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We have seen more than 110,000 new instructions on stock condition surveys in the past 12 months alone, says Martin Gladwin, head of housing at consultancy Rapleys
Housing associations are moving to 100% stock condition surveys of their portfolios as greater scrutiny of the sector comes into place. This follows the acceleration of the Building Safety Act and Awaab’s Law, and swathes of fines against registered providers operating in the sector, if properties aren’t up to the Decent Homes Standard.
We have seen more than 110,000 new instructions on stock condition surveys in the past 12 months alone, based on clients’ commitment to 100% of their properties.
Previously, registered providers only covered a proportion of around 20%-25% of their stock, with surveys annually. Now, the onus is on completing the entire portfolio, with more progressive housing associations targeting a one, two or three-year timescale.
There has been a huge focus on building safety since the Grenfell fire, especially with regard to blocks of flats of low, medium and high-rise configuration. Landlords are under strict regulation now to ensure all communal areas of buildings are compliant. That has extended to domestic low-rise houses in respect of smoke detectors and carbon-monoxide detectors.
“The regulator has made it clear that it expects every home to have been inspected to check the presence, or potential presence, of damp and mould”
Existing information on such matters isn’t always up to date or comprehensive, so landlords seek to secure it via 100% stock condition surveys.
Another pivotal factor in this movement is that of Awaab’s Law. The tragic death of a young boy because of damp and mould in his home led to stringent regulations regarding the responsibilities of social landlords in complying with the Decent Homes Standard and the housing health and safety rating system, with a particular focus on damp and mould in homes.
The regulator has made it clear that it expects every home to have been inspected to check the presence, or potential presence, of damp and mould, with remedial actions being taken. When we identify ‘severe’ (Category 1) hazards of any type, we must notify our client asap, as it has 14 days to take action after identification of the hazard.
As such, landlords have to visit every home to meet this requirement. Non-access is no longer an excuse, and we are working with many clients trying to secure access to complete these crucial surveys.
Some landlords face issues such as tenant apathy, dissatisfaction with landlords, subletting and illegal property usage, which make access difficult. However, experienced consultants in these matters are finding ways to gain access and complete the surveys. This highlights the need to instruct reputable surveyors to carry out 100% stock condition surveys as quickly as possible.
“With around a third of registered providers still only planning partial stock surveys, there is a very real risk of more fines”
The sector has realised that high-quality stock condition survey data is vital, not only for good management of their portfolios, but in the regulatory environment within which they operate. With around a third of registered providers still only planning partial stock surveys, there is a very real risk of more fines at a time when complying with the Decent Homes Standard and the delivery of social housing are crucial and finances are already restricted.
We urge all housing associations to look at their portfolios and instruct experts to help them ensure they are up to the Decent Homes Standard, and any high-risk assets are dealt with as quickly as possible. The consultants’ role in this is vital, helping clients to understand the true condition of their assets, plan maintenance and derisk their portfolios.
In summer 2024, the regulator announced that it would require social housing providers to prepare performance improvement plans and that it can now issue unlimited fines to those that fail to meet the standards. Fines for not providing a simple electrical certificate alone can be upwards of £10,000, but serious breaches are expected to run into the millions.
Time is of the essence and surveying stock is a must, right now.
Martin Gladwin, head of housing consultancy, Rapleys
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