Housing Revenue Account Business Plan 2017/18 · PDF fileProviding well managed, decent, warm...

Providing well managed, decent, warm homes with modern facilities

Housing Revenue Account Business Plan 2017/18


Section 1:Introduction 2

Section 2:Housing Services – Service Objectives 3

Section 3:Housing Need and Demand for Affordable Homes 8

Section 4:Welsh Housing Quality Standard (WHQS) 14

Section 5: Financial Modelling and Resources 26

Section 6: Monitoring and Evaluation 29

Section 7: Communication and Tenant Involvement 32

Appendices:Appendix 1 Housing Services Performance (January 2017)Appendix 2 WHQS Investment Programme up to 2020Appendix 3 Table: Current Position of Council’s Housing Stock Achieving the WHQS (January 2017)Appendix 4 HRA Business Plan 30 Year Financial ModelAppendix 5 WHQS Governance

Contents

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This is the Housing Revenue Account (HRA) Business Plan 2017/18 for Wrexham County Borough Council and explains how we as a Council will use our resources to provide an efficient housing service that will improve the quality of life, health and well-being of tenants living within the County Borough.

Wrexham Council supports the Welsh Government’s (WG’s) view that all Council housing should achieve the Welsh Housing Quality Standard (WHQS). We are committed to delivering a quality service and are fully aware of how important housing is as a community asset. Investment in the housing stock also plays a key role in the regeneration of the whole community.

This Business Plan demonstrates that there is sufficient finance in terms of revenue and borrowing availability to deliver the WHQS by 2020. This plan is supported by a 30 year financial model which contains key assumptions including future rent levels, number of sales under the Right to Buy scheme and inflation levels.

The Business Plan:� sets out the investment required to bring all Council homes up to the WHQS by 2020;� explains what we have achieved over the past 12 months and what are our key actions for 2017/18;� helps us to review and amend financial assumptions in the 30 year financial model; and� provides the Welsh Government with a document that shows Wrexham County Borough Council

commitment to achieving the WHQS.

We will continue to build on the successes of previous years and ensure we remain on target to deliver the capital investment programme for 2017/18 of £56.4m and achieve the WHQS by 2020.

Section 1: Introduction

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The Council’s Housing and Economy department aims to improve the quality of life, health and well-being of tenants living in Wrexham. We do this by providing 11,214 rented homes to tenants and their families which are decent, affordable, warm and well maintained in communities where people want to live.

The Council’s housing service is directly managed through 6 decentralised housing offices which in turn form part of the Housing and Economy department. We provide a range of services including income collection, administering the housing register, allocations, housing management, tenant enforcement, responsive repairs, capital improvements, tenant participation, tenancy support, supported housing and homelessness prevention.

Within the HRA portfolio there are also 2,137 garages and 43 shops which are located on housing estates across the County Borough.

As of 17 December 2016, the Council’s housing stock consisted of:

Section 2: Housing Services – Service Objectives

Type of property Numbers

Bedsits 42

Bungalows 1,052

Flats 2,446

Houses 7,019

Sheltered Accommodation 655

TOTAL HOUSING STOCK 11,214

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Wrexham County Borough Council’s Reshaping ProgrammeThe Council has and is continuing to look at ways to reshape service delivery and find savings to tackle the budget deficit. As part of this programme in 2015/16, there was a reduction in the number of posts in the Council’s senior management structure and a number of departments were restructured and roles of Heads of Departments have been reshaped.

From April 2016, the housing service now sits within the Housing and Economy department and in the new structure services have been grouped under three Service Managers who each have responsibility for Housing, Regeneration and Assets. This integration is anticipated to provide a more joined up approach, in particular with asset management, capital investment, facilities management and strategy and development. The clear purpose is “to help create a vibrant, diverse and inclusive economy and provide homes that meet the needs and aspirations of local people.”

Further work is to be undertaken during 2017 on restructuring the service and teams, identifying improvements and efficiencies. Where savings are found, only those funded by the General Fund (not HRA, capital or grant) will contribute towards the Council’s overall target savings. Savings found in services funded by the HRA will require consultation with tenants before any changes are made. Any savings made will however reduce the burden on the HRA and/or allow for new investment.

Council Plan 2017-2022Wrexham’s Council Plan is the overarching plan for the Council which defines where to focus our energies and resources for the next 5 years. The current Council Plan 2016-2017 sets out three strategic themes – Economy, People and Place and a corporate theme of Organisation. Under each of these themes there are a number of key priorities.

The Council Plan is currently being reviewed and the priorities for the new Council Plan for 2017- 2022 will be Member led. It is anticipated that the strategic themes and priority outcomes will be agreed by Members by March 2017. This HRA Business Plan will contribute to each of the themes.

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Well-being of Future Generations (Wales) Act 2015Wales faces a number of challenges such as climate change, poverty, health inequalities, jobs and growth. In order to provide a good quality of life, public bodies need to make sure that when making their decisions they need to take into account the impact they could have on people living their lives in Wales in the future. This Act establishes the need for Public Service Boards in each local authority area in Wales to produce a Well-being Plan. Wrexham County Borough Council is currently reviewing its Council Plan 2015-2017 and will set strategic themes taking into consideration the five ways of working as outlined in the Well-being of Future Generations Act.

Wrexham Public Service Board (PSB)The PSB was established on the 1 April 2016 and contributes to the seven national well-being goals as outlined in the Well-being of Future Generation (Wales) Act. The PSB is a partnership of organisations that help provide public services in Wrexham County Borough and includes the Council, Health Board, Fire and Rescue Service, Natural Resources Wales, the Police, the National Probation Service and Community Rehabilitation Company, Public Health Wales, Wrexham Glyndwr University, Coleg Cambria, A.V.O.W, and Welsh Government.

Wrexham PSB will prepare a local well-being plan setting out its local objectives and steps it proposes to take to meet them. This plan will be published by April 2018 and in preparation of this, an assessment of the current economic, social, environmental and cultural well-being of the board’s geographical area is underway. In preparing future HRA Business Plans consideration of the findings of this assessment will be taken into account.

Housing Services Key Priorities 2017/18The department’s Service Management Plan contributes to the Council Plan and identifies the priorities and challenges for housing services, outlines how we aim to meet them and what we intend to achieve. The Service Plan contains the key actions and performance measures to enable us to achieve our priorities which will contribute to the overarching Council Plan.

The key priorities include:

� delivery of the Capital Investment Programme in order to achieve Welsh Housing Quality Standard by 2020;

� responding to challenges and implications of Welfare Reform/Universal Credit whilst minimising the impact on tenants and their tenancies;

� changes with the Renting Homes in Wales Act 2016; � redesign of Plas Madoc estate;� review of Tenant & Leaseholder Participation Strategy;� more accommodation to meet the needs of older people; � reducing the number of voids and review the Void Repairs Standard; and� service reviews and continual service improvement.

The performance of the service is continually monitored and is reported both to Elected Members and tenant representatives. The Wrexham Tenant & Member Partnership receives quarterly reports on landlord performance on a number of key service areas. This includes reporting on revenue collection, the Council’s housing register, allocations, voids and relets, repairs completion and right to buy sales. Appendix 1 provides a summary of the current level of performance on key areas of the Housing service (January 2017).

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Each year, the Responsive Repairs team handles to approximately 26,000 requests for repairs and consistently scores 9/10 from tenants in terms of overall satisfaction with the service provided. However, as at 1 November 2016 the department had over 4,000 major repairs outstanding and the need to replace water mains at 2,367 properties, costing an estimated £2.8 million to complete. In April 2016, there was also a significant increase in the number of empty properties from the previous year and the average time taken to bring voids back into use failed to meet target times set for each type of void. In order to address these issues new targets have been set by the department in order to complete the backlog of repairs, replace water mains and reduce the number of voids by 31 March 2018.

The focus over the last 15 months has been on the need to reduce the number of void properties but this has come at the expense of a growing backlog of major repairs as staff resources and funding has been to support the WHQS programme. Funding will now be made available within the HRA revenue budget as the department has got the number of void properties down to a more reasonable level. It is important that the major repairs and works to water mains is undertaken promptly and in future years a budget of approximately £1 million will be made available to complete major repairs (planned maintenance) in the year.

Welfare Benefit ReformSince June 2010, UK Government has been rolling out its programme of reforms to the welfare benefit system. Of the reforms that have been introduced, the Spare Room Subsidy has had the biggest effect on Council tenants, due to the number of tenants affected and the potential for financial hardship. Since the introduction of the Spare Room Subsidy, additional challenges are now being faced, due to the introduction of Universal Credit for certain categories of single claimants and the replacement of Disability Living Allowance (DLA) with Personal Independence Payment (PIP).

As at November 2016, there were 788 tenants in Wrexham subject to the Spare Room Subsidy. This is a reduction of 91 cases since October 2015. Welfare Reform has been identified as a major project for the Local Authority and several important pieces of work have been carried out to try to mitigate the effects and raise the awareness of the changes amongst those who are most likely to be at risk of hardship due to these changes.

In 2015, Wrexham was included in “Tranche One” of the roll out of Universal Credit. Certain types of single applicants were initially targeted. This roll out has slowly expanded into Council tenancies as claimants’ circumstances change and they are migrated onto Universal Credit.

As at December 2016, there were 66 Council tenants in receipt of Universal Credit. This continues to be a major cause of concern to the Council as there is the potential for tenants to fall into rent arrears, due to the change in the way in which housing costs are paid to tenants and the additional responsibility that they have to ensure this sum of money is passed on to the Council, every month.

These changes have the potential to affect the Council’s flow of rental income, having a direct effect on its ability to carry out core functions such as day to day repairs and investment of its housing stock.

The Council will also have to keep up to date with and begin to make preparations to deal with further proposed changes, arising from the Government’s Autumn Statement 2016. The main causes for concern are the proposed cap to be applied to the level of Housing Benefit received by single, childless Council tenants under the age of 35 and the removal of Housing Benefit paid to certain claimants between the ages of 18-21 years.

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Tenants under the age of 35 years will be paid Housing Benefit at the rate that is paid to those renting a room in a shared house, the Local Housing Allowance (LHA) rate, rather than at a rate that will be sufficient to pay all the rent.

Any difference between the weekly rent and the LHA rate will have to be met from the tenant’s income. This gap will become increasingly pronounced given that the LHA rate is currently frozen for 4 years, whilst Council rents will be increased each financial year, to meet both local demands and also to comply with Welsh Government’s new policy for social housing rents.

Similarly, tenants between the ages of 18 and 21 years, who do not engage in the requisite employment and training commitments, could see Housing Benefit withdrawn in its entirety. Although these reforms are not due to be implemented until April 2019, it will be backdated to include all new tenancies created since April 2016 and all current tenants who are Universal Credit claimants.

As with the introduction of the Spare Room Subsidy and Universal Credit, these will have the potential to cause further disruption to the Council’s rental income at a time when it is looking to invest further and met its obligations with regard to the WHQS.

Housing (Wales) Act 2014The Housing (Wales) Act 2014 introduced changes across the housing sector to ensure people have access to decent and affordable homes. A number of the key elements of the Act have implications for the Council which include a reform of homelessness law, including placing a stronger duty on Local Authorities to prevent homelessness and allowing the use of suitable accommodation in the private sector. The Act also sets out standards for local authorities in relation to quality, rent and service charge standards.

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National Housing Context

The Welsh Government’s (WG) National Housing Strategy ‘Improving Lives & Communities – Homes in Wales’ commits to the delivery of more housing in Wales and is about improving people’s lives.

It will:

� provide more housing of the right type and offer more choice;� improving homes & communities including the energy efficiency of new and existing homes; and� improve housing-related services and support, particularly for vulnerable people and people from

minority groups.

These themes set a framework for Wrexham’s Local Housing Strategy 2013-2018 and encompass the need for a wide range of tenure and property types. The strategy is a key driver for a range of specific housing programmes such as the WHQS, Wrexham’s Private Sector Renewal Strategy, homelessness and the Supporting People Local Commissioning Plan and is arranged under an overarching framework of developing sustainable communities:

� more Housing, More Choice;� improving Homes and Communities, and� better Services to Improve People’s Lives.

The above themes set the framework for the strategy and uses local information and priorities. The strategy is available on the Council’s website and can be found at: www.wrexham.gov.uk/english/council/documents/local_housing_strategy.htm

Wrexham County Borough Council Unitary Development PlanThe Council’s Unitary Development Plan (UDP) 1996-2011 was adopted on the 14 February 2005. Wrexham Unitary Development Plan (UDP) sets the local planning policy context for the delivery of affordable housing in the Borough. The housing element of the UDP reflects the overall approach towards settlement growth, allocates most new housing development to a range of sites within and adjacent to existing built up areas; makes optimum use of previously developed or vacant land; makes use of spare capacity in infrastructure and services; and focuses on locations with reasonable public transport, walking and cycling links.

Section 3: Housing Need and Demand for Affordable Homes

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Wrexham is currently preparing the Local Development Plan (LDP) which will replace the current adopted Unitary Development Plan. The LDP will be a long-term land use and development strategy focused on achieving sustainable development and will:

� guide development for housing, employment, retail and other uses;� set out policies that will be used to decide planning applications; and � safeguard areas of land requiring protection or enhancement.

Consultation on the LDP Preferred Strategy was carried out between February and April 2016, and the Council is currently developing the Deposit Plan. The observations received during the consultation period on the Preferred Strategy Document along with work to further develop the evidence base will be used to draw-up the Deposit Plan. Publication of this version of the Plan will be followed by another period of formal consultation in the Summer/Autumn 2017. The Deposit Plan will include detailed policies, proposals and site allocations to support the implementation of the Prefered Strategy.

Wrexham’s Local Housing Strategy & Affordable HousingThe current Local Housing Strategy 2013-2018 has been informed by research carried out by Glyndwr University and also by the 2011 Census. The 2011 Census showed a population of 134,800 for the County, with 57,029 households. In 2013, a Housing Needs Survey was also undertaken to inform a joint Housing Market Assessment (LHMA) in conjunction with Flintshire County Council which was reported in March 2015. Housing market assessments play a vital role in forming local decision making and allocation of local resources by informing and supporting local housing and land use policies.

Local Housing Market Assessment 2015The Local Housing Market Assessment (LHMA) 2015 provides up to date information on the housing stock, housing market, need and supply across and within both Wrexham and Flintshire. The key primary drivers influencing the current and future housing market have been assessed as:

� demographic influence and change;� economic performance; and� quality, quantity, availability and affordability of stock.

The research has reflected upon the housing market attributes of Wrexham County Borough and interactions with other areas, notably Flintshire and neighbouring English Local Authorities. The report outlines the scale of future strategic challenges which include delivery of new market and affordable housing to address need and support economic growth, having a range of affordable tenures available to local residents, improving the condition and energy efficiency of existing stock and addressing the requirements of older people and vulnerable groups.

The LHMA model assessed an annual shortfall of 157 affordable dwellings across Wrexham County Borough. Housing assessments are a snapshot in time and the figure calculated under this model should not be used as a definitive measure of housing need or as an absolute target figure.

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Demographic changes, national economic and fiscal constraints and the changes in welfare reform will affect both future housing demand and provision, including the number, size and tenure of new homes. This is reflected in the LHMA assessing:

� the preferred affordable housing tenure spilt for Wrexham (based upon existing households in need and newly-forming households) is 70% social/affordable rented and 30% intermediate tenure;

� the majority of housing need is for social and affordable rented accommodation; and� the LHMA shows a clear analytical need for smaller one to three bedroom properties for both under

and over 65’s with some three-bedroom general needs housing (under 65s).

Around 13% of all households in need are older people (65+ years), and further variation and choice within this housing market (market and affordable) is recommended.

The LHMA suggested that the Council also should consider approaches which may help to encourage and promote wider choice within the general housing market. Down-sizing or moves to more appropriate accommodation (including level access / bungalow type housing) are clearly identified as forming a high area of current / future market demand activity.

The role and growth of the Private Rented Sector (PRS) across both Wrexham and Flintshire is set to continue and local resources to support this sector of the market are therefore likely to become more important.

A copy of the full report can be found at: http://www.wrexham.gov.uk/assets/pdfs/planning/ldp2/march_2015/local_housing_needs_assessment.pdf.

In September 2016, Welsh Government Statistics for Wales issued its first release of population projections based on 2014 figures. In 2014, Wrexham had a population of 136,700 with a projected population in 2039 of 150,000.

Between 2014 and 2039 the population of Wrexham is projected to increase steadily by around 13,300 (9.7%) This is the second largest increase of the local authorities in Wales. Only the 0-4 and 5-10 age groups are projected to fall, with the largest increases in the older age groups. Net migration will account for an increase of 8,600 in the population between 2014 and 2039 with natural change accounting for a further 4,700 increase.

The Older Persons Housing Needs and Aspirations Study (2013)This study was undertaken into the needs and aspirations of older people in the County Borough. The findings of this study have been fed into the current Local Housing Strategy and conclude that older people expect choice, quality and the opportunity to adopt a positive lifestyle in old age. It is proposed to update this study during 2017. A stock option appraisal is currently being undertaken on the Council’s sheltered housing stock which will assist the Council in deciding the future viability, use and improvement of this type of housing. The financial outcome of this study is not yet known and has not been factored into the financial modelling of the business plan.

Local Housing ContextWork has commenced in preparing Wrexham’s Local Housing Strategy for 2018-2023 which will take account of the range of options available to the Council in order to bring forward affordable

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housing projects. It is proposed that an increased focus of the strategy will be on affordable housing. Historically the affordable housing project in Wrexham has used contributions from private developments, commuted sums and use of social housing grant. A strategy is now required to direct how these contributions and other opportunities for land and development are prioritised by the Council within a new context following removal of the Housing Revenue Account Subsidy (HRAS) and it is felt that this can form part of the Local Housing Strategy.

The Council’s Executive Board in 2015 considered plans for a Build and Buy project which enabled the Head of Housing and Economy to use section 106 commuted sums and project plan monies to purchase housing units; make financial contributions to Registered Social Landlords (RSL’s) to enable purchase of housing units; and to identify and purchase development sites. However, with the recent changes in housing finance there is now a need to review and expand the Council’s Build and Buy project to ensure the Council can consider the full range of options for the provision of affordable housing. This will also take account of the need to secure and maximise buying properties as much as focusing on new development and Council-led developments.

An expanded Build and Buy project would take account of the following:

� social housing;� intermediate Rent;� low cost housing options;� land acquisition for housing development; and� support RSL’s (land or financial contribution)

There is an opportunity to maximise the Council’s provision of appropriate housing based on evidenced need but also to maximise income streams and reduce dependence on decreasing funding available from Welsh Government. In order to support decision-making on site selection and prioritisation, work is underway to develop a GIS-led tool for the Council which will include information on:

� population data;� housing needs and demand for specific areas;� sites;� site constraints, limitations and environmental factors;� UDP / LDP Planning Policy; and� housing finance

Housing StockIn Wrexham County Borough over 22% of the stock is social rented / affordable housing. There is a lower than average level of shared ownership accomodation. 13.6% of all households in Wrexham rent privately and there is a lower than average level of private rented housing despite rapid growth in the sector since the 2001 Census. This growth is expected to continue and is expected to compete with social / affordable rent as the second most available tenure over the next 5 to 10 years.

Council Housing Register and Homelessness

During 2015/16 a total of 970 Council allocations were undertaken which is an increase in the number of allocations in 2014/15 which was 838:

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For the period 1st October to 31st December 2016 (Quarter 3), 295 allocations were carried out, of which 154 (52%) were waiting list allocations, 89 (30%) transfer and 52 (18%) homeless allocations. As at December 2016, there were 1,779 people registered on the Council’s Housing Register. Some areas of the County Borough remain to be more popular than others and the waiting time for people being allocated properties can vary due to demand for particular types of property and vacancies occurring in specific areas.

Progress continues to be made on both preventing and alleviating homelessness within the County Borough. In 2015/16, 1,020 homeless applications were made to the Housing Options Team, an increase of 607 applications compared to the figure in 2014/15.

The new homelessness provisions in the Housing (Wales) Act 2014 which came into effect on the 27 April 2015 include new duties on Local Authorities to help all eligible applicants to keep or find a home. As a result, the number of assessments carried out by the Housing Options team in 2015/16 was 874. There remains continued pressure on the Council’s housing stock to provide both temporary and permanent accommodation for those who are homeless.

The Housing (Wales) Act 2014 enabled local authorities to discharge their homeless duties into the private rented sector for the first time. To facilitate this opportunity the Council established a Local Letting Agency in 2015 to provide access to good quality, affordable homes within this sector. The agency has established a small portfolio of 65 units which includes some properties which are bedsits and shared houses. There may be further opportunity for the Local Lettings Agency to provide a framework for intermediate rent and possibly low cost housing options which the Council is currently exploring.

New Build/DevelopmentsA financial agreement was reached, between the Welsh Ministers and Her Majesty’s Treasury in June 2013, which enabled local housing authorities in Wales to exit the HRAS. As part of this agreement, the eleven stock retaining councils were required to ‘buy themselves out’ of the subsidy system.

The Council Final agreement was reached between the Welsh Government and the remaining stock retaining authorities to exit the HRAS effective from 2nd April 2015.

The Council entered into self-financing arrangements from the 2015/16 financial year and a borrowing amount of £4.5 million has been allocated for new build.

The Council will use the new borrowing capacity to fund the establishment of a New Build Council Housing Development Programme. There is a clear expectation from WG that Local Authorities (LA’s) will consider a new council house build programme under the new financial arrangements.

2014/15 2015/16

Waiting List Allocations 488 (58%) 539 (56%)

Transfer Allocations 254 (30%) 315 (32%)

Homeless Allocations 96 (12%) 116 (12%)

Total 838 970

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In addition to HRA borrowing, funding for the programme could be made available through:

� Welsh Government Social Housing Grant Funding – Available to RSLs only; � Welsh Government Housing Finance Grant – Available to RSLs from April 2017 and LA’s from April

2018;� use of commuted sums paid pursuant to Section 106 Obligations (Town and Country Planning Act

1990);� use of Affordable Housing Project (AHP) cash limited budget; and� proceeds of sale of sites committed to the AHP.

The Council will look to identify suitable Council owned HRA sites and negotiate and agree terms for the appropriation of Council owned non-HRA sites and/or the acquisition of other sites for inclusion in the Affordable Housing Development Programme.

New homes delivered under the Build and Buy programme will be managed by Housing Services as part of the Housing Revenue Account and note that the right to buy will apply to these homes in accordance with the relevant statutory provisions.

In addition, as part of a wider strategic housing delivery programme the Council will also consider the purchase (where suitable and financially viable) of newly built properties directly from developers as part of s106 arrangements and also to ‘buy back’ Right to Buy council houses in order to further facilitate the delivery of affordable housing.

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Central to our vision is the expectation that all of our tenants shall have the opportunity to live in good quality homes.

The Welsh Government first published the Welsh Housing Quality Standard (WHQS) in 2002 which expects all landlords in Wales to adopt the standard and meet it by 2020. The WHQS has been developed to provide a benchmark for the physical standard and condition of all existing social housing in Wales. The WHQS standard gives tenants the opportunity to live in good quality homes that are:

� in a good state of repair;� safe and secure;� adequately heated, fuel efficient and well insulated;� contain up to date kitchens and bathrooms;� well managed;� located in attractive and safe environments; and� as far as possible suit the specific requirements of the household e.g. specific disabilities.

Delivering the Capital Investment Programme 2017 to 2020To achieve the WHQS, Local Authorities are required to devise detailed programmes of works. The priority for the 2017/18 financial year is to continue to work towards maximising the number of our properties that achieve WHQS.

The Investment Programme is funded from WG’s Major Repairs Allowance, HRA Revenue Contributions, Capital Receipts from sale of assets and Prudential Borrowing. When combined they will fund the investment programme to 2020 and beyond.

The WHQS Investment Programme for the next 4 years is outlined in Appendix 2. For 2017/18 an investment programme of £56.4m is proposed and a further £83.4m for the following three years 2018/19 to 2020/21.

The future estimates of work have been revised following the knowledge and experience which has been gained since the commencement of work. The total programme cost for the period 2017 to 2020 is estimated to be £139.8m (at current prices) to achieve the WHQS by 2020.

The programme to 2020 will see:

� kitchen and bathroom programmes continuing and completed by 2018. Properties which have not been refurbished by this date due to tenant refusal will have work completed when they become vacant. Additionally, a programme of re-visiting refusals and properties with no access will commence in April 2017;

� re-roofing will continue and increase until the 2020 deadline;� non-traditional properties will receive External Wall Insulation by 2019;� rewires will continue and increase until the 2020 deadline; and� replacement of central heating systems to continue until 2020 with numbers reducing annually;

Section 4: Welsh Housing Quality Standard (WHQS)

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� sheltered housing investment following the outcome of the stock option appraisal report; and

� external works and environmental programme continue until all properties comply with the external requirements of the WHQS.

WHQS Progress by Component

Component

Roofs & associated components

Windows

External Doors

Kitchens

Bathrooms

Energy Rating

Central Heating Systems

Electrical Systems

Mains Powered Smoke Detectors

External Works

%

2017/18%% No.

834374

--

--

936683

971986

832474

--

704162

2018/19% No.

972786

--

--

950084

1059194

1013090

--

865377

2019/20% No.

1112698

--

--

1000088

1111698

--

1078796

2020/21% No.

--

--

--

BaselineNo.

739366

11274100

11274100

926682 11284100

854076 11284100

904980

926982

772468

11274100

453740

%

How the Capital Investment Programme is Identified and PrioritisedThe investment programme and property lists for work to be carried out are primarily identified via the use of an Asset Management IT System. The Council utilises an asset management database, currently Keystone Version 7.4, to record data on its housing stock. All properties in the database have been populated with the information required to generate WHQS programmes of work and produce forecasting reports required for the 30 year Business Plan as well as the requirements to 2020.

The data has been sourced via stock condition surveys carried out both internally and by external consultants and updated with future replacement dates once completion of the various work elements has occurred.

The Keystone system was implemented in 2010 and has provided us with a much better knowledge of the housing stock and allows more effective asset management. The system currently provides:

� investment planning detailing addresses and costs;� asbestos register;� energy efficiency monitoring; � servicing information and programming for gas and fire risk assessments;

Full compliance with the WHQS will be achieved in 2020.= 100% compliance

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� scenario modelling allowing changes in costs and life cycles to be modelled without altering the base data;

� sustainability modelling; and� links to the Council’s mapping system allowing the various programmes to be shown

geographically.

In building up programmes of work and the forecast costs associated with these, the Keystone system uses the life cycles for each element advised in the ‘Stock Condition Surveys – Guidance’ available at:http://gov.wales/topics/housing-and-regeneration/publications/stocksurveys/?lang=enThe cost for each element is based on actual costs incurred; these costs are monitored and updated annually.

The table below details the life cycles for each element used in the Asset Database for future replacement times and associated costs. These have been included in our 30 year plan. These anticipated life cycles are established on the basis of guidance contained within the Welsh Government’s ‘Stock Condition Surveys – Guidance’ document and the BCIS ‘BMI Life Expectancy of Building Components’.

Element Life Cycle (Years)

Kitchen 20

Bathroom 30

Extract Fan 15

Electric Shower 15

Boiler 15

Central Heating System 25

Electrical Installation 35

Roofing

Slate 70

Clay Tiles 50

Concrete Tiles 50

Repointing 40

Chimney Stacks 40

uPVC Windows 30

uPVC Doors 25

Keystone is crucial in the planning and monitoring of the WHQS programme and the updatingof information ensures that forecasts and remaining works are accurate. The system is updated monthly with the various completed works elements. The methods of updating are generally via spreadsheets (Keystone Generic Interface, KGI) which allow a number of addresses and elements to be updated electronically. The Council is in contact with other users of Keystone in Wales and representatives have attended user group meetings specifically for Welsh users.

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Acceptable FailsAcceptable fails are logged on the Keystone Asset Management System and can be for one of the following four reasons:-

� cost of remedy;� timing of remedy;� resident’s choice; and� physical constraint.

Acceptable fails are noted under one of the above heading reasons. To date the majority of acceptable fails have been due to ‘Resident’s Choice’ with the amount of tenants who are refusing a new kitchen and bathroom having increased to approximately 25%. A programme for targeting these addresses, along with the addresses that have previously been offered a new kitchen and bathroom at the start of the programme will commence in April 2017.

When tenants decline the offer of a new kitchen or bathroom, these will be modernised when the property becomes vacant. A very small number of residents also choose not to have a new central heating system or an electric rewire due to the disruption, however, the properties must be safe for the refusal to be accepted. To date there have been no recorded acceptable fails due to either cost, timing of remedy or physical constraint.

Proposed Capital Investment Programme for 2017/18It is anticipated some 2,000 properties will be offered new kitchens and 2,400 bathrooms during the year. The budget for kitchen and bathroom replacements will decrease as all of the Community areas will have been completed apart from those properties where there has been a refusal. The programme will still include enhanced works to kitchens such as demolishing pantries, structural works and meter and boiler moves in order to create better layouts.

As part of the WHQS there is a requirement to ensure all heating systems are reasonably economical. The programme for 2017/18 will continue to focus on replacing the older, inefficient central heating systems by age of system. We anticipate some 450 properties being provided with new systems during the year. The work on central heating systems will also contribute to achieving the energy efficiency targets set by the WHQS. All Council properties now have central heating due to the significant expenditure on heating systems in recent years.

We anticipate over 700 properties being either rewired or partially rewired during the year. Where required, full electrical rewires are being carried out in conjunction with the kitchen work to ensure co-ordination as well as reduce tenant disturbance.

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The budget for roofing and associated components will increase slightly and we anticipate over 950 properties being reroofed during the year. Work continues to progress across the County Borough to re-roof properties identified as in need of work, with works being concentrated on houses and flats where stock condition surveys have identified work needing urgent attention. Re-roofing of non-traditional housing stock is carried out in conjunction with External Wall Insulation (EWI) works as cost savings are made by utilising the scaffolding for both types of work.

The budget for external doors finances the replacement of front doors and frames which is in the main, work undertaken to flats. Fire doors are being fitted in appropriate locations following the introduction of the Regulatory Reform (Fire Safety) Order 2005. A duty is placed on authorities to undertake fire risk assessments to all buildings that contain communal areas and to carry out any remedial works identified. Risk assessments to assess sheltered housing schemes and flats have also been completed and work prioritised.

£1.8m has been allocated for the ongoing programme of adaptation work which benefits tenants who are in need of adaptations to their home to enable them to remain in their own home for as long as possible. Whilst the majority of adaptations remain small scale such as ramps, handrails, etc., there are an increasing number of larger adaptations such as level access shower facilities and extensions being requested.

Sheltered Housing Stock

A stock option appraisal is currently being undertaken of the sheltered housing stock by external Consultants Dyson. The review will look at the fabric and layout of the units as well as demand and occupancy levels. The results of this review and appraisal are due to be presented in early 2017.

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Estate Redesign Project - Plas MadocPlas Madoc is a housing estate which was constructed in two main phases. The first phase being in the 1950s of generally red brick traditional two storey dwellings, and the second phase developed between 1968 and 1970 of densely constructed two and three storey construction. A prominent feature was the hardstanding and forecourt parking to three storey dwellings.

In recent years a series of piecemeal demolitions have been undertaken within the estate in order to provide improved aesthetics to the area. Although the demolition provided improvement by opening vistas, the areas have often been left as concrete bases or, in some cases, grassed over. This has resulted in a poor environmental appearance in some areas of the estate.

As part of the capital investment programme in achieving the WHQS, the following works were planned in the Plas Madoc area:

� external wall insulation (EWI); � new roofing where applicable;� renewal of fencing where required and path repairs under the External Works Programme;� improvement works under the Environmental Improvement budget;� new kitchens and bathrooms; and� rewires and new central heating where required.

The above investment was due to commence on the estate in 2016, but it was agreed that due to the issues with design and layout within Plas Madoc, a holistic view should be taken of the area and that wider issues should be resolved prior to the WHQS works commencing. This would ensure that financial resources were not wasted by renewing kitchens, bathrooms, rewiring, etc. that would ultimately not be required and that works should be considered as a whole, rather than address individual issues in isolation.

The Council’s Executive Board in April 2016 agreed a number of proposals for the estate, including demolition of some of the unpopular three storey properties (22 properties), opportunities for unpopular properties to be redesigned, opportunities for new build, small gardens to be redesigned to offer better space where possible, poor landscaping and public spaces to be redesigned and formalised parking areas to be provided. Funding for most of the redesign works and demolition will be from the existing capital investment programme and it is anticipated that this remodelling will create physical change and improvements which will support the creation of a safe and pleasant living environment that gives residents a pride in the estate and improve the quality of lives.

A Project Team comprising of officers from Housing and Economy, Planning and Environment and Local Councillors has been established and a 10 year vision for Plas Madoc and a draft Estate Plan is under preparation. Due to the volume and cost of work required it is accepted that there will not be a quick fix to all the issues and it is accepted that the timescale for all the work to be funded and completed may be over a number of years. A number of projects have been identified which are to be undertaken in the short, medium and long term.

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Consultation events have taken place with tenants and residents living on the estate to seek their views on the future appearance of properties and on the design of the estate. Stakeholders are also involved in the preparation of an overarching masterplan and consultation will be ongoing throughout the project. The Housing and Economy deoartment has been working closely with students from Glyndwr University in preparing visual aids to be used as part of the consultation including a model of the estate and a ‘fly through’ film which will show how the estate will look.

Delivery of the Programme 2016/17The current 2016/17 programme of work had a budget of £54m, delivering works both internally and externally to properties. We endeavour to ensure co-ordination of works wherever possible with the aim of maximising the number of properties that achieve the various elements of the WHQS. Detailed specifications and scopes of work have been developed and are in place for WHQS works.

The 2016/17 programme has seen the continuation of installing new kitchens and bathrooms. New kitchens, bathrooms, rewiring of kitchen circuits as well as plastering where required are being offered to tenants. The programme for installing these has been agreed on properties in Community Council boundaries, on an alphabetical basis. Generally and before works commence in an area, an open day is held for tenants to attend and look at the kitchens, ask questions, as well as provide tenants with the opportunity to meet both the contractor and the officers responsible for the daily management of the programme.

Kitchens are being individually designed and installed in line with the WHQS requirements. Tenants continue to be offered a range of different colour schemes for units, tiles and worktops, which will provide them with a new, modern and up to date kitchen and bathroom.

Work is progressing well on all the major elements of the programme with most targets being anticipated to be achieved before 31 March 2017. Kitchens, bathrooms, central heating and rewiring are all ahead of target. Rewiring work has been brought forward, partly to co-ordinate the programme with the kitchen and bathroom work which minimises disruption for the tenant. There will be a large number of properties where a partial rewire will be required, these are being programmed in for 2017 onwards.

During delivery of the investment programme, the Council has had to undertake some high volumes of enhanced work to properties within the programme, in particular to kitchens, bathrooms and empty properties. These enhanced works include, but are not limited to, removal of pantries, internal stores, enlarging kitchen areas, moving bathrooms upstairs, renewing ceilings, over-boarding walls, remedying damp and structural issues. Work to these properties ensures that the size, layout and internal arrangements are considerably improved for tenants and their families.

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When undertaking work to empty properties, enhanced work has been undertaken to improve those properties which are in a poor condition. This includes extensive re-plastering, redecorating, structural works, new heating, rewiring and work to the exterior of the property including fencing and footpaths. Undertaking this additional work is considered to be beneficial and, in many cases necessary as it is cost effective to carry out this work whilst the property is vacant. In addition, this benefits the future in terms of tenant satisfaction and property desirability for re-letting.

Appendix 3 shows the current position of the Council’s housing stock in achieving the WHQS.

Non-Traditional HousingThe Council owns 1,647 non-traditional properties. These are houses not built from the traditional brick type construction. During 2014, Michael Dyson Associates Ltd were commissioned to establish the structural condition of the non- traditional stock, their likely future life, repair requirements and cost options to maintain a 30 year assured life. The survey found that the Council’s non-traditional properties to be, by and large, in a reasonable structural condition and recommended a programme of moderate repairs, most prominent of which is the installation of external wall insulation.

A programme of External Wall Insulation (EWI) has commenced and this contract is currently on site. Work is being undertaken making homes more energy efficient, cheaper to heat and increase the overall lifespan of the property by protecting the structure.

The work will also significantly improve the outer appearance of houses with attractive designs of render and brick slips covering the insulation. The brick slips give the properties the appearance of traditional brick houses resulting in a huge physical transformation to many streets.

During 2015/16 works were carried out to complete the EWI programme to the BISF properties and install EWI to the Halliwell, Kenkast and Hawksley bungalow types as well as our Swedish, Boswell and No Fines houses. This work enabled the Council to complete the improvements to 190 properties.

For the financial year 2016/17 the focus was on our Airey, Cubbitts and Trusteel property types. The Cubbitts properties are being commenced in the Acton area whilst the Trusteel properties are located in the Coedpoeth area, these properties will be receiving a traditional EWI solution. The Airey properties are located in a number of areas across the County Borough and will be receiving a Structural EWI system. An element of the roofing programme has been co-ordinated with the EWI works to these properties to allow the works to be carried out simultaneously, this allows roofing details to be amended to suit EWI and to reduce disruption to the tenants. During 2016/17 we expect to complete 101 Airey properties and 93 Cubbitts and Trusteel properties.

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We anticipate that the EWI programme will in 2017/18 deliver works to 280 Airey properties across the County Borough.

During the contract to complete the BISF properties and bungalows, the Council was successful in obtaining Arbed funding which allowed the inclusion of 63 private dwellings within the Cefn and Johnstown areas to benefit from the EWI works. Officers will continue to endeavour to maximise the Council’s programme of this type of work by seeking available additional funding.

Maintaining the Council’s Housing Stock - Vacant Properties

Since April 2016 there have been improvements in reducing the number of empty properties from 392 in April 2016 to 283 in December 2016. Whilst the number of void properties continues to reduce there remains some challenges in dealing with those empty properties which require more work. The process for handling void properties means that the department has to be mindful of the WHQS programme.

The aspiration of the department is that all void properties are returned for letting in an excellent condition – especially following completion of the WHQS programme. The most significant problem that the department continues to face is the quality of decoration and in particular poor plaster work. In order to address concerns regarding plaster work and the cost of repairs, the Void Repair Standards are to be reviewed in consultation with tenants.

Environmental StandardThe external environment areas of the housing stock are within elements of Part 6 and 7 of the WHQS. To ensure we achieve these elements, a new budget was introduced to the capital investment programme in 2015/16 which funds a rolling programme of external works within the curtilages of the housing stock. This budget and approach is now being reviewed due to challenges faced during delivery of the programme.

The budget for works to gardens and external storage up to and including the boundary of the property will fund a rolling programme of:

� fence/wall repairs/replacements; � path repair/replacements within the curtilage; and � communal area repair/refurbishment and storage provision if appropriate.

A detailed specification has been produced and introduced which scopes out what external works will be undertaken in order to allow a standardised approach to be adopted in achieving the WHQS Environmental Standard.

Prior to the works progressing, Surveyors visit all properties and discuss what works are to be carried out with individual tenants. Tenant satisfaction with the schemes is gauged through the use of face to face contact and also completion of satisfaction questionnaires.

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The external works programme will be commenced following an alphabetic Community area approach and will follow on to those properties which have had internal works. This minimises the number of contractors working in the area and will complete the WHQS programme maximising the number of properties achieving WHQS in their entirety. This first year of the programme has been challenging due to the scope of the works, and whether to approach the properties in a repair based manner or to develop a more robust approach where enhanced works will be carried out. A more detailed approach is currently being undertaken where a complete plan is being developed for an area, this will focus on the estate as a whole, additionally linking how the estate will look in line with the external works to individual properties.

Further budgets fund work to Council garage sites and HRA land and also boundary wall works. Historically, any external work was carried out as either a responsive repair or if remodelling, it was generally funded from the Environmental Improvement budget.

In addition an Environmental Improvement budget exists as it has allowed for positive efforts to be made to improve the environment and appearance of housing estates and has proved popular with local communities. In consultation, Estate Managers, tenants and Local Members identify possible schemes which are funded from within this programme. The Environmental Improvement budget will also be used to enhance the works carried out by the External Works Programme. It is proposed to review this budget in the future and to co-ordinate it more with the detailed plans for each area.

A detailed specification has been produced and introduced which scopes out what external works will be undertaken in order to allow a standardised approach to be adopted in achieving the WHQS Environmental Standard.

Prior to the works progressing, Surveyors visit all properties and discuss what works are to be carried out with individual tenants. Tenant satisfaction with the schemes is gauged through the use of face to face contact and also completion of satisfaction questionnaires.

A number of Environmental Action Days are held during the course of the year within most estate areas. These events which are held in association with other Council departments, Tenant & Resident Associations, Local Members, voluntary groups, Police and Fire services, promote recycling and generally clean up local areas. Skips are provided and assistance given to local tenants and residents to remove bulky items of rubbish. These events prove very popular and make an instant impact on improving the overall appearance of an area.

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Use of Contractors in Delivering the ProgrammeThe Housing and Economy department has adopted a low risk based, proportionate approach to procurement to ensure we encourage a mixed range of contractors, including small and medium sized businesses (SME’s). This helps to stimulate a varied and competitive marketplace and support the local economy. We continue to monitor our use of local contractors on WHQS works.

Our Delivery plan details how we deliver the various contracts and the approach is designed to:

� utilise existing Frameworks;� where new tenders are required they are based on multiple years with EU allowable procurement

extensions (e.g. 2 +1+1); thereby allowing partnership and investment from Contractors; and� works have been split in lots to allow both large multinationals and local companies to apply.

Community BenefitThe department is committed to maximising the value for every pound it spends, and via the use of Community Benefits, believes it can promote social, economic and environmental well-being in the widest possible sense. Community Benefits fall into two broad categories – Core benefits and Non-core benefits. Core benefits form part of the contractual requirements and staff continue to work in partnership with the Finance department to ensure that Community Benefit clauses are in all its major WHQS contracts. Contractor compliance continues to be monitored via the use of Key Performance Indicators using the Community Benefit measurement Tool, which is returned to Value Wales on an annual basis.

Recruitment and training clauses have been included in the kitchen/bathroom and roofing contracts documentation. As part of this, Contractors are required to employ or maintain Apprentices, provide training and commit to local employment.

Non-core benefits do not form part of the contractual requirements and include for example, the softer outputs such as sponsorship, kitchen replacements in community centres, play equipment and community benches. The Council has devised a process for handling requests for all Non-core community benefits in order to ensure consistency and transparency for all concerned and provide a central point of contact for all Elected Members as this provides better administration of the requests in order to ensure accuracy and fairness across the County Borough.

Examples of Community Benefits we expect to be provided by Contractors are:

� employment of Local Labour;� local Apprentices/Trainees;� refurbishment and support of community facilities;� talks by contractors at school/college careers days;� sponsorship of community events & initiatives;� opportunities for SME’s; and� work placement/experience opportunities.

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To relate our success to numbers, the Community Benefit measurement toolkit document completed for 2015/16 HRA capital works expenditure indicated that during the previous 12 months:

� 74 apprentices have been employed;� 2,120 apprentice weeks have been provided;� 82 weeks of work experience have been provided;� 22% of the budget was carried out by SME’s

based in Wales;� the works resulted in a reduction of short term

unemployment by 46;� the works resulted in a reduction of long term

unemployment by 37; and� £60,010 was donated as either cash or in-kind

to organisations or projects within Wrexham.

Verification of Compliance with WHQSIn addition to the Council’s own verification, it is currently working with Flintshire County Council, in order to provide independent verification for compliance with the WHQS. This entails an examination of a sample of completed works, the methodology used to update WHQS compliance results and an analysis of the use and appropriateness of the ‘acceptable fail’ criteria. Officers from Flintshire have recently completed an audit of Wrexham’s compliance and vice-versa and positive feedback has been received.

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The Housing Capital Programme is funded from the WG’s Major Repairs Allowance, HRA Revenue Contributions, Capital Receipts from the sale of assets and Prudential Borrowing. When combined, they will fund the proposed programme to 2020 and beyond.

The Welsh Government also completed a review of the Housing Revenue Account Subsidy system (HRAS) and a financial agreement was reached between Welsh Ministers and Her Majesty’s Treasury in June 2013 which enabled local housing authorities to exit the HRAS. As part of the agreement, the 11 stock retaining councils were required to ‘buy’ themselves out of the subsidy system. Final agreement was reached between the WG and the remaining stock retaining authorities effective from 2 April 2015. Welsh local authorities with housing stock assets are now able to keep all of the rents received from tenants. After paying off any interest on HRA debt, councils are free to make local decisions on how to manage, maintain or improve their housing stock.

The introduction of self-financing has given the Council the resources to achieve the WHQS. For Wrexham, the settlement payment at the time of the agreement was £146.3 million with a Debt Cap of £294.9 million.

The HRA Business Plan demonstrates that this is affordable over the longer term and that headroom is available as provision for repayment of debt is made.

Risk

There are a number of risks that will impact on the HRA and future rental income, which is required to fund services to Council tenants and WHQS housing improvements.

The 30 year financial model which is part of the HRA Business Plan contains a number of key assumptions which includes implications of Welfare Reform, achievement of the WHQS by the agreed deadline, future rent levels, capital receipts, construction costs, inflation levels, empty homes and demand changes.

The assumptions in the plan together with the borrowing of £69m present the Council with a level of risk. Managing risk is an integral part of our planning process and the assumptions in the Business Plan are regularly reviewed. Achieving the WHQS is included on the Council’s Risk Register and actions have been put in place to help minimise and reduce these where possible.

A WHQS Risk Register and Welfare Reform Risk Register are also in place and reviews are carried out every six months, with all risks identified and actions being put in place to help mitigate these risks.

A WHQS Programme contingency plan has also been introduced which can be implemented to mitigate the risks identified in the risk register, should they occur. This plan is also reviewed and revised following the Risk Register review.

Section 5: Financial Modelling and Resources

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Essex Review on Affordable Housing in Wales

The Essex Review of affordable housing policy carried out in 2008 recommended wide-ranging and urgent changes to the way that the provision of affordable housing is regulated, funded, planned for, assessed and delivered in Wales. The review also pointed to the unfairness of the system of rent setting for both social landlords and their tenants and recommended a full review. Rent policies in Wales had developed in different ways over a long period of time and produced markedly different levels and profiles of rents across the country and between tenures.

The Welsh Government set up a review group to develop proposals for a new national rent policy that would apply consistently to both housing association and local authority sectors. In June 2011, the WG issued a consultation document on proposals for a new rent policy to all Welsh authorities. The aim of the policy was to provide a system that was consistent, transparent and fair to both landlords and tenants.

The new Welsh Government policy for social housing rents applied to local authorities from April 2015 and Wrexham County Borough Council’s Executive Board agreed on the 11 November 2014 that Wrexham’s rent setting system be restructured and replaced by a new rent setting system which was implemented from 6 April 2015. The WG’s new policy for housing rents also required social landlords to disaggregate service charges from rents and complete this exercise by March 2016. The Council’s Executive Board agreed in December 2015 to de-pool rents for those tenants affected and reduce the rent by the amount of service charge from April 2016. For 2016/17 £339k was recovered as service charges and the charges for 2017/18 are currently being reviewed and calculated.

Welfare Benefit Reform & Potential Impact on HRAThe introduction of Universal Credit and the continued roll out of the Government’s Welfare Reform programme will impact on tenants and the Council. With the proposals to introduce further ceilings on the amount of housing costs paid to benefit claimants, or their entire removal, there is increased potential for a more serious impact on Housing Revenue Account (HRA) income. This in turn, will have a direct impact on the Council’s ability to invest in its stock and keep to its Business Plan as income streams may become less predictable.

Whilst there are systems in place to advise and signpost current tenants and housing applicants with regard to meeting the challenges that are already in place, similar work will need to be undertaken between now and 2019 to try to mitigate as much as is possible, any negative impact on future HRA income from the introduction of changes in the amount of Housing Benefit paid to tenants who are under 35 years of age and the proposed withdrawal of all Housing Benefit paid to tenants between the ages of 18 and 21 years, who fail to engage in any relevant claimant commitments.

The 30 Year Financial ModelThe HRA Business Plan supported by a 30 year financial model (Appendix 4) demonstrates that the Council can balance income and expenditure in the long-run whilst meeting capital financing costs and other obligations and achieving and maintaining WHQS over the period.

� The model anticipates a total capital spend of £717 million (including inflation) over 30 years of which £142.7 million will be used to reach WHQS by 2020.

� It requires approximately £69 million of borrowing by 2020.� Total revenue from Rents and Other Charges is expected to be £2.5 billion over 30 years.

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Key Assumptions in the 2017/18 Model:

� inflation is estimated at 2% per annum;� maximum rent increases are set at CPI + 1.5% per the Welsh Government Policy for Social

Housing Rents up to 2018/19. From 2019/20 onwards set at CPI + 1%;� WHQS cost inflation is set at CPI;� the number of right to buys are assumed to be 15 in 2017/18 and nil thereafter;� provision for loss of rent from void properties is set at 2.5% of rental income in 2017/18 and

thereafter;� provision for bad debt is set at 1% of rental income in 2017, increasing to 1.5% thereafter;� the Major Repairs Allowance is set at £7.6m per annum with no inflation increase;� a £56.4 million Capital Investment Programme in 2017/18; and� a minimum balance of 10% of total HRA expenditure is held to mitigate against risk.

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Section 6: Monitoring & Evaluation

Monitoring the Delivery of the WHQS ProgrammeMembers and Officers from the Housing and Economy Department meet on a monthly basis to monitor delivery of the housing investment programme as well as monitoring the financial aspect of the programme.

A new WHQS Governance Structure is in place to manage the investment programme and monitor progress against achieving the WHQS. This is set out in Appendix 5.

All works involving WHQS are undertaken in compliance with corporate governance. This ensures the service is providing effective, inclusive, honest, transparent and accountable management of the project. The Corporate Governance Code is linked to the overall Council Plan and it is this code which is used as an overarching document to steer the project going forward.

A new WHQS Project Board, which includes Executive Director level attendance, meets every two months and considers reports on the progress, performance and finance towards achieving the WHQS.

The WHQS Project Team meets every month. This meeting is chaired by the Service Manager and considers progress, targets, performance and finance towards achieving the WHQS, ensuring that works are being delivered within budget and on time.

The Wrexham Tenant & Member Partnership and the Homes, Environment and Communites Scrutiny Committee continue to receive quarterly updates on performance against targets and progress made towards achieving WHQS by 2020. From 2017, Officers will be reporting three times a year to the Council’s Executive Board on the capital investment programme and progress made against achieving the WHQS.

The Place Service Improvement Group also meets monthly with Officers to consider delivery of the WHQS, discuss customer satisfaction, carry out on-site inspections and undertake mystery shopping of the service. The group reports its findings to the Wrexham Tenant & Member Partnership meetings.

Tenant FeedbackAn effective method of recording and assessing feedback and tenant satisfaction is essential in assisting us to monitor, review and improve the services we offer to tenants. It allows us to see where the service is performing well and identify key areas where improvement is required.

It also offers our tenants a chance to voice their opinions and contribute directly to the development of Housing Services and delivery of services, so that we are better able to meet their expectations for the future.

The Housing and Economy department collects feedback in various ways and these include:

� Satisfaction Questionnaires

These are given to tenants after the completion of work at their property and this helps us to monitor the performance of our Contractors, as well as the housing service. A variety of survey questions helps us to identify where we are performing well and where improvement is required.

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� Tenant Surveys

The People Service Improvement Group regularly attends community events to undertake surveys on various aspects of the service (e.g. Repairs, Communication, etc.). Surveys are also regularly included in the Housing Hotline and these surveys can also be completed online. The results help us identify areas where improvements are required.

� Consultations

The Housing and Economy department regularly holds consultation events to collect the views of tenants. These can be organised in a variety of forms, including online, postal, consultation events and at Forum events held at local venues across the Borough.

� Compliments and Complaints

The level and nature of compliments and complaints received by the Council are monitored corporately. These are a good indicator of customer satisfaction and can identify areas for improvement.

� Wrexham Tenant & Member Partnership

Survey results and performance reviews are regularly reported to the Partnership, where Members and tenants are able to comment and play an active role in the decision making process for improving the service.

� Service Improvement Groups

Tenant representatives meet regularly with Officers to review service areas, examine best practice and suggest ideas for potential improvements. Tenants are able to feedback on experiences of services and views of other tenants.

Satisfaction FeedbackFeedback on the service is obtained from surveys and questionnaires. Questionnaires are given to tenants to measure performance for Capital Improvement Schemes which are undertaken to their homes which includes external and internal works carried out on properties. Tenant satisfaction for completed WHQS works is collected and monitored. If tenants express dissatisfaction, they are contacted to gain further insight into the issue and if possible resolved or practices are revised in an attempt to increase future satisfaction levels.

Findings from the surveys are reported to the Wrexham Tenant & Member Partnership as well as providing quarterly updates to the Homes, Environment and Communities Scrutiny Committee. Feedback is also reported directly to Contractors working with the department so that the areas requiring improvement can be highlighted and monitored in the future.

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The analysis of tenant satisfaction for Quarter 3 (December 2016) indicates that overall satisfaction with each element of the works completed was:

Kitchen & Bathrooms Replacements 8.8/10Roofing 9.1/10External Works 7.2/10Painting 9.7/10

The average rate of returns does vary, with only 42% for roofing, 75% for external works and 96% being returned for repairs and painting. The average of 7.2/10 for external works is due to the current programme offering a repair based approach. Some tenants would like all works completing in their gardens however, Officers have to follow guidance on WHQS, Household Health & Safety Rating System (HHSRS) and Building Regulations as well as adhere to the budget set for this type of work.

A review of the external works element of the programme is underway to identify improvements in delivery, standards and consistency, as well as looking at how this programme links with the Environmental Improvements Programme.

Satisfaction Levels:

� Gas Contractors

The department currently carries out audit checks on its gas servicing contracts. A 10% check is carried out by contractors who carry out the work on behalf of the Council and a 5% check by our chosen auditor Morgan Lambert. Part of these checks includes completion of a customer satisfaction questionnaire which is completed by the tenant whilst the auditor is on site. We carry out 1,500 customer satisfaction surveys per year and overall satisfaction of the quality of the service is good. Levels of satisfaction are discussed with Contractors at the monthly progress meetings.

� Housing Repairs Survey

� Questionnaires are given to tenants following completion of a housing repair to their property.� 320 completed surveys were returned to us between April – November 2016� Surveys showed a 90% satisfaction rating with the work carried out.

Results of satisfaction surveys are analysed and reported quarterly as part of the Overall Performance Report to the Wrexham Tenant & Member Partnership and to tenants through the Housing Hotline. They are also used to identify key areas for service improvement.

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Our commitment: We are committed to working with, engaging and supporting tenants in their involvement with housing matters.

We recognise that effective tenant participation is key to improving our customer focus and driving service improvements. We aim to deliver a wide range of opportunities for all tenants to engage with us by their preferred method. This enables tenants to become better informed and experienced, which in turn will help us deliver a better housing service that meets the needs of our tenants, residents, leaseholders and local communities.

The Tenant and Leaseholder Strategy 2014-2016 outlines a number of key actions that the Council intends to implement in order to continue to support and enable tenant participation. It is acknowledged that Wrexham’s tenants and leaseholders are key stakeholders of the housing service and play a prominent role informing and shaping the key elements of the investment programme. This Strategy is currently being reviewed for 2017 and 2018/19 and will be updated in conjunction with tenants.

For many years Wrexham has had good links with its tenants working with them through the following forums:

Wrexham Tenant & Member PartnershipThis group consists of ten Elected Members and ten Tenant Representatives, who meet bi-monthly with Officers to monitor the overall performance of Housing Services and discuss housing policies that may affect the lives of tenants. For a number of years members of the Partnership have been consulted on the priorities for the annual Capital Investment Programme prior to its approval by the Council’s Executive Board. This has enabled resources to be targeted to those areas identified by tenants as being most important.

In June 2012, an all Wales study led to a report on public engagement by Councils in Wales. It found that Wrexham had some positive examples of effective tenant engagement arrangements and it is used as an example of good practice on the Wales Audit Office (WAO) Good Practice website. The Wrexham Tenant & Member Partnership has five tenant places selected from tenants who are actively engaged in participation activities and five places are decided by an open election at the Annual Tenants Event. Tenant representatives on the Partnership serve for a period of 2 years.

Section 7: Communication & Tenant Involvement

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Tenants Forum This is an open meeting for any tenants or leaseholders to attend. Meetings are used to promote the opportunities for involvement and provide information on major issues affecting tenants. Meetings are held in different locations across the Borough using local facilities to improve and encourage accessibility.

Tenant & Resident Associations (TARA’s)Tenants are encouraged to form Tenant Associations within an area, which act as representative voices for the communities they serve. An annual grant is provided by the Council to assist these groups who meet the agreed funding criteria. All groups are recognised and are supported by Local Housing staff who are invited to attend their monthly Association meetings.

Service Improvement Groups (SIG’s)Tenants are involved in reviewing Housing Services by attending a series of review groups with Council Officers examining best practice and service improvement. The groups were reshaped in 2016 to complement the Council Plan. There are now 4 groups: People, Place, Economy & Organisation:

A number of activities have been undertaken within these groups and tenant satisfaction surveys have been completed and gathered at various community events. Findings of these surveys and suggestions for improvements will be published in future editions of the Housing Hotline.

Each group has an Officer and Tenant Champion to lead the group and they report regularly to the Wrexham Tenant & Member Partnership on the work of the group and give suggestions for service improvement.

Annual Tenants EventFour Tenant Events (also previously known as the Tenants Conference) have been held since 2009 which were each well attended. Tenants at these events are able to access information on services, listen to guest speakers who advise on changes in legislation which may affect tenants in Wales and awards have also been presented to both tenants and staff in recognition of the work they do. Feedback from the last Tenants Event, was very positive with many tenants finding it to be a very informative day as well as an opportunity to meet and speak with other tenants, Elected Members and Officers.

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Drop-in Sessions & SurgeriesFollowing feedback from tenants we have been looking at different ways and places to meet with tenants. We have started holding drop-in sessions and repairs surgeries across the County Borough in local venues and attended a number of community events. At these events, tenant satisfaction surveys are gathered and form the basis for tenant service improvement recommendations. We will continue to look at identifying new and more accessible locations to hold these events in the future to reach a wider range of tenants.

Tenant TrainingBuilding on last year’s successful training programme, we have further developed the opportunities for tenants to maintain and enhance their knowledge and experience. Topics such as Equality & Diversity in housing, sociology and health and safety in the workplace have been well attended.

Site visits have also been undertaken to other authorities to look at examples of good practice and to use the opportunity to network with other tenants. This training helps form the service reviews which tenants undertake.

We continue to work in partnership with ACL, Wrexham ITec and Plas Pentwyn to provide quality training opportunities.

Key Achievements for 2016/17:� Tenants Training Programme has been

further developed with a wide range of opportunities.

� Carried out Housing Office audits and report presented to Housing Officers and Wrexham Tenant & Member Partnership. This report highlighted key areas where tenants felt improvements could be made to improve the customer experience of visiting a Housing Office.

� Housing Hotline is full of opportunities and feedback on tenant participation.

� Attended local events on housing estates gathering opinions about service areas.

� Won a National Award from the Welsh Tenants Federation for ‘Good Practice in Tenant Participation’ for the Plas Madoc remodeling project.

Key Actions for 2017/18:� We will continue to build on involving

tenants in the delivery of Housing Services. Work together to improve local environments, well-being and supporting strong local communities.

� Develop training opportunities to expand tenants’ knowledge and abilities.

� Deliver awareness sessions on issues that may affect tenants and their tenancies.

� Develop partnerships that enable us to work collectively on areas such as the environment, community safety and improving budgeting and finances.

� Ensure customer satisfaction is at the forefront of our work.

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CommunicationsAn effective, coherent and varied method of communicating news and information is vital for keeping staff, tenants, leaseholders and our various partners well informed of the work we are doing and plays a key role in providing an excellent tenant focused service. Wrexham Council’s Housing & Economy Department has its own dedicated Press Officer who oversees communications.

A WHQS Communication Strategy is in place which outlines and manages the way we communicate the plans and progress of improvement works and the WHQS.

Our primary communication channels with our tenants and customers include the following:

� Local Press

We regularly send press releases to local newspapers and news websites to inform and update tenants and the wider community of the progress and developments of the WHQS programme, and the numerous benefits it brings to the local economy e.g. Community Benefits . Our aim is to put tenants at the heart of these stories and we always feature photos and comments from the tenants themselves wherever possible.

� Tenants Newsletter

The Housing Hotline is a quarterly produced magazine which is delivered to all Council tenants. Every edition features an update on the WHQS programme and a calendar/timetable which details when each aspect of improvement work is due to be carried out in each Community Ward.

The magazine also has a ‘Local Legacy’ section which covers the extra benefits of the WHQS programme such as employment and training opportunities, money invested in the local economy and Community Benefit schemes.

Feedback and comments from tenants is also a regular feature and we include latest customer satisfaction information wherever possible.

An Editorial group made up of tenant representatives from the Service Improvement Groups work closely with Officers to ensure that the content of the newsletter is informative and accessible to tenants.

� Social Media

Feedback from our Tenant Forums, particularly from younger tenants, has shown that news and information is increasingly being obtained online rather than in print form. Wrexham Council has close to 14,000 followers on Twitter and over 4,000 on Facebook. All of our press releases are now accompanied by social media posts. Social media provides a quick, efficient, measurable and fully interactive way of communicating with a large number of people living in the Borough.

We now have a dedicated tenants Facebook page (available in Welsh and English) where we can instantly post news and information for council tenants. Promoting the social media page to tenants with internet access is a key aim.

� Online Tenants News Service

Tenants are now able to subscribe (via the Council’s website) to a dedicated email news service. Through this service they are able to receive news, information and advice, as well as receive an electronic version of the Housing Hotline magazine. To date, around 1,000 tenants have subscribed.

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� Website

Housing Services has a dedicated section on the Council’s website. This now includes a webpage on the WHQS programme where tenants can read information on the work being carried out, as well as some background to the project, an explanation of how the work is funded, and a guide to Community Benefits. Tenants are also able to download a calendar which details when particular improvement work will be carried out in an area. The Website also includes information on how to get involved with Tenant Participation, as well as other useful information for tenants including paying their rent, news on Welfare Reform and how to request a repair.

� Tenant Forums, Events and Open Days

Tenants are regularly invited to Open Day events held at local venues across the Borough. Events include consultations, forums and open days where tenants can meet the Contractor who will be carrying out improvement work.

� Letters

Letters are sent out to tenants prior to any improvement work being carried out on their property.

� Posters/Flyers

We produce posters and flyers to promote local events and information relevant to tenants.

� Tenant Leaflets & Booklets

We produce accessible booklets for tenants covering different aspects of the WHQS improvement work such as the kitchens/bathrooms programmes and asbestos removal. These are given out prior to work commencing and explain why the work is being carried out, what are the benefits of having it done, what tenants need to do to prepare and advice on aftercare.

� Trade Press

We regularly send out good news stories to national trade press such as construction and local government magazines. Recent stories to be featured include the announcement of the £54m funding for WHQS improvement work taking place in 2016/17. This was featured by trade press including 24Housing, Adjacent Government magazine and Planning & Building Control Today. This news also featured on their social media pages and was shared and retweeted by a number of other organisations.

Planning & Building Control Today also asked us to produce a feature on the External Wall Insulation work carried out in the Cefn area of the Borough. The feature was published in their April edition and the magazine highlighted this work as an example of ‘good practice’.

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Communication with StaffWe aim to ensure that all staff are equipped with the relevant skills and knowledge to enable them to carry out their roles and help them deliver the priorities for the service. Staff have a vital role to play in delivering an excellent service with excellent levels of customer care. Effective communication is crucial if we are to be successful in providing an excellent Housing Service. We communicate regularly with staff through a variety of ways which include:

� monthly Team Link;� team meetings;� Council Update magazine;� Council’s Employee Forum; and� Council’s Intranet website.

We will continue to review and learn from tenant profiling to ensure that we communicate with our tenants and customers in ways that best suit them. This will help us to ensure that we communicate effectively and maximise tenant participation.

Communications – Key Achievements of 2016/17� Established a social media presence

and online news service for Council tenants (1,000 subscribers to date).

� Completed a video guide (YouTube) with information for tenants on the Kitchen and Bathroom replacement programme.

� Completed WHQS tenant handbooks to act as guides for the Roofing and External Wall Insulation work.

� Published regular WHQS stories in local and national press and achieved extensive coverage for various aspects of the housing improvement work.

� Produced a Calendar/timetable of all planned WHQS improvement works for tenants.

Key Actions for 2017/18:� Promote social media and online

tenants news service to increase its usage amongst tenants.

� Produce an online version of our staff newsletter to replace the current paper version.

� Increase awareness (in local and national press) of training and employment opportunities provided by WHQS work.

� Maximise publicity for the £56.4m WHQS improvement work taking place in 2017/18, particularly the Kitchen/Bathrooms programme, External Wall Insulation and external improvements to communal areas (fencing, gates, paths, etc.).


Appendices

Appendix 1 Housing Services Performance (January 2017)Appendix 2 WHQS Investment Programme up to 2020Appendix 3 Table: Current Position of Council’s Housing Stock for Achieving the WHQSAppendix 4 HRA Business Plan 30 Year Financial ModelAppendix 5 WHQS Governance Structure

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Appendix 1 - Housing Services Performance (January 2017)

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Appendix 2 - WHQS Investment Programme up to 2020

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Appendix 3 - Current position of Council’s Housing Stock achieving WHQS

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Appendix 4 - HRA Business Plan 30 Year Financial Model

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Appendix 5 - WHQS Governance

Council

Executive BoardScrutiny Committee

Lead Member Group (via Lead Member

for Housing)

SLT

Chief ExecutiveExecutive Director

151 OfficerProper Officer

WHQS Project Board

WHQS Project Team

Wrexham Tenant & Member Partnership

Service Improvement Group

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For more information visit:www.wrexham.gov.uk

www.wales.gov.uk

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