Empty Homes Network

National news

London Rebuilding Society announces £750k Empty Homes Fund

LRB web-page

Social Enterprise London Rebuilding Society has launched its £750k Empty Homes Fund with finance from a major UK bank.  It is seeking local authority partners to help it develop the funding model, which buiids on pilot work undertaken with the London Borough of Redbridge.

The prospectus (available to for download from our library for full members only, so you'll need to be logged in) describes the model in some detail but Abdus Saleh, the driving force behind the scheme, is keen to emphasise its flexibilty.  For example in London, the schemes developed with LB Redbridge involved a partnership with East London charity DABD to provide hand-holding and financial advice to vulnerable owners as documented in the prospectus.  Abdus is looking at other partners such as Advice UK or IncomeMAX to provide similar services elsewhere in the country - but points out that the relevant advice and support might also be provided by the local authority. 

Partnership with local authorities is a key element in this scheme, with leasing of the empty homes by the local authority seen as a vital housing outcome.  

Abdus, who has extensive background in the finance industry and successfully negotiated the £750k funding from a major bank,  sees this as an opportunity to demonstrate the robustness of a model which he is confident can be replicated on a much larger scale with input from other institutional investors.  Different local authorities will present different opportunities and he is keen to gain insight into the potential.  He's contactable via email at Abdus.Saleh@londonrebuilding.com   or by phone on 020 7997 7343.

NAO reports on New Homes Bonus

NAO NHB report cover

The National Audit Office has produced a report on the New Homes Bonus.  As might be expected the report focuses mainly on the aspect of incentivising the delivery of new homes, but it also covers the aspect of rewards for the re-occupation of empty homes.

Its key conclusions regarding empty homes are:

2.30 We found some evidence that the Bonus is incentivising local authorities to bring empty homes back into use....Around two thirds of the sample of 28 local authorities' empty homes strategies we reviewed refer to the Bonus as an incentive to bring empty homes back into use.

2.31 Local authorities cited examples of their actions to reduce the number of empty homes. For eample, they hvae protected the posts of empty homes officers who identify empty homes and plan how to bring them back into use. They suggested that these actions would not have occurred, and efforts to tackle empty homes would have been weaker, if the Bonus had not inlcuded payment for empty homes brought back into use

Nick Pritchard-Gordon of Reading Borough Council (and EHN Vice-Chair) and David Gibbens (EHN Policy Lead) met NAO staff as part of of the NAO exercise and it would seem that the key messages have been taken on board.A document circulated after that meeting is attached to this story.

It would have been preferable if the NAO had distinguished more clearly between the effects of the NHB as an incentive to enhance empty homes work compared with its ability to incentivise new housing development. The NAO is pretty critical of the quality of the evidence used to justify the NHB as an incentive for new housebuilding and also criticises a perceived lack of rigour in the attempt to monitor the outcome. Coupled with the blatant unfairness of the NHB in the context of different housing markets around the country, there are good reasons to believe that NHB would be ditched if there was a change of government. In that case empty homes work could suffer severely. Thus EHN needs to hightlight the value of the NHB for empty homes work to ensure that a suitable alternative is put in place if the NHB is scrapped.

The report also didn't cover the question of how local authorities monitor their own successes in bringing empties back into use (as opposed to the change in overall numbers of empties recorded via the council tax system).  Insofar as the NAO is focused on national government rather than local government such an omission may be justifiable, and the NAO also focuses on the really big issues so that perhaps the issue of monitoring at local level was considered too trivial to mention. But it's still a disappointment.

Other points of interest include the highlighting of data cleansing as an issue:

"...some Bonus payements are for homes that were not really empty"

The report goes on to say that DCLG has

"successfully challenged the empty homes data for seven local authorities, resulting in reducing their Bonus allocations for 2013-14 by £1.7million total". 

It is hard to see how data cleansing could be "challenged" and we will try and find out from DCLG what the circumstances were for those authorities involved.

Outside of these empty homes issues the report is pretty scathing about the quality of the evidence used to justify NHB as an incentive for new house building - echoing points made in EHN's consultation response when the measure was first announced.  Monitoring of the impact since it was introduced is also considered weak.  It is difficult to know whether the government ever believed its own propaganda on the likely impact of NHB. For anyone involved in the delivery of new housing at local authority level the assumptions made will always have seemed far-fetched. The NAO report underlines this whilst - as indicated above - making positive comments about the impact on empty homes initiatives.

In conlusion, the report contains much useful information for those interested in the New Homes Bonus. We have to hope that it doesn't lead to the baby being thrown out with the bath-water - the baby in this case being the positive impact the NHB has on work to reduce the number of empty homes.

You can access the report via our Library here.

Don Foster to speak at 2013 Conference

Don Foster picture

We are very pleased to announce that Don Foster MP has said that he would be "delighted" to accept our invitation to speak at The Empty Homes Conference 2013, to be held in Birmingham on 21st May.

Don is the government minister with immediate responsibiity for the government's empty homes programme, as Parliamentary Under-Secretary of State at the Department of Communities and Local Government. We look forward to welcoming him and hearing what he has to say.

"It’s unpopular, but I want to quadruple the council tax on homes"

Inside Housing quotes the Government's Empty Homes Tsar who wants to quadruple Council Tax on empty homes.

 http://www.insidehousing.co.uk/tenancies/councils-should-quadruple-tax-on-empty-homes/6526129.article

The people's responses act as a reminder that we work in a field with a very wide wide spectrum of opinion and understanding.

The response by 'Daedalus' is fabulous. It infers that Our Tsar's campaign might be a tad Marxist. I'm confused. A Tsar, Marxist? Daedalus can't be referring to Karl.   

 

 

Great British Property Scandal nominated for Emmy

empty homes news

A news report on the Empty Homes website reveals that the popular Great British Property Scandal programmes presented by George Clarke and produced for Channel 4 television have been nominated for an Emmy award in the "digital programme non-fiction" category.

The news item goes on to report that the charity Empty Homes (previously the Empty Homes Agency) will

"shortly inherit the digital content for the series including the Report Empty Homes spotter and social media pages."

The "digital" aspect of the award can be assumed to refer to the on-line petition and the report-an-empty aspect of the programme.  We wish the programme makers every success.  International recognition will highlight the good work being done in Britain to tackle the issue of empty homes.

The announcement about all the nominees with further informatioon about the awards can be found here.

It will be interesting to see whether the mantle of Independent Empty Homes Advisor will also pass from George Clarke to David Ireland, the latter having built a strong reputation over a period of decades on the empty homes issue.

Social media and empty homes project gathers momentum

KTP home page

An innovative new project to explore new routes to community engagement around empty homes has taken a major step forward with the appointment of Aisling McCourt as Engagement and Partnership Manager for the project at Tameside MBC.

Greater Manchester Empty Homes Knowledge Transfer Partnership (KTP)

Last year, as the project started to come together Dr. Lisa Scullion of Salford University, a key player in the project, sent us this summary of its scope.

There are approximately 25,000 empty homes across Greater Manchester while at the same time there are over 100,000 households on social housing waiting lists. The Association of Greater Manchester Authorities (AGMA) has recently been awarded £8.5 million with the aim to return 930 empty homes back into use over a 3 year period. While funding is available for a set period, it is recognised that a sustainable solution is required.

The University of Salfordin collaboration with Tameside Metropolitan Borough Council, has been awarded a Knowledge Transfer Partnership(KTP), which is a government backed scheme that brings academics together with organisations to develop new techniques to address particular issues. The Empty Homes KTP is a two year project which will approach the issue from a community engagement perspective. Empty home owners (EHOs) represent one of the most hard to reach communities in that they are culturally diverse (cut across different ethnic groups); geographically diverse (located away from their property); and diverse in terms of socio-economic background. Added to this are the potentially multiple reasons for owning an empty property; e.g. bequest, emotional attachment, family / relationship breakdown, economic downturn, etc. The KTP will seek to bring empty homes back into use through the development of an innovative and sustainable empty homes consultation and engagement strategy. This includes exploring the role of social media techniques as a means of bringing together the various stakeholders involved in addressing the issue of empty homes.

The project will be led by a KTP Associate, who will be supervised by two academics at the University of Salford (Dr Lisa Scullion from the Salford Housing & Urban Studies Unit and Dr Marie Griffiths from the Salford Business School) and a supervisor from Tameside Council. The Associate has recently been recruited and the project will start in January 2013.

Aisling, who has joined the Empty Homes Network, will be the main point of contact for the project. You can reacher her at

aisling.mccourt@tameside.gov.uk

Twitter ID: @GMEmptyHomes

 

Camden FOI case - door finally closing on release of empty property lists

Voyjas decision

An Information Tribunal seems to have brought to a close the long-drawn out controversy around Freedom of Infomation requests for lists of empty homes.  The Tribunal's conclusion, in its re-hearing of the appeal of Voyjas against the original decision by the Information Commissioner that Camden Council was justified in withholding information about empty homes that were not owned by individuals, was emphatically in favour of the Information Commissioner. and the Council  The Tribunal concluded:

The relatively small weight that the public interest in disclosure bears does not, in our view, come close to equalling the public interest in preventing the categories of crime we have identified in this decision. Accordingly the public interest in maintaining the exemption outweighs the public interest in disclosure. The Council was therefore entitled to refuse to disclose the information requested by the Appellant.

You can download the full ruling from here.

FOI - the background

The Bexley FOI case long ago established the position that release by councils of lists of empties owned by private individuals would be a breach of Data Protection principles. However the decision in the Bexley case also stipulated that it would be appropriate to release the addresses of homes owned by non-individuals (companies, councils, housing associations etc), where data protection principles were not engaged. In that case the Information Tribunal decided that the public interest in disclosure outweighed what it considered to be the minimal impact of crime.

Subsequently both Tower Hamlets and Camden declined to release lists of such properties principally on the grounds that to do so would lead to increased crime associated with squatting and stripping of empty homes.  In both cases the Information Commissioner upheld the council decisions.  There was no appeal in the Tower Hamlets case but in the Camden case the Information Tribunal overturned the Information Commissioner decision, arguing that the public interest in disclosure continued to outweigh the concerns about crime.

Readers may recall that at this point Grant Shapps became involved with public comments criticising the Tribunal's decision.  The Council appealed to an Upper Tribunal which said that the lower Tribunal had erred by not taking into account various factors and remitted the case to a different lower Tribunal for a re-hearing of the appeal. 

Key points

As the extract quoted above demonstrates, the Information Tribunal's decision was in emphatic disagreement with that of the first Tribunal. Its reasons largely reflected those of the Upper Tribunal.  Regarding squatting, which it was generally acknowledged would be likely to involve some criminal damage, it was appropriate to take into account a whole series of impacts beyond the minor amount of criminal damage itself - for example costsof eviction, fear of crime amongst neighbours, costs of enhanced security measures that councils might have to undertake and so on.  

On the other side of the equation, it was identified that there were other sources of information about the council's management of its stock and it was held that Voyjas, the appellant, had not made any substantial case as to why a list of empty properties would be better than that information in holding the council to account for its handling of its voids.

It would seem unlikel that Voyjas could successfully appeal against this decision.  

Squatting itself not a factor

Although squatting of residential properties is now a crime in its own right, the appeal was heard on the basis of the law at the time the decision was made, when squatting was not a crime.  Thus the Appeal Tribunal did not treat squatting itself as a criminal activity though it did satisfy itself  that the release of lists of empty homes would tend to increase the amount of squatting  (Voyjas gave somewhat contradictory evidence on this score, the Tribunal concluded).

Given how strongly the Tribunal weighed the balance in favour of non-disclosure, it would seem very unlikely that any future Tribunal would take a different view now that squatting of dwellings has been criminalised, thereby adding yet more weight to the argument that releasing the information woiuld  prejudice the prevention of crime.

Practical implications

The practical implication would seem to be that councils should no longer release lists of empty homes.unless they are confident that there could be no increase in squatting or stripping of empty homes as a result.

On the other hand, it is important for empty homes practitoners to be aware that this does not prevent information being shared with partners - such as housing associations or community groups - involved in delivering empty homes strategies, providing the information is relased in a controlled way for specific purposes and kept secure from third parties. This would be no different from say Capita processing personal information collected by the Council as part of the out-sourcing of a housing benefits service.

2013 Conference Programme published

Conference programme

Bookings for the 2013 Empty Homes Conference to be held in Birmingham on May 21st are now being taken and the Conference Programme has been published, with all speakers confirmed except for Don Foster MP, who we are very much hoping will attend.

The Conference is headlined "Innovation Information Inspiration" - and you can see why.  We've done our best to accommodate the responses of those who returned questionnaires about topics to be covered by the conference.  Key themes include

  • Leasing
  • Issues with mortgage lenders
  • Capital finance
  • New Homes Bonus
  • National Empty Homes Loan Fund
  • EDMOs
  • Empty Homes Strategies
  • Hard-to-engage owners
  • Enforcement options
  • Shared services
  • National policy and initiatives

The brochure and booking form are downloadable from here

Please spread the word!

 

Pickles announces office conversion flexibility

Eric Pickles

Eric Pickles has finally announced the on-off-on relaxation of conversion of commercial to residential use.  The change is however restricted to changes from use class B1(a) (office use) to C3 - single household dwelling house. 

Theere will be a prior approval process that would allow authorities to challenge some proposed conversions. And there will be the opportunity for local authorities to submit proposals for exceptions in specfiied geographical areas (the City of London has apparently already been exempted from the scheme).

The announcement raises many questions, though most of these are not directly relevant to empty homes practitioners.  A useful source is a Planning magazine blog by Michael Donnelly.. He quotes Andy Black of consultancy PRP as follows:

1)     It is clear that no formal change has actually come into a force yet. It would appear that Local Planning Authorities will have the opportunity to apply for exemption from the changes (as has already happened with the City of London). The announcement today does not make it clear on the process or timescales for these exemptions to take place.

2)     It is unclear how will the provision of affordable housing be dealt with through the new PD rights? If no affordable housing is required as result of a change of use then this will have a dramatic effect on the economics of the land market and the supply of affordable housing in areas where it is most needed.

3)     The same point applies to other planning requirements renewable energy, planning obligations, CIL, parking levels, amenity space, secured by design, lifetime homes, and provision of wheelchair accommodation.  If these other rules are relaxed then this could lead to an increase in these proposals coming forward above more suitable and sustainable housing sites.

4)     In the London context it is unclear to what effect the new homes provided through office to residential conversions be expected to comply with guidance such as the Mayor’s Housing SPG? This specifies minimum space standards, levels of amenity space and advises against provision of elements such as single aspect, north facing units.

5)     We are unsure of the effect that this announcement will have on predicted levels of housing supply? If Council’s feel they can achieve housing numbers through office to residential conversion then there could be an increase in resistance and refusals for sustainable urban extensions and other windfall sites. How does this fit with the Government’s agenda for Garden Cities as advocated in the NPPF?

6)     In order to successfully convert a office building to residential it is almost inevitable changes to the external appearance would be beneficial. Such changes would still require submission of a planning application”.

Points 2 and 3 of the above list are those that caused the most adverse reaction at the time of the initial consultation in 2011 and we can surmise that they will cause the most difficulty again amongst those that have more holistic concerns.  Stimulating the economy and the provision of more housing are undoubtedly important in their own right.  Moreover these relaxations offer the opportunity for banks to recover some value from redundant offices that are currently sitting as potential time-bombs in their lending portfolios, so loan finance might be available where otherwise it might not.  But generating potentially hundreds of new homes in a limited built-up area without adequate planning controls is not nececssarily in the best long-term interests of local communities.  The need for such a measure implies that conversions will go ahead in circumstances where p;reviously planning permission would have been denied, so it fundamentally undermines localism and the spatial planning system.

For some further interesting discussion on the measure refer to the Planning Advisory Service forum here:

Office conversion rules to be eased imminently says FT

FT conversion story

A story in the Financial Times published on Monday says that a move to make it easier to convert offices to residential use by relaxing planning controls is about to be implemented.  The article says

The Financial Times has learnt that planning minister Nick Boles will announce a new “permitted development right”, whereby many offices can be turned into residential properties without any permission. The changes will not, however, apply to shops or warehouses.

The changes reflect a reported 21% vacancy rate in offices.  The changes would mean that the varoius costs associated iwth gaining planning permission would be avoided - not least the need to provide affordable housing in schemes over a certain size.  The City of London is likely to be exempt but other parts of London might see signifcant rates of conversion. The article quotes residential values of £3,000 per square foot in the West End of London compared with £2,375 for offices.

The story might be locatable via the following link, but subscriber access may be needed.