Tenant empowerment
Section 294 - Ballots before certain disposals to private landlords
826.Section 294 makes amendments to Schedule 3A to the Housing Act 1985. Schedule 3A outlines the consultation process necessary before a local housing authority can seek the consent of the Secretary of State to transfer ownership of occupied council housing to a private sector landlord (e.g. a housing association). The amendments add the requirement that the local authority must hold a ballot of affected tenants as part of the consultation process, and that a vote in such a ballot against transfer will prevent the Secretary of State granting consent to the transfer. The powers of the Secretary of State are exercisable in Wales by the Welsh Ministers.
827.Subsection (2) sets out at what stage in the consultation process the ballot should take place, requires the local authority to conduct the ballot themselves or appoint an appropriate person to do so, and requires that, once the result of the ballot is known, the local authority must inform tenants of the result and, where the local authority intends proceeding with the transfer, inform them that they can, within 28 days, raise any concerns with the Secretary of State or (as the case may be) the Welsh Ministers.
828.Subsection (3) establishes that the Secretary of State cannot grant consent to a transfer where the majority of those voting in the ballot vote against the proposal.
829.Subsection (4) requires the Secretary of State or (as the case may be) the Welsh Ministers to issue guidance to local authorities on meeting the requirements in Schedule 3A regarding consultation, and it requires relevant local authorities to have regard to such guidance.
830.Subsections (5) and (6) establish that these new provisions do not apply to consultations that have already begun, and make clear at what point a consultation can be deemed to have begun.
Section 295 - Management agreements: extending requirements to co-operate
831.Section 295 amends section 27AB of the Housing Act 1985. Section 27AB provides powers to the Secretary of State to make regulations requiring local housing authorities to enter into agreements with tenant management organisations over the management of their council housing. The amendments extend the list of what those regulations might include, and make other minor provisions. The powers of the Secretary of State are exercisable in Wales by the Welsh Ministers.
832.Subsection (2) permits the regulations to require the local authority to submit certain information to the tenant management organisation, and to require that the local authority co-operate in certain ways with that organisation.
833.Subsection (3) permits the regulations to determine that particular questions be determined by the person making the regulations as well as the authority, to set time limits on carrying out the requirements of the regulations, and to require that persons exercising functions under the regulations act in accordance with guidance or directions issued by the Secretary of State.
Section 296 - Requirements to co-operate in relation to certain disposals of land
834.Section 296 adds a new section 34A to the Housing Act 1985.
835.Section 34A(1) gives the appropriate person (in England the Secretary of State, in Wales the Welsh Ministers) powers to make regulations where a local housing authority has been served a notice by a group of tenants requesting a transfer of occupied council housing from ownership of the local housing authority to a named registered private sector landlord (e.g. a housing association).
836.Section 34A(2) sets out requirements that may be placed on the local housing authority in the regulations. These comprise:
providing assistance to the tenants (which could be financial support, accommodation, other facilities or training);
arranging a feasibility study to look into the tenants’ proposals;
providing information to the tenants;
co-operating in certain ways with the tenants;
arranging ballots with respect to the proposals; and
entering into an agreement for the disposal.
837.Section 34A(3) sets out two further matters that might be included:
provision identifying the land and houses affected by the proposal, and
provision requiring that the agreement between the local housing authority and the private sector landlord be in a form approved by the appropriate person.
838.Section 34A(4) sets out further procedural arrangements that might be included in the regulations:
provision that certain questions arising from the regulations be answered by the authority or the appropriate person;
setting time limits for carrying out requirements set in the regulations; and
requiring persons exercising functions under the regulations to act in accordance with guidance or directions given by the appropriate person.
839.Section 34A(6) provides that the regulations must ensure that the local housing authority can make representations to the appropriate person before a decision to dispose is made.
840.The regulations are subject to the negative resolution procedure.
