The Scrutiny Homes Sub-Committee reviewed the council's financial performance for housing, discussed the ongoing culture change within the Housing Directorate, and scrutinised the proposed Homelessness and Rough Sleeping Strategy 2024-2029. The committee also noted the work programme for the upcoming year.

Period 9 Financial Performance Report - Housing

The Sub-Committee received an update on the financial performance for the Housing Directorate as of Period 9 (December 2023). Orlagh Guarnori, Head of Strategic Finance, reported that the General Fund was expected to break even against its £23.9 million budget. However, she highlighted a crisis in the London housing market leading to increased demand for services, with an estimated £4 million overspend for emergency and temporary accommodation by the end of the financial year. The Housing Revenue Account (HRA) was predicted to have a £12 million overspend, largely due to £8.6 million in responsive repairs and £3.4 million for disrepair and legal costs.

Members questioned the timeliness of the report, with officers explaining that year-end figures were still being calculated. They assured the committee that forecasts were considered accurate, as significant investments and repair overspends were identified in the previous year. Savings targets were expected to be met.

Regarding asylum seekers gaining the right to remain, officers explained that while this shifts financial responsibility to the local authority, the council works with the Home Office to minimise impact. They noted that many asylum seekers arrive alone, and signposting to financial support agencies is crucial to prevent rough sleeping. The council has developed control mechanisms to manage this risk. The committee expressed interest in learning more about training and employment opportunities for those granted the right to remain in future meetings.

The Sub-Committee also queried the underspending of the disability grant, with officers explaining that eligibility criteria meant not all applications were successful. They assured that any unspent funds could be rolled over and that efforts were underway to address backlogs in adaptations, including the recruitment of an additional occupational therapist.

Concerns were raised about the impact of legal cases on the HRA, with officers stating they were working through 550 legacy disrepair cases and that approximately 30 new cases were arising monthly. They aim for zero new cases by the end of the next financial year. Regarding voids, officers reported clearing over 650 long-term voids in the past year, with the NEC system expected to improve efficiency in monitoring.

Following the discussion, the Sub-Committee was reassured about the underspend for home adaptations being rolled over and the filling of the occupational therapist vacancy. An action was agreed to provide information on how the Housing Department would triage and prioritise cases for occupational therapists to address the backlog.

Culture Change in Housing Update

Lara Ashley, Housing Transformation Lead, presented an update on the culture change within the Housing Directorate. She acknowledged that the initial conditions for transformation were challenging, impacting the timeline, and estimated that satisfactory results would be seen within three to five years. Councillor Lynne Hale, Cabinet Member for Homes, emphasised the importance of involving all staff and encouraged the Sub-Committee to contribute ideas for delivering respectful and empathetic housing services.

The committee questioned how culture change extended to contractors. Officers explained that while the focus was on internal staff, contractors were selected based on alignment with desired values, with resident involvement in procurement. Key performance indicators (KPIs) were used to monitor contractor performance and respectfulness, and complaints were taken seriously. The possibility of offering customer service training to contractors was mentioned, subject to financial feasibility. Officers confirmed that elements like politeness and courtesy were already monitored in contractor interactions, though not explicitly labelled as 'culture'.

Regarding call recording in the contact centre, officers confirmed calls were recorded and monitored, with action taken for deviations from standards. They acknowledged that implementing monitoring and disciplinary frameworks required time. While direct recording of contractor-resident interactions was not currently available, it could be explored. Mystery shopping exercises were conducted to monitor contractor compliance.

Staff morale and workflow were discussed, with officers noting that different staff groups required varied approaches. They acknowledged some staff resistance to transformation but stressed the importance of continuous feedback and improvement. A new staff award scheme and integration with the competency model were highlighted as measures to boost morale.

The integration of the Housing Directorate's cultural change with the broader People & Culture Transformation Strategy was explained, with representation on the Workforce Board facilitating collaboration. The Housing Directorate was also an early adopter of a new leadership programme.

Concerns about housing officers' patch sizes and how the transformation would address this were raised, with officers assuring that patch allocation and workflow were integral to the ongoing restructuring. Prioritisation of cultural change activities was based on identifying areas facing the most significant challenges.

Regarding performance management, officers confirmed monthly assurances to the regulator and confidence in the ongoing work. Appraisals were highlighted as crucial for performance monitoring, alongside tenant satisfaction measures. Efforts to improve staff understanding of autism were also discussed as part of enhancing customer service standards.

The Sub-Committee agreed to scrutinise patch allocation for housing officers alongside the Housing Allocation Policy review, organise a visit to the contact centre with mystery shopping, and requested additional information on staff performance management and contractor call recording.

The Sub-Committee commended the comprehensive culture change programme, acknowledging capacity issues and recruitment challenges as key delivery hurdles. They also praised the use of effective graphics in the report. Recommendations were made to include contractor and subcontractor culture monitoring in the transformation programme, encourage contractors to participate in the Chartered Institute of Housing's 'It's not okay' campaign, explore including culture in the procurement process, and investigate non-financial staff rewards to improve morale.

Homelessness & Rough Sleeping Strategy 2024-2029

Susmita Sen, Corporate Director of Housing, and Simon James, Change Manager, introduced the Homelessness and Rough Sleeping Strategy 2024-2029, highlighting it as a significant strategic document. They detailed the consultation process and key findings. Councillor Lynne Hale emphasised the strategy's borough-wide impact.

The committee's initial questions focused on the consultation and user experience, with officers explaining that the strategy provides direction for the directorate and is based on meeting statutory requirements, with a new structure prioritising prevention. They noted mixed opinions from the consultation regarding rough sleeping, with some respondents favouring more support and others a stronger focus on tackling anti-social behaviour.

Regarding engagement, officers stated the turnout was good compared to other London Boroughs, but acknowledged a need to improve engagement with young people, working with community partners and Children's Services.

On the strategy's priorities, officers explained they were interrelated and not hierarchically weighted. They acknowledged the challenge of people moving to Croydon due to lower rents impacting housing supply for residents, noting the lack of statutory provisions but highlighting efforts to influence landlords and monitor authorities placing individuals in Croydon.

Cooperation with landlords was discussed, with officers identifying slow response times as a key obstacle, but assuring improvements and efforts to build a pipeline of investment opportunities. The committee questioned the training of officers in the restructured services, with officers confirming training had begun, including customer care and technical skills, but acknowledging that desired outcomes were yet to be fully achieved due to recruitment difficulties and backlogs.

Councillor Davis expressed concerns about the restructured homelessness service's effectiveness, based on feedback from charities and casework. Officers assured that the new structure was considered the correct approach, supported by external advisors, but acknowledged challenges and the long-term nature of improvement.

The timeliness of developing a protocol for care leavers was questioned, with officers confirming delivery dates were deadlines and many actions would be completed sooner, with ongoing reviews and amendments. Reducing reliance on temporary accommodation was addressed through a two-pronged approach of prevention and support, alongside collaboration with housing investors.

The council's support for individuals who could afford private rent but lacked deposits or met other criteria was explained as part of 'business as usual' operations, including a discretionary payment fund. Measures to ensure private sector property and management standards included verifying safety certificates and engaging with landlords through a forum.

The Sub-Committee raised concerns about the effectiveness of the restructured homelessness front-door service, noting feedback from charities and councillors about vulnerable residents falling through the cracks. They agreed that basic service provision should be prioritised before further improvement workstreams. Concerns were also raised that prevention workstreams in the delivery plan had long timescales, contradicting the objective of maximising prevention and potentially increasing pressure on the General Fund Budget.

Recommendations were made for a review of the new homelessness service structure, fast-tracking prevention workstreams, learning from high-performing local authorities on landlord relations, introducing checks for private sector tenants claiming housing benefits, establishing a designated point of contact for the voluntary sector, and taking a more proactive role in facilitating good practice among housing associations.

Culture Change in Housing Update

The Sub-Committee received an update on the culture change within the Housing Directorate. Lara Ashley, Housing Transformation Lead, presented the progress, priorities, and future plans, acknowledging the challenging initial conditions and estimating three to five years for satisfactory results. Councillor Lynne Hale stressed the importance of staff involvement and empathetic service delivery.

The committee questioned the extension of culture change to contractors, with officers explaining that contractors were selected based on values and resident involvement in procurement. KPIs were used to monitor performance and respectfulness, and complaints were handled seriously. The possibility of customer service training for contractors was mentioned.

Call recording in the contact centre was confirmed, with action taken for deviations from standards. While direct recording of contractor-resident interactions was not available, it could be explored. Mystery shopping exercises were used to monitor contractor compliance.

Officers discussed staff morale, acknowledging varied needs across different staff groups and some resistance to transformation. They highlighted a new staff award scheme and integration with the competency model as morale boosters. The integration of the Housing Directorate's cultural change with the broader People & Culture Transformation Strategy was explained, with representation on the Workforce Board.

Concerns about housing officers' patch sizes were addressed, with officers assuring that patch allocation was integral to restructuring. Prioritisation of cultural change activities was based on identifying challenging areas. Performance management was discussed, with assurances of monthly reporting to the regulator and the use of appraisals and tenant satisfaction measures. Efforts to improve staff understanding of autism were also noted.

The Sub-Committee agreed to scrutinise patch allocation, organise a visit to the contact centre, and requested further information on staff performance management and contractor call recording. They commended the culture change programme, acknowledging capacity and recruitment challenges, and made recommendations regarding contractor monitoring, participation in the 'It's not okay' campaign, inclusion of culture in procurement, and non-financial staff rewards.

Work Programme 2023/24

The Sub-Committee noted the report detailing the draft work programme for 2023/24 and considered items for the 2024-25 Work Programme.

38/24 Period 9 Financial Performance Report - Housing

The Sub-Committee considered the financial performance report for the Housing Directorate as of Period 9 (December 2023). Orlagh Guarnori, Head of Strategic Finance, reported that the General Fund was expected to break even against its £23.9 million budget. However, she noted a crisis in the London housing market leading to increased demand, with an estimated £4 million overspend for emergency and temporary accommodation by the end of the financial year. The Housing Revenue Account (HRA) was predicted to have a £12 million overspend, primarily due to £8.6 million in responsive repairs and £3.4 million for disrepair and legal costs.

Members questioned the report's timeliness, with officers explaining that year-end figures were still being calculated. They assured the committee that forecasts were considered accurate, as significant investments and repair overspends were identified in the previous year. Savings targets were expected to be met.

Regarding asylum seekers gaining the right to remain, officers explained that while this shifts financial responsibility to the local authority, the council works with the Home Office to minimise impact. They noted that many asylum seekers arrive alone, and signposting to financial support agencies is crucial to prevent rough sleeping. The council has developed control mechanisms to manage this risk. The committee expressed interest in learning more about training and employment opportunities for those granted the right to remain in future meetings.

The Sub-Committee also queried the underspending of the disability grant, with officers explaining that eligibility criteria meant not all applications were successful. They assured that any unspent funds could be rolled over and that efforts were underway to address backlogs in adaptations, including the recruitment of an additional occupational therapist.

Concerns were raised about the impact of legal cases on the HRA, with officers stating they were working through 550 legacy disrepair cases and that approximately 30 new cases were arising monthly. They aim for zero new cases by the end of the next financial year. Regarding voids, officers reported clearing over 650 long-term voids in the past year, with the NEC system expected to improve efficiency in monitoring.

Following the discussion, the Sub-Committee was reassured about the underspend for home adaptations being rolled over and the filling of the occupational therapist vacancy. An action was agreed to provide information on how the Housing Department would triage and prioritise cases for occupational therapists to address the backlog.

39/24 Culture Change in Housing Update

Lara Ashley, Housing Transformation Lead, presented an update on the culture change within the Housing Directorate. She acknowledged the challenging initial conditions and estimated three to five years for satisfactory results. Councillor Lynne Hale stressed the importance of staff involvement and empathetic service delivery.

The committee questioned the extension of culture change to contractors, with officers explaining that contractors were selected based on values and resident involvement in procurement. KPIs were used to monitor performance and respectfulness, and complaints were handled seriously. The possibility of customer service training for contractors was mentioned.

Call recording in the contact centre was confirmed, with action taken for deviations from standards. While direct recording of contractor-resident interactions was not available, it could be explored. Mystery shopping exercises were used to monitor contractor compliance.

Officers discussed staff morale, acknowledging varied needs across different staff groups and some resistance to transformation. They highlighted a new staff award scheme and integration with the competency model as morale boosters. The integration of the Housing Directorate's cultural change with the broader People & Culture Transformation Strategy was explained.

Concerns about housing officers' patch sizes were addressed, with officers assuring that patch allocation was integral to restructuring. Prioritisation of cultural change activities was based on identifying challenging areas. Performance management was discussed, with assurances of monthly reporting to the regulator and the use of appraisals and tenant satisfaction measures. Efforts to improve staff understanding of autism were also noted.

The Sub-Committee agreed to scrutinise patch allocation, organise a visit to the contact centre, and requested further information on staff performance management and contractor call recording. They commended the culture change programme, acknowledging capacity and recruitment challenges, and made recommendations regarding contractor monitoring, participation in the 'It's not okay' campaign, inclusion of culture in procurement, and non-financial staff rewards.

40/24 Homelessness & Rough Sleeping Strategy 2024-2029

Susmita Sen, Corporate Director of Housing, and Simon James, Change Manager, introduced the Homelessness and Rough Sleeping Strategy 2024-2029, highlighting it as a significant strategic document. They detailed the consultation process and key findings. Councillor Lynne Hale emphasised the strategy's borough-wide impact.

The committee's initial questions focused on the consultation and user experience, with officers explaining that the strategy provides direction for the directorate and is based on meeting statutory requirements, with a new structure prioritising prevention. They noted mixed opinions from the consultation regarding rough sleeping, with some respondents favouring more support and others a stronger focus on tackling anti-social behaviour.

Regarding engagement, officers stated the turnout was good compared to other London Boroughs, but acknowledged a need to improve engagement with young people, working with community partners and Children's Services.

On the strategy's priorities, officers explained they were interrelated and not hierarchically weighted. They acknowledged the challenge of people moving to Croydon due to lower rents impacting housing supply for residents, noting the lack of statutory provisions but highlighting efforts to influence landlords and monitor authorities placing individuals in Croydon.

Cooperation with landlords was discussed, with officers identifying slow response times as a key obstacle, but assuring improvements and efforts to build a pipeline of investment opportunities. The committee questioned the training of officers in the restructured services, with officers confirming training had begun, including customer care and technical skills, but acknowledging that desired outcomes were yet to be fully achieved due to recruitment difficulties and backlogs.

Councillor Davis expressed concerns about the restructured homelessness service's effectiveness, based on feedback from charities and casework. Officers assured that the new structure was considered the correct approach, supported by external advisors, but acknowledged challenges and the long-term nature of improvement.

The timeliness of developing a protocol for care leavers was questioned, with officers confirming delivery dates were deadlines and many actions would be completed sooner, with ongoing reviews and amendments. Reducing reliance on temporary accommodation was addressed through a two-pronged approach of prevention and support, alongside collaboration with housing investors.

The council's support for individuals who could afford private rent but lacked deposits or met other criteria was explained as part of 'business as usual' operations, including a discretionary payment fund. Measures to ensure private sector property and management standards included verifying safety certificates and engaging with landlords through a forum.

The Sub-Committee raised concerns about the effectiveness of the restructured homelessness front-door service, noting feedback from charities and councillors about vulnerable residents falling through the cracks. They agreed that basic service provision should be prioritised before further improvement workstreams. Concerns were also raised that prevention workstreams in the delivery plan had long timescales, contradicting the objective of maximising prevention and potentially increasing pressure on the General Fund Budget.

Recommendations were made for a review of the new homelessness service structure, fast-tracking prevention workstreams, learning from high-performing local authorities on landlord relations, introducing checks for private sector tenants claiming housing benefits, establishing a designated point of contact for the voluntary sector, and taking a more proactive role in facilitating good practice among housing associations.

41/24 Work Programme 2023/24

The Sub-Committee noted the report detailing the work programme for 2023/24 and considered items for the 2024-25 Work Programme.