Helen White explains the latest work of the Regulatory Board for Wales.
Regulatory reform
ONS reclassification may have been a catalyst for regulatory reform, but as a Board we have always been committed to ensuring that any changes help create a stronger sector. We remain committed to our goal that the Regulatory Framework helps make sure Wales has well run associations that are robust financially, provide high quality homes and landlord services to their tenants and continuously improve services.
In developing our new regulatory judgement framework and performance standards, it’s been great to work collaboratively with our stakeholders – the housing association sector, tenants, funders and other housing organisations – to develop and refine the changes required. By working together I believe we have put in place a framework that will help both challenge and support associations going forward.
The underpinning principles of the Regulatory Framework – proportionality, transparency and openness, consistency and the promotion of learning and improvement – remain unchanged, as does our approach to regulation being predicated on co-regulation.
e revised approach provides a focus on continuous improvement and a clear Regulator’s judgement. There is a new requirement for associations to provide an annual statement of compliance with the performance standards set by Welsh Government. The Board wants a Regulator that, if required, is ready to act in the case of poor governance. The new Regulatory Judgement Framework allows for this and will give a much clearer indication of when action is required.
Regulatory focus will be on strategic risks and business viability issues, as housing associations continue to respond to a changing and increasingly complex operating environment.
There will be increased focus on good governance, specifically on how the board is assured that its primary responsibility of ensuring the effective running of the association is fully and properly discharged.
As part of the package of improvements, Welsh Government is also collaborating with key stakeholders, revising the existing delivery outcomes to set new performance standards. These will have a much stronger focus on the decision-making, leadership and financial viability of associations. The new standards will be more aligned with the way effective associations actually run their business.
Value for money thematic review
During the period of the review, the collaborative approach taken has resulted in a significant shift in attitudes to value for money; from suspicion prior to the start of the process in Spring to a clear acceptance of the need for action now. In tackling the review a collaborative co-production approach has been taken, with the steering group considering progress and discussing and developing insight at each meeting and basing the next stage of work on its emerging understanding.
The approach of involving the right people, gaining input from key stakeholders, supplemented by a piece of focused research, has been really successful. Coupled with the work being done by Housemark in conjunction with CHC and CHC work which is about to start on improving the measurement of social value, this is a really exciting time. Indeed, we are already seeing the outcomes and have now have an agreed set of metrics included as part of the global accounts.
Changes at the Regulatory Advisory Group (RAG)
Gayna Jones will be standing down as chair of the RAG in March 2017. Made up of key sector stakeholders including tenants, funders, housing associations and local authorities, as well as sector organisations such as Tai Pawb and Shelter, has provided a huge amount of information and insight to support the work of the Regulatory Board.
I would like to thank Gayna for all the hard work and effort she has put into RAG during her time as Chair. Quite rightly, RAG has a wide range of views and opinions around the table which leads to lively debate, Gayna has played a key role in making sure all the energy and knowledge at RAG is effectively captured and fed into discussions at the Regulatory Board. Thank you Gayna.
I am pleased to announce that Regulatory Board member Bob Smith will be taking on the role of RAG Chair from March 2017.
Keeping tenants at the heart of regulation
We remain committed to keeping tenants at the heart of regulation. One of the first things undertaken by the Board was commission a review of the Tenants Advisory Panel to make sure we have the best and most effective way of hearing the voice of tenants as we discuss and develop policy. The findings of the review have been presented to the Board and we look forward to working with Welsh Government-funded tenant support agency, TPAS Cymru, to drive this forward.
Upping the pace
We have a huge increase in the number of Regulatory Opinions. They are now coming thick and fast and 18 will have been published between June and the stroke of midnight New Years Eve, as part of the plan to ensure every association has a regulatory opinion published at least annually. This is a great achievement by the regulation team, who have worked incredibly hard to make this happen.
Public Accounts Committee
The National Assembly of Wales’ Public Accounts Committee is undertaking an inquiry into the Regulatory Oversight of Housing Associations. As Chair of a Regulatory Board, I welcome such scrutiny and look forward to their findings.
Out and about
The Board is now officially on tour, taking up kind invitations to be hosted at associations’ offices around Wales. Our meeting at Pennaf’s offices in North Wales gave us the opportunity to hear about its exciting projects and work, including some excellent examples of partnership working between the housing and health sectors, and how to engage with younger tenants. Hearing about such projects gives the Board a real flavour of the opportunities and challenges associations face.
Keeping up the conversation
The key ingredient in pulling together a package of regulatory reform that works for the sector, the regulator and stakeholders has been working together in partnership. It was encouraging to see the conversation unfold over the Summer and I would like to thank everyone involved. I am committed to keeping up the conversation and sharing the work of the Regulatory Board as we move forward. To do this I now write an update after each Board meeting which is shared with all association chairs. I’m keen to look at other ways to keep the sector ‘in the loop’ about the work of the Board. Maybe a Regulatory Board Twitter account could be next!
Helen White is chair of the Regulatory Board for Wales