is made of current council stock through

the under-occupation initiative. 330. The Council has published a Housing Improvement Plan for 2007/08 to 2008/09.

The key themes of the plan regarding council housing are: • Achieving the Decent Homes Standard • Improving key services such as repairs and maintenance and rent collection • Meeting the Respect Standard and improving the approach to anti-social

behaviour. • Improving access to services by having clearer customer service standards

and effective equalities/diversity policies. • Providing better value for money for tenants and leaseholders. • Increasing the levels of resident involvement.

331. The Council Housing Business Plan contains the following major areas of work:

• Creating links to the Housing Strategy and the council’s corporate and community strategies.

• Looking at other investment options and ways to provide services in the future.

• Reaching at least a two star rating in inspection by February 2009 and either holding on to this rating or improving it to three-star by 2009.

• Creating a wide-ranging Decent Homes programme up to 2013. • Developing an effective Asset Management Plan. • Developing a Resident Involvement Strategy and the Enfield Consultative

Forum. • Working further to update our financial planning methods.

332. The Assistant Director for Housing Strategic Services is responsible for updating

the Council Housing Business Plan in partnership with Enfield Homes. The Directorate will also consult other interested parties, including staff, tenants and residents, the Enfield Strategic Partnership and other departments in the Council.

333. The Council Housing Business Plan is subject to the Council’s monitoring

arrangements which include examination at the Housing Services Board and the Strategic Housing Forum. Detailed arrangements will be developed over time, but we expect the plan to be reviewed every 6 months.

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Business Plan Completion Timetable October 2006 – December 2006 Collect relevant and available information;

analyse and write up.

Informal consultation with residents, community groups, Arms Length Management Organisation Shadow Board and other interested parties.

Prepare first draft of plan. January 2007 Formal consultation with residents,

community groups, Arms Length Management Organisation Shadow Board and other interested parties.

March 2007 Consultation with Stakeholders February 2008 Council housing budget for 2008/09

agreed. April 2008 Enfield Homes ‘goes live’. September 2008 Completion of final draft of plan. Informal submission to Government Office

for London for comments. December 2008 Approval by Cabinet

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Frequently asked questions Housing Revenue Account Business Plan What is the Housing Revenue Account? The Housing Revenue Account, or HRA, is the Council’s account that records income and spending for maintaining and managing our council homes. What is the Council Housing Business Plan? The Council Housing Business Plan explains how we plan to use the money in this account over the next 5 years and the next 10 years. How will you balance the Housing Revenue Account? We need to balance the figures so that we have enough money each year for the work we need to do. We will do this by cutting costs in management, maintenance and repairs, and looking at ways of being more efficient while still promoting value for money. This means providing inexpensive but good quality services without putting up rent. Higher rents would just increase the amount of subsidy we would have to pay back to the government. What is Enfield Homes? Enfield Homes is a limited private company, known as an Arm’s Length Management Organisation, set up to manage the Council’s housing. The Council owns the company, but an independent board runs it. It will be responsible for managing, repairing and maintaining our housing, including bringing all the homes up to the government Decent Homes Standard. How has the change of management from the Council to Enfield Homes affected me? The Council has been able to apply for extra funding for our Decent Homes programme, because it has an Arms Length Management Organisation called Enfield Homes. As long as it gets a two star rating when it is inspected in February 2009, we will get extra funding. Enfield Homes will be able to focus on improving the housing management and repairs services, getting you, our tenants and leaseholders, more involved in decision-making, and taking a stronger stand on anti-social behaviour. How does the Council decide where to spend the Decent Homes money first? We are committed to tackling deprived areas but we are also considering your priorities. At the same time, we need to sell housing that is too costly to maintain or housing that our tenants don’t want to live in. This will help us make sure we have enough money to maintain and improve the housing we do want to keep. Who is responsible for the Council Housing Business Plan? The Assistant Director for Housing Strategic Services, who is based in the newly formed department of Place Shaping and Enterprise, is ultimately responsible for producing and implementing the business plan. Once the final draft has been written, it will go to the Council’s Cabinet for approval. If approved, we will then act on the plan. 61

You can get this in large print, in Braille, on tape or on computer disk. Phone 020 8379 4297 Fax 020 8379 4291 Email housinginfo@enfield.gov.uk Housing Strategic Services B Block South Civic Centre Silver Street ENFIELD EN1 3XN Council Housing Business Plan 2008-2018.

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Meaning of technical words ALMO Arm's Length Management Organisation – a

private company set up by the council to manage its housing.

Annual Delivery Plan Enfield Homes' main document for setting out its

plans for providing services in line with the council’s policies.

Asset Management Plan (AMP) A document that says how we will look after the

buildings that the council owns. Best Value Review Where we must look at a service to challenge

how we do it, compare it with other service providers, consult it with our users, and ensure fair competition.

Capital Investment Programme A listing, usually by date and address, showing

how we are going to spend money to improve and keep the homes we own.

CLG Communities and Local Government

(government department responsible for social housing and local government)

Decent Homes Standard (DHS) A standard set by government, that all council

housing must have reasonable modern facilities, be warm and weatherproof and in good repair.

Disability Discrimination Act (DDA) An Act of Parliament that prevents discrimination

on grounds of disability. Enfield Homes The Arms Length Management Organisation set

up by the Council, responsible for housing management, repairs and maintenance.

Enfield Homes Board The group that oversees the activity and policies

of Enfield Homes. Enfield Strategic Partnership (ESP) The Local Strategic Partnership for Enfield. A

partnership between the Council and other public, private and voluntary bodies that co-ordinates public services to achieve agreed community objectives.

FECA Federation of Enfield Community Associations

Limited: An organisation that all our tenants and residents associations belong to.

HECA Home Energy Conservation Act. An Act of

Parliament that promotes and sets standards for energy conservation in the home

Housemark An organisation that compares information on

finance and performance in different local authorities and housing associations (benchmarking).

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Housing Options Appraisal The assessment we did of the main options for

managing the future of council housing. Housing Register A council-managed list of people who have been

assessed as needing help with their housing. Housing Strategy Our housing plan for a set period of time, which

says what we will do, and how and where we will do it, for all types of homes, including private and housing association homes.

Housing subsidy Money some councils can claim from the

government in addition to rents and service charges. Some councils have to pay money back to the government and this is called negative subsidy.

KLOE Key Line of Enquiry. The questions that the

Housing Inspectors ask a local authority when they are carrying out an inspection.

Local Area Agreement (LAA) An agreement between Central Government and

the Enfield Strategic Partnership. Landlord Services The part of the Council that provides services to

council tenants and leaseholders. Place Shaping Strategy A Strategy prepared by the Council designed to

make the whole of Enfield a place of choice. SAP Rating The Government’s Standard Assessment

Procedure (SAP) for the Energy Rating of Dwellings.

Steering Group A group that ensures a project delivers what it

should and when. Vulnerable people People who may need extra help in their daily

lives because they are, for example, physically frail, disabled or have learning difficulties or mental illness.