Showing posts sorted by date for query overall benefit cap. Sort by relevance Show all posts
Showing posts sorted by date for query overall benefit cap. Sort by relevance Show all posts

Wednesday 15 March 2017

Inadequacy of Spur's Wembley Stadium Environmental Statement exposed

With the Evening Standard anticipating Brent planners statement on the Wembey Stadium application for additional full capacity soon, ahead of the March 23rd Planning Committee. I thought it worth publishing this submission from a resident of Corringham Road, addressing the applicant's Environmental Statement. LINK

In addition I publish the supporting submission from Haringey Council at the end of this article.

Comments on the Environmental Statement (January 2017) to the Temporary Variation to the Event Cap at Wembley Stadium - Document Chapter C - Socio-Economics

There are a number of points to make with reference to the Environmental Statement (ES) accompanying the Planning Reference 17/0368 - the application by Wembley National Stadium Limited (WNSL) - and in particular to the Socio-Economic aspects.

The most important points are as follows:

1. It has almost no economic or quantitative analysis at all, as opposed to just assumptions, and its conclusions cannot be supported in the absence of further work and also a properly produced cost-benefit analysis.

2. It does not deal with any likely costs, and has only skimmed over the so called "beneficial socio-economic" impacts. The coverage and the quality of the analysis are far from adequate.

3. The conclusions under the heading "Potential Effects" are not robust, and there has to be much further and more careful work done to look at the likely negative impacts on the local economy.

4. What about the economic costs of congestion, stress and strain on the local services and population, the crowding out of other economic activity, the inconvenience caused by hugely larger attendances at more much larger scale events at the Stadium?

5. There is inadequate analysis of the location of possible additional expenditures, either within or outside the stadium?

How much extra and additional economic benefit accrues to the local area and population as opposed to just within the stadium? This is certainly not clear from the application documents, and is vitally important in coming to any decisions.

6. The figures in the conclusion in the summary of socio-economic benefits that expenditures of £43.5m and £14.5m (excluding traffic) can be expected locally are based not on calculations done at the Wembley site but are based on a primary survey by THFC of spectators to White Hart Lane.

It is stated in the application documents in paragraph C5.14 of the ES that "if this expenditure profile ..... were to be transferred to Wembley Stadium during the 2017-18 season, this could support (my bold) £43.5 million of expenditure.......this would mean £14.5 million of expenditure would be available for spending on food, drink and other ancillary items at Wembley".

However, these figures are purely assumptions. There is no robust analysis or justification that these are likely to be appropriate, and are certainly not accompanied by any corresponding costs which should have been taken into account.

7. Paragraph C5.16 of the ES states that "On this basis, taking into account employment and visitor expenditure effects, it is assessed that the impact of the temporary variation of the event cap will result in a moderate positive impact on the local economy for the duration of the 2017-18 football season" (my bold).

How can any conclusion follow from the implausible assumptions in paragraph C5.14 stated above?

8. In the document entitled "Temporary Variation to Event Cap at Wembley Stadium..." written by Nathaniel Lichfield & Partners, it is clear from paragraph 6.5 that the conclusions of the environmental impact assessment should have covered all four aspects namely (1) Socio-economic (2) Transportation (3)Air Quality and (4) Noise and Vibration.

However, in the summary to this document, in paragraph 9.7, it is stated that "this Statement demonstrates that the proposals accord within planning policy and will not result in any unacceptable effects in terms of transport, noise and vibration and air quality impacts".

But, where is the reassurance about socio-economic impacts? It is strange that it should be omitted if there was a clear conclusion that this was also acceptable.

9. There is no clear analysis of which geographical area the claimed benefits are supposed to support. The definition of the area around the Stadium is important to identify, especially if the costs as well as benefits are to be assessed. The costs are likely to be spread around the wider neighbourhood via aspects such as traffic congestion, parking problems, noise and safety. Why have these not been included? It is common practice to include some valuation for these impacts in a properly worked cost-benefit analysis.

10. There is very little understanding of the scale factors associated with increasing the numbers of visitors to the Stadium from a maximum of 51,000 to 90,000 on an extra 31 days a year. A proper analysis would have shown a much better awareness of the huge impacts such large crowds will have. The various comments in the papers accompanying the planning application imply that all impacts will be minor.

11. As an example of the lack of understanding of the likely impacts of scale is paragraph G6.4 in the Summary and Conclusions of the Environmental Statement, which states that: "Minor negative residual effects remain in relation to specific sensitive recepto Comments on the Environmental Statement (January 2017) to the Temporary Variation to the Event Cap at Wembley Stadium ? Document Chapter C ? Socio-Economics

There are a number of points to make with reference to the Environmental Statement (ES) accompanying the Planning Reference 17/0368 - the application by Wembley National Stadium Limited (WNSL) - and in particular to the Socio-Economic aspects.

The most important points are as follows:

It has almost no economic or quantitative analysis at all, as opposed to just assumptions, and its conclusions cannot be supported in the absence of further work and also a properly produced cost-benefit analysis.

It does not deal with any likely costs, and has only skimmed over the so called 'beneficial socio-economic' impacts.  The coverage and the quality of the analysis are far from adequate.

The conclusions under the heading 'Potential Effects' are not robust, and there has to be much further and more careful work done to look at the likely negative impacts on the local economy.

What about the economic costs of congestion, stress and strain on the local services and population, the crowding out of other economic activity, the inconvenience caused by hugely larger attendances at more much larger scale events at the Stadium?

There is inadequate analysis of the location of possible additional expenditures, either within or outside the stadium?

How much extra and additional economic benefit accrues to the local area and population as opposed to just within the stadium? This is certainly not clear from the application documents, and is vitally important in coming to any decisions.

The figures in the conclusion in the summary of socio-economic benefits that expenditures of £43.5m and £14.5m (excluding traffic) can be expected locally are based not on calculations done at the Wembley site but are based on a primary survey by THFC of spectators to White Hart Lane.

It is stated in the application documents in paragraph C5.14 of the ES that 'if this expenditure profile ..... were to be transferred to Wembley Stadium during the 2017-18 season, this could support (my bold) £43.5 million of expenditure.......this would mean £14.5 million of expenditure would be available for spending on food, drink and other ancillary items at Wembley'. 

However, these figures are purely assumptions. There is no robust analysis or justification that these are likely to be appropriate, and are certainly not accompanied by any corresponding costs which should have been taken into account.

Paragraph C5.16 of the ES states that 'On this basis, taking into account employment and visitor expenditure effects, it is assessed that the impact of the temporary variation of the event cap will result in a moderate positive impact on the local economy for the duration of the 2017-18 football season' (my bold).
How can any conclusion follow from the implausible assumptions in paragraph C5.14 stated above?

In the document entitled 'Temporary Variation to Event Cap at Wembley Stadium...' written by Nathaniel Lichfield & Partners, it is clear from paragraph 6.5 that the conclusions of the environmental impact assessment should have covered all four aspects namely (1) Socio-economic (2) Transportation (3)Air Quality and (4) Noise and Vibration.
However, in the summary to this document, in paragraph 9.7, it is stated that 'this Statement demonstrates that the proposals accord within planning policy and will not result in any unacceptable effects in terms of transport, noise and vibration and air quality impacts'.
But, where is the reassurance about socio-economic impacts? It is strange that it should be omitted if there was a clear conclusion that this was also acceptable.

There is no clear analysis of which geographical area the claimed benefits are supposed to support. The definition of the area around the Stadium is important to identify, especially if the costs as well as benefits are to be assessed. The costs are likely to be spread around the wider neighbourhood via aspects such as traffic congestion, parking problems, noise and safety. Why have these not been included? It is common practice to include some valuation for these impacts in a properly worked cost-benefit analysis.

There is very little understanding of the scale factors associated with increasing the numbers of visitors to the Stadium from a maximum of 51,000 to 90,000 on an extra 31 days a year. A proper analysis would have shown a much better awareness of the huge impacts such large crowds will have. The various comments in the papers accompanying the planning application imply that all impacts will be minor.

As an example of the lack of understanding of the likely impacts of scale is paragraph G6.4 in the Summary and Conclusions of the Environmental Statement, which states that: 'Minor negative residual effects remain in relation to specific sensitive receptors in relation to bus services impacted by additional vehicular traffic in the immediate periods prior and post matches. The additional mitigation measures proposed to encourage public transport will assist in minimising this effect as far as possible. These adverse impacts should be balanced against the beneficial socio-economic effects arising from the proposal.'

Well, this is not good enough. What does 'as far as possible' mean? Why have these, as well as lots of other negative impacts, not been costed?

Furthermore, why has there been the assumption that they 'should be balanced' against some inadequately analysed socio-economic benefits? Where are the figures to accompany this sort of comment in the Conclusions?

As an indication of how little account has been taken of the scale factors associated with the proposed changes, and the overall lack of coverage of issues that cause detriment or negative impacts, the Environmental Statement contains in its Summary & Conclusion the following key points:

Paragraph C8.5: in relation to local air quality 'No mitigation measures are required'.

Paragraph C8.6: comments 'In terms of noise and vibration, it is considered that crowd noise from the additional sporting events would have a negligible impact.....

There are no further mitigation measures that are required other than those considered or already implemented'. (My bold)

Paragraph C8.7: comments in conclusion from the ES that 'The proposed variation to the event cap to allow THFC to use Wembley Stadium for the 2017-18 will bring significant additional expenditure and employment to Wembley and its surrounding area'. (my bold)

Finally, in my view the analysis done for this Environmental Statement, which is a crucial input into any decision as to whether to allow the Planning Application 17/0368 to get approval, is not sufficiently robust to form the basis for any decision.

There are sufficient problems, gaps and inconsistencies in its coverage to require a further and better piece of work to be undertaken and provided in writing to the Brent Council Planning Department before any decision is taken.

The impact on the geographical area close to the Stadium of the proposed changes embodied in the Planning Application is so considerable that this information must be supplied.

Meanwhile Haringey Council has submitted its support for full capacity matches to be played at Wembley.

Leisure Services, Haringey Council, Alexandra House, 10 Station Road, Wood Green, London, N22 7TR 

Haringey Council Parks & Leisure Services support the application for Tottenham Hotspur to play all of its games at Wembley at full capacity.

We have seen considerable benefits for our community from Tottenham Hotspur's work in our Borough with their Foundation having spent time for example working with employers in the area, the Job Centre as well as in schools across the area.

Through an increase in the number of people attending and the size of the events, we believe there will be increased opportunities for local business, greater employment benefits on events days and a general bump to the local economy.

Additionally, having engaged with the Tottenham Hotspur Foundation, we are pleased that this application outlines a further commitment to enhancing their programme of activity in the borough of Brent and expanding it during their year in the borough. Through this work, we believe there will be some real opportunities to develop employment and skills opportunities beyond just event days and not just in industries you would associate with Wembley Stadium or football. We look forward to working with them to develop these programmes.

With regard to the event's themselves, while event days do come with issues for the community, we believe from our own experience that the additional mitigation measures put in place to manage them at 90,000 will make them considerably better run events than we currently have at the stadium. We welcome the extra efforts being made by the Club and Wembley to address the issues which arise regardless of the stadium capacity and hope that by accepting this application we will see the benefit of those measures positively impacting the area on event days.


Tuesday 28 February 2017

Dodgy goings on with Spurs application to increase events & capacity at Wembley Stadium?

Residents have been in contact about two aspects of the on-line consulation on removal of the cap on the number of events held at Wembley Stadium and more full capacity events LINK.

The first is the fact that on at least two occasions the link has been unavailable clearly affecting the public's ability to comment.

The second is puzzlement that submissions by the public that clearly object to the proposal are classifed as 'Neutral' - see below:

Please see comments below one of which suggest that if you do not choose Support, Object, or Neutral when submitting a comment online the system defaults to Neutral to the Neutral category. If this has happened to your comment it might be worth contacting the Planning Officer to state your position.

4 Park Lane, Wembley, HA9 7RZ (Neutral)

I strongly object to the proposals. It would add to the traffic gridlocks, sometimes hooting of horns late in the evening - not to mention increased air pollution! And difficulty using public transport. Also, residents having the nuisance of having to plan theirs lives around the events. The behaviour of hooligans is also unbearable - I came home once to find a brick had been thrown through my bathroom window! A small tree got broken in half once on an event day - and then there is urinating everywhere. And parking becomes impossible of corse. - As the stadium is a national stadium it should not be used for anything else. - I therefore strongly object to the variation of condition 3 and the removal of condition 33 of 17/0368.

8 Village Mews, London, NW9 8SZ (Neutral)

I strongly object to this and don't think residents have been taken into consideration here.

Roads are already highly congested and Brent should be thinking about minimizing this instead of making matters worse. Whether I drive or take public transport on an event day my journey time is doubled sometimes tripled. I am unable therefore to travel within the local vicinity on event days.

Looking at other comments it is clear there is strong opposition, so it is hoped you take these concerns into consideration and think again of the impact this will have to residents, roads, traffic and the environment.

15 Hillside Drive, Edgware, HA8 7PF (Neutral)

We live and work very near to Stanmore and Cannons Park Underground Station, the A41 and the M1 Edgware exit. Whenever there is any event on at Wembley Stadium, the whole area grinds to a halt. The roads become impassable and journeys around this area almost impossible. There is just not enough space for the amount of cars on the road to travel or the availability of parking places. Together with the noise and nuisance levels of hundreds of various football or rugby fans, the request for additional events is unacceptable for the residents living anywhere near Stanmore or Cannons Park Underground stations or the M1/A41 or A1. If there are visiting fans from the North of England, then the additional traffic on the M1 turns the area to one large car park - absolutely nothing moves and a 10 minute journey can turn into an hour.

We already have to contend with additional traffic and congestion when there are any events on at Allianz Park in Copthall Stadium Mill Hill and any events at The Hive in Edgware.

Therefore we strongly object to any additional usage of Wembley Stadium and to any football club having their games held there or having a residency there.

68 Beverley Gardens, Wembley, HA9 9RA (Neutral)

'Condition 3' was put in place for a reason - to prevent local residents from suffering the great disruption and inconveniences caused to local residents when up to 91,000 people descend on Wembley Stadium. Yet it is now proposed that an extra 31 such events are allowed to take place. And not just any events, but football matches, with their supporters, some of whom have a tendency towards rowdiness, drunkenness and anti-social behaviour.

WNSL has tried to say that it will try to mitigate any problems by 'working closely' with TfL and the Met Police etc. But with a large football crowd those problems can only be 'managed' not removed completely. On match days, residents will still have problems getting home (or leaving it) by train or car, problems picking up their children from school, problems accessing the Civic Centre, or be unable to have friends round.

I therefore object to this application. At the very least, THFC matches should be restricted to 50,000 seats. After all, their existing stadium only accommodates 36,800 and their new one will only be a 61,000 seater.

I also feel that by allowing this application for THFC to use the Stadium, a precedent will have been set that will allow future applications to be 'nodded through'.

49 Linden Avenue, Wembley, HA9 8BB (Neutral)

I feel that the application is not pragmatic to the overall functions of Wembley. I believe that the current situation is bad enough and does not need to be exacerbated any further. There is enough congestion in Wembley on event days. We as residents of Wembley do not feel any benefit from the stadium events. We feel that we are made to surrender our parking spaces to people who do not live in Wembley. We cannot have visitors around because of the congestion. Life in Wembley is already bordering on depressing. Please do not make it worse. I strongly object!

99 Grasmere Avenue, Wembley, HA9 8TG (Neutral)

This area is already very busy and too much traffic.

I object.

DEADLINE FOR COMMENTS THURSDAY MARCH 2ND

Saturday 7 January 2017

What do you know about 'Investing 4 Brent'?

It sounds like a credit union but it is in fact a ‘Wholly Owned Investment Company’ (WOC) approved by Brent Cabinet at its November meeting and which had its first meeting just before Christmas.

The Cabinet appointed Cllr George Crane (a former member of the Executive and lead for Regeneration and Major Projects), Phil Porter (Strategic Director of Wellbeing) and Peter Gadson ( Director of Policy, Partnerships and Performance) as directors and former Chief Executive of Ealing Council, Martin Smith, as Chair.

The Resources and Public Realm Scrutiny Committee are due to discuss the Council’s Capital Programme and Investment Programme on January 10th.  This includes an accout  of the progress of various capital programmes across Brent, including major developemnts and the school expansion prgramme,  and ‘Investing 4 Brent’ is mentioned in the umbrella report only in passing.  However the Cabinet report on the Wholly Owned Investment Company LINK is included in the subsidiary documents and members may think it merits some scrutiny and discussion as a new departure for Brent Council which raises potential issues of democratic accountability beyond Cabinet oversight.

The Report summarises the Council’s intention:
The proposal is for Brent Council to form a Company under its General Fund powers, which will be 100% owned by the Council. Its initial principal aim will be to assist in the delivery of the Council’s ambitious regeneration plans and housing development objectives, but it is envisaged that this aim will be developed over time. 


The rationale for using a WOC, as opposed to developing direct through the General Fund, includes:
.                           Isolation of some financial risks, which would be borne in the first instance by the Company rather than the Council; 

.                          More focused management of these complex risks, such as cash flow, tax, land development and market appraisals, many of which are not typical of most council services; 

.                          Specifically within the initial focus on housing, absolute clarity that any housing properties delivered will not be council HRA properties and thus will not impact on the HRA borrowing cap. Right to Buy (RTB) does not apply to homes developed through a WOC, as the Company forms a distinct legal entity from the Council. 

.                          Strong and onerous personal obligations placed on the Directors of the company, through the Companies Act, to ensure that the activity receives the appropriate management focus; 

.                           Flexibility to act more commercially and at greater speed than the council can, which is essential in acquiring property and striking development deals and hence emphasises why governance and control are so important; and 

.                          Flexibility to develop the company, once established, into another structure, if so required, allowing for example the development of other companies within the Brent umbrella or sharing of the equity in the company with another partner if that becomes desirable. 

It is not intended that the WOC would have a high profile identity separate from the Council, and that, operationally, it would be a “light” organisation with many activities, particularly development, undertaken via consultancy support, contracts and management agreements or via secondment of Council staff. It is expected that by setting up and running the Company in this way the impact on staffing capacity would be low but equally would improve efficiency and maintain employment whilst providing a motivating opportunity for staff to develop new skills. Some direct appointments might be necessary in relation to, for example, management of core functions such as Board papers, audit, insurance, accounting and tax. 

The conclusion of this report is that the WOC has significant potential to support the delivery of housing, infrastructure and regeneration strategies directly (i.e. through site development) and indirectly (providing the catalyst for further private sector investment or maintaining the momentum of change). For example, the potential for the Council to be able to directly deliver housing on land that it owns is of clear benefit to the wider regeneration of Brent as it will provide an alternative route to private sector delivery which has been constrained by prevailing economic conditions. 
Brent Council is currently in the process of bringing the Brent Housing Partnership back ‘in house’ and although a totally different enterprise ‘Investing 4 Brent’ appears to be a form of out-sourcing with its own risks attached.  6.20 indicates that any financial shortfall could be made up by raising rents or selling off property:

.        6.13.  Initial modelling has presented a sustainable business plan for the company provided that a number of key targets are met, the key ones being:
.        Purchasing a portfolio of properties that generates sufficient income from letting to tenants at sub market rents to cover the costs of operating the company and interest on debt owed to Brent 

.        Properties are managed in such a way as the costs of operation are optimised and the revenues lost through void and bad debts are minimised 

.        6.14.  The premise of this company is that it has been established to provide quality housing options at sub market rents. Key to the sustainability of this company is its ability to operational surpluses. However, the ability to make significant surpluses is restricted through sub market rental income. Section 6 of the business plan gives more detail on the critical and other variables that the directors of the company will need to manage to ensure a sustainable, successful and profitable company. 

.        6.15.  Providing that these key targets are met, the financial profile of the company is that it becomes profitable during the second year, and retains surpluses from which to operate until end of the 30 year business plan period. 

.        6.16.  It should also be noted that incorporation of a company exposes the operation to liability for corporation tax and VAT. Payment of these taxes has been included in the financial modelling exercise. 

.        6.17.  Given the target variables as defined above, the company will require a cash flow / working capital facility of up to £1m during the first 4 years of operation. The need for a working capital facility arises from the time it takes from the acquisition of the property to first let. The financial profile for the company is for the company to make a loss in the first year of operation, turn from profit to loss during the second year and to make accrued profits from year 4 onwards. 

.        6.18.  For the avoidance of doubt, this is a loss within the company. As it forms part of the council’s overall group it is not a loss to the council; indeed, the company will be a part of the council’s plans to reduce its overall costs in managing homelessness. By way of analogy, describing the company as making a loss in its early operation is the same as describing any operational budget as a ‘loss’ which would be meaningless for practical purposes. However, the early loss in the company has a specific meaning within the Companies Act, which is why it is necessary to demonstrate that the company will over time be profitable. 

.        6.19.  From year 4 onwards the company is self-sustaining, with losses made in later years being offset by further profits made in the earlier years. This is detailed in the appended company business case. 
Meeting
.        6.20.  There are risks of setting up a company, the primary one being that due to unforeseen market changes it may become insolvent. This risk should be mitigated by suitable monitoring arrangements as set out above. It is important that the company maintain the flexibility to set rents and if necessary dispose of properties to meet any shortfalls. The company should not be authorised to borrow or incur long-term liabilities without prior Council approval. 

.        6.21.  To support the viability of the company and protect the interests of the company a commercial arm will operate alongside the PRS affordable housing. This commercial element will permit greater opportunity to deliver sub market and commercial housing to create a strong and sustainable business and offer accessible housing products to key workers amongst others. 

Tuesday 20 September 2016

Brent Kilburn Connects to discuss air pollution, proposed parliamentary constituency changes & benefit cap tomorrow (Wednesday)

Wednesday, 21 September 2016

7pm
London Interfaith Centre, 125 Salusbury Road NW6 6RG
(Modern building with glass frontage and dome on top between Queens Park and Brondesbury Park stations) 206 bus ir walk down from Brondesbury Park station

Agenda

  • Air pollution in Brent: what’s being done about it? Councillor James Denselow – Chair
    Aaron Kiely, Campaigner – Friends of the Earth, Tony Kennedy, Head of Transportation – Brent, Jennifer Barrett, Senior Regulatory Service Manager – Brent, Oliver Lord, Principal Policy Officer (Air quality / green transport) – Greater London Authority 
  • Soapbox 
  •  
  • Draft proposals for new parliamentary constituency boundaries for England: what does this mean for Brent? Sean O’Sullivan, Electoral Services Manager - Brent
  • Overall Benefit Cap changes from November 2016: be prepared!
    Are you aware of options available to you and sources of potential support and assistance?
    Neil Gann, Welfare Reform Project Manager - Brent

For further information please email brent.connects@brent.gov.uk

Thursday 21 July 2016

Task Group: Brent needs to rethink its partnerships with housing associations



Top 10 providers by housing association

Last night's Community and Wellbeing Scrutiny Commitee considered the Task Group on Brent Housing Association's Report LINK. The task group was led by Cllr Tom Miller.

Executive Summary and key recommendations:
 
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The task group looked at the effects of the Housing and Planning Act 2016 and the Welfare Reform and Work Act 2016 in five key areas: Right to Buy, social housing supply, 1% social rent cut, a voluntary Pay to Stay, and partnerships with the council.

This task group supports increasing home ownership and is not opposed to the principle of giving tenants the opportunity to buy their own home; however, that can only work if homes sold under the Right to Buy are replaced at least one-for-one in Brent and that social and genuinely affordable housing still continues to be provided across all tenures in the borough.

Although the task group does not believe Right to Buy will be taken up in significant numbers, it could exacerbate the borough’s existing housing crisis by further reducing social housing stock. Even if social housing is replaced, there is uncertainty about the type of product that would replace it and there could be a time lag between loss and replacement. This will be made worse if already scarce housing stock is sold. Therefore, the local authority should insist on explicit exemptions of four-bedroom family-sized homes, supported housing and specially adapted housing which if it is sold under the extended Right to Buy will be extremely difficult to replace.

Brent Council also needs to consider other supply-side measures it can take such as joint development with registered providers which maximises the amount of social housing retained in the borough, and stimulating growth in other models of social housing in Brent such as housing co-operatives, community housing, self and custom build and community land trusts.

The demands of the legislation means Brent Council will also need to rethink its existing partnerships with housing associations, and the relationships between them. More of the knowledge and expertise which the local authority has could be shared as a way of building more effective partnerships. Similarly, the expertise which large housing associations have accumulated could be shared with the smaller registered providers in the borough.

The task group believes it may no longer be realistic for one local authority to be able to negotiate on equal terms with such large organisations. Therefore, the task group calls for far greater cross-London working as a counter-balance, and for a recognition of the important niche services that smaller housing associations offer to tenants and residents in Brent.

Finally, the importance of tenants’ voices and listening to their concerns needs to be remembered and this important perspective should be better integrated into partnership working.


Theme 1: Right to Buy 

1. Strategic Director Community Wellbeing convenes a working party dedicated to Right to Buy with registered providers which meets to monitor the impact of the policy in Brent and helps to mitigate any potential problems which are caused.
2. Cabinet Member for Housing sets out a common position to all registered providers operating in Brent that the local authority would like homes of four bedrooms or more, specially adapted housing, and older people’s housing exempted from the Right to Buy.
3. Strategic Director Community Wellbeing and Cabinet Member for Housing develop agreements with housing associations and the Greater London Authority which maximise the number homes replaced in Brent, including four-bedroom properties, as well as homes for social rent.
4. Strategic Director Community Wellbeing invites housing associations operating in Brent to fund jointly an anti-fraud investigator for a time-limited period to help housing associations’ investigations into Right to Buy fraud and offer free training for staff on fraud and speculative buying practices.
5. Director of Policy, Performance and Partnership to consider integrating Right to Buy into Brent’s financial inclusion strategy so that tenants are better informed about interest rates, mortgages, cost of major works, responsibility for repairs, and the operation of companies who encourage purchasing of homes under Right to Buy.
6. Cabinet Member for Housing requests that housing associations advise tenants of their financial options, and inform them of the wider responsibilities of becoming a leaseholder as part of the purchasing process for Right to Buy.
7. Cabinet Member for Housing ensures a working party of registered providers convened around the Right to Buy extension shares information and expertise about properties going into the private rented sector. 

Theme 2: Social housing supply
8. The Strategic Director Community Wellbeing and Lead Member for Housing to initiate further discussions with other London local authorities about collaborative arrangements for the provision of social housing in the future.
9. Brent’s Cabinet Member for Housing to consider setting up a forum for smaller housing associations to be able to gain expertise and knowledge in business planning and other areas from the larger registered providers operating in Brent.
10. Cabinet Member for Housing and Strategic Director Community Wellbeing put in place mechanisms to signpost residents to information about the Community Land Trust Network and Federation Confederation of Cooperative Housing and self and custom-build networks and organises a one-off event to stimulate interest in developing other social housing models.
11. The Strategic Director for Community Wellbeing commissions a feasibility study about developing affordable self-build on marginal areas of council owned-land which is not suitable for its own house building programme.
12. Brent Council to update its Housing Strategy 2014-19 to weight available council- owned land not intended for the council’s own house-building programme towards housing association or partnership developments which house social tenants and vulnerable people in line with the council’s political commitments. 

Theme 3: Social rent reduction
13. Brent Council to continue to work closely with social landlords in the borough to evaluate the effects of welfare reform, in particular the overall benefit cap, and to develop appropriate processes and procedures that facilitate the achievement of this. 

Theme 4: Pay to Stay
14. Cabinet Member for Housing to request that housing associations operating in Brent report regularly to the council outlining any progress they are considering in implementing Pay to Stay. 

Theme 5: Partnerships
15. Cabinet Member for Housing organises more frequent forums around specific issues such as rents, welfare reform and employment as well as linking with London- wide housing groups so there can be a useful exchange of information and expertise.
16. The Strategic Director of Community Wellbeing organises a housing summit each year to bring together all the registered providers in the borough in addition to the regular quarterly forum meetings.
17. In collaboration with housing associations, Brent Council develops mechanisms that will enable housing association tenants to share their concerns and service priorities.
18. Cabinet Member for Housing to write to housing associations to encourage tenants’ representation at the board level of housing associations by bottom-up elections.
19. Cabinet Member for Housing to develop a partnership model which is more weighted towards those providing in-demand tenures and housing.

Thursday 14 July 2016

Green Party responds to Lords Committee report 'Building More Homes'

I thought readers would be interested in this release from the House of Lords Economic Affairs Committee and the Green Party's response



In their report, Building More Homes, published today LINK, the cross-party House of Lords Economic Affairs Committee criticises the Government’s housing policy for:
· Setting a new homes target which will fail to meet the demand for new homes or moderate the rate of house price increases.

· Restricting local authorities’ access to funding to build more social housing.

· Creating uncertainty in the already dysfunctional housing market by frequent changes to tax rules and subsidies for house purchases, reductions in social rents, and the extension of the Right to Buy. All of these changes reduce the supply of homes for those who need low cost rental accommodation.

· A narrow focus on home ownership which neglects those who rent their home.
The Committee makes wide-ranging recommendations to address the housing crisis, including:
· Restraints on local authority borrowing should be lifted. Local authorities should be free to borrow to fund social housebuilding as they are other building programmes. This would enable local authorities to resume their historic role as one of the major builders of new homes, particularly social housing.
The current historically low cost of borrowing means local authorities could make a large contribution to building the houses we need for the future. Further, the new Prime Minister has announced that the Government will abandon their fiscal target. This paves the way to increase local authority borrowing powers.
· Council tax should be charged on development that is not completed quickly. The Government’s reliance on private developers to meet its target of new homes is misguided. The private sector housebuilding market is oligopolistic with the eight largest builders building 50% of new homes. Their business model is to restrict the volume of housebuilding to maximise their profit margin. To address this the Committee recommend that local authorities are granted the power to levy council tax on developments that are not completed within a set time period.

· Maximise the use of public land. The Government must take decisive steps to build on the very substantial holdings of surplus publicly owned land. The Committee recommends that a senior Cabinet minister must be given overall responsibility for identifying and coordinating the release of public land for housing, with a particular focus on providing low cost homes. The National Infrastructure Commission should oversee this process.

· Local authorities should be given the power to increase planning fees. Local authorities should be able to set and vary planning fees to help fund a more efficient planning system and the upper cap on these charges should be much higher than the current limit.
Commenting Lord Hollick, Chairman of the Committee, said:
We are facing an acute housing crisis with home ownership – and increasingly renting – being simply unaffordable for a great many people.

”The only way to address this is to increase supply. The country needs to build 300,000 homes a year for the foreseeable future. The private sector alone cannot deliver that. It has neither the ability nor motivation to do so. We need local government and housing associations to get back into the business of building.

Local authorities are keen to meet this challenge but they do not have the funds or the ability to borrow to embark on a major programme to build new social homes. It makes no sense that a local authority is free to borrow to build a swimming pool but cannot do the same to build homes.

The Government are too focussed on home ownership which will never be achievable for a great many people and in some areas it will be out of reach even for those on average incomes. Government policy to tackle the crisis must be broadened out to help people who would benefit from good quality, secure rented homes. It is very concerning that changes to stamp duty for landlords and cuts to social rent could reduce the availability of homes for rent. The long term trend away from subsidising tenancies to subsidising home buyers hits the poorest hardest and should be reversed.

If the housing crisis is to be tackled the Government must allow local authorities to borrow to build and accelerate building on surplus public land.
Responding to the House of Lords Economic Committee’s report ‘Building More Homes’, Green Party Housing Spokesperson Samir Jeraj said:
Many of the committee’s recommendations -  on breaking the monopoly on developers, enabling council house building, and the misguided nature of the government’s focus on home ownership - reflect long-held Green Party positions.

However, they do not go far enough in some areas, particularly on Right to Buy. This damaging policy has rightly been scrapped in Scotland, and is on the way to being scrapped in Wales - it must be abandoned in England too.

To make council tax genuinely fair, it should be replaced by a Land Value tax, which would return to the community the value added to a property because of improvements that have been paid for by the public purse.
 
Tackling the housing crisis must be at the top of the new Prime Minister’s priorities, and taking on this report’s recommendations would be a positive first step.

Monday 25 April 2016

How the reduced Overall Benefit Cap will impact on Brent residents

A report going to Brent Council Scrutiny Committee tomorrow demonstrates how the lowering of the Overall Benefit Cap (OBC) to £23,000 will impact on residents, with a particularly severe impact on single parents and single people.

According to the report the impact  of the cap so far
...in Brent has been lower than initially anticipated, although it has still had significant impacts. Among these, the relocation of families outside of Brent has been high profile, but affects only a minority of OBC cases (22 in 2015/16); there are generally broader factors including the wider welfare reforms (especially Local Housing Allowance caps) and the lack of affordable accommodation in Brent which have impacted on homelessness and the need to rehouse families outside the borough; OBC itself has played a relatively small part in this and the majority of resolved cases have been through employment.
  Lone parents represented over half (53%) of the cases capped and households with dependants accounted for over 77% of all cases. Single claimants were less likely to be capped as they were likely to be living in smaller properties and so entitled to less benefit. In terms of ethnicity, claimants from the black ethnic group were disproportionately impacted by the OBC, relative to their proportion of the overall Housing Benefit  caseload.
  The council currently has just under 3,000 households living in temporary accommodation, the fourth highest in the country, and including over 5,000 children. This includes the use of expensive and unsuitable Bed & Breakfast accommodation, hostel accommodation with shared facilities, and other nightly paid accommodation which is not fully covered by Housing Benefit and is subsidised by the Council at an unsustainable cost.
  Efforts to reduce the number of households in temporary accommodation are made more difficult by the lack of social housing lets and the difficulty and expense of securing affordable private rented sector accommodation at LHA level rents.
  The effect of austerity and public sector cuts generally means that the Council is now less able to take an interventionist approach with affected claimants and the new Welfare Reform Strategy reflects a greater need to work together with partners, with the Council fulfilling more of a strategic and co-ordinating role, though there will still be intervention on a targeted basis towards the most vulnerable claimants; however, there will be a greater expectation on non- vulnerable claimants to take responsibility for their own outcomes (with appropriate signposting). [my emphasis] Finally the Council’s limited discretionary funding will have to stretch further and therefore provide less of a safety net for residents in future

The reduced cap will exacerbate an already difficult situation:
However, the planned lowering of the Cap from Autumn 2016 will present greater challenges to a larger number of claimants; in particular single people will be impacted who will generally not be statutorily homeless if they present to the Council, so there is potential for increased sofa-surfing, street sleeping, mental health and related social issues. The lowering of the cap elsewhere in the country will even make relocating out of London a less viable option.
A comparison of the two charts below demonstrates the impact:


Click on charts to enlarge


 The table below shows the new limits per week.  Greater London rates apply in Brent.

The table below shows the Council's Discretionary Housing Payments (DHP) in 2015-16


The Council's DHP budget has been reduced from £4.8m in 2013-14 in 2013-14 to £2.6m in 2015-16 .
The full report can be found HERE

Thursday 12 February 2015

South Kilburn residents face barely affordable rents hike - (if our sums are right)

South Kilburn resident Pete Firmin has been giving himself a headache trying to work out what Brent Council's 'affordable rent' policy really means. In this Guest Blog, after studying Council documents, he give it his best shot. We would be happy to hear from anyone who can show the conclusion is wrong (with workings!).


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At the Council Cabinet meeting on 26th January, a report from the “Report from the Strategic Director of Regeneration and Growth” headed “South Kilburn regeneration Programme” was adopted. This concerned the approvals needed for the the next stages of redevelopment and regeneration. LINK



One of the recommendations in the document is:

“2.1. That the Cabinet agree to set rent levels for the affordable homes at Gloucester House and Durham Court once complete, at a rent equivalent to the Homes and Communities Agency Target Rent levels.”

The Gloucester House and Durham Court redevelopment involves:

“3.1 The redevelopment of Gloucester House and Durham Court site involves: a. the demolition of Gloucester and Durham and the development of 236 new homes for a mix of market sale (134 new homes) and affordable social rented (102 new homes) accommodation;”

On the rents:

“Target Rents

3.5 On 18 July 2011 the Executive agreed to adopt a rent equivalent to the HCA Target Rent levels for affordable developments in South Kilburn until Borough wide rent levels were reviewed. The 18 July 2011 Executive report set out the background to the rent level change and concluded that setting HCA Target Rent levels on phases 2 and 3 and subsequent phases is the only realistic way of affording the South Kilburn regeneration
programme and avoiding the requirement for large amounts of grant that would not in themselves be certain of being awarded and, if awarded, would require rents to be increased to the new 'affordable rent' levels.
3.6 The Target Rent regime controls rent levels in the social sector. Target Rents are calculated by a formula, the basis of which is set out below. Increases in Target Rent levels are also pegged to inflation and subject to an overall cap.

• 30% of a property’s Target Rent is based on relative property values compared to the national average

• 70% of a property’s Target Rent is based on relative local earnings compared to the national average

• A bedroom factor is then applied so that, other things being equal, smaller properties have lower rents”



“3.7 Between 2010/11 and 2014/15 increases in Target Rent levels and caps have been linked to RPI as set out in the tables below:”

[for tables on caps you will need to refer to the document via above link]

“Last year Government introduced a new rent policy, and for the ten years 2015/16 – 2024/25, increases in rents in the social sector will be limited to CPI +1% and increases in rent caps will be limited to CPI + 1.5%.”

BUT

“3.8 It should be noted that new social rented properties being developed in South Kilburn have a higher capital value than existing Council properties and therefore will attract a higher Target Rent under the formula outlined. Inflationary rent increases on these newproperties, whilst governed by the same rent policy and same CPI +1% limit, will therefore also be higher in monetary terms (i.e. in pounds sterling). This is because 1) inflation will be applied to a higher base Target Rent and 2) the Council will sometimes (and more commonly than the Registered Providers managing the new properties in South Kilburn) not apply a full inflationary increase to rents across its own housing stock.

3.9 In line with the Council's commitment to maintaining current HCA Target Rent levels in regeneration areas it is recommended that the Cabinet agree to set the rent levels for the affordable units at Gloucester House and Durham Court and the Post Office Plus Site once complete, at rents equivalent to the HCA Target Rent levels.”



Problem is, of course, that this is fairly impenetrable for those who want to know what this actually means in terms of real rent levels for the “affordable” new flats.



A Councillor helpfully enquired what this actually means and got this response from a Council officer:

Your enquiry regarding affordable rents has been forwarded to me for reply. I have provided a brief explanation of the position below but please let me know if you would like any additional information or technical detail.



Target rent levels relate to Social Rented Housing, whether owned by a Council or by a Housing Association. These are based on a national formula that takes account of the capital value of the property and a factor for regional (London) earnings. They do not directly reference private rented sector rents. Target rents therefore vary across properties and boroughs. In Brent, as in many authorities current rents are below target rents but have been gradually moved towards them recent years under the government’s rent restructuring formula.

Current average rents for Brent’s council properties (which for larger properties are below target rents) are:



Bedsit - £93.91 / week

1 bed - £107.07

2 bed - £119.43

3 bed - £130.80

4 bed - £141.63



New affordable housing development is typically at Affordable Rents. These are directly based on market rents and are the lower of the maximum Local Housing Allowance (Housing Benefit) rate and 80% of the market rent (including service charge). Brent Council has a published Tenancy Strategy, that housing associations are required to have regard to, which provides guidance on maximum Affordable Rents. These set lower limits in order to support affordability, particularly for households who may be affected by the Overall Benefit Cap. The guideline limits are as follows:



1 bed – 70% market rent

2 bed – 60% market rent

3 and 4 beds – 50% of market rent”



Still with me? So what are local market rents?



This is where an internet search comes in.



To be as fair as possible (?) to Brent Council I’ve restricted myself to flats actually in South Kilburn, i.e. not even Kilburn High Road, Camden Kilburn or Brent Kilburn North of the Watford line and definitely not Queens Park.



Some results:



1 bed flat, Malvern Road (described by Estate Agents as Queens Park, but then they do that all the time) £260 pw

2 bed flat, Cambridge avenue, £425 pw

2 bed flat, Malvern Road, £385 pw

2 bed flat, Cambridge Gardens, £425 pw,

2 bed flat, Cambridge Avenue, £400 pw

3 bed, Chichester Road, £475 pw

2 bed flat, Canterbury Road, £375 pw,

1 bed flat, Malvern Road, £295pw,



enough, my brain hurts.


Anyway it should be clear from this search of just a small part of one estate agents website what the range of “market rents” is in the area.



Even taking the lowest market rent for each size of flat. this would give the following



1 bed flat Target rent (70% of market) £182pw. current average Brent council rent £107.07

2 bed flat Target rent (60% of market) £225pw, current average Brent Council rent £119.43

3 bed flat Target rent (50% of market rent) £237.50 pw, current average Brent Council rent £130.80



So, it appears that Brent Council aims to charge new tenants double or nearly double current rents. As well as new tenants, these will also apply to those previously in Council accommodation moved in to new properties.



Brent Council has always denied that regeneration amounts to social cleansing, but surely this proves the opposite.:



In addition to the fact that well over half of the new properties are for market sale (and a new 3 bed flat in South Kilburn was recently on sale for £850,000!) this amounts to a massive hike barely affordable for those currently living here.