Governance arrangements for TMOs and ALMOs to be reviewed in post-Grenfell shake-up

The government said: “KCTMO was unusually both a TMO and an ALMO. Both models for delegating housing management are intended to put residents at the heart of decisions about the delivery of housing services, but the inquiry’s findings show that was not the case at KCTMO. Residents were ignored and marginalised. 

“Lines of accountability between RBKC and KCTMO were not as clear as they should have been. In some cases, information was deliberately concealed from the governing board and residents, to prevent them from holding KCTMO to account.”

The damning conclusion of the Grenfell Tower Inquiry’s second and final report was that Grenfell’s social housing provider was responsible for “chronic and systemic failings” in fire safety management, as well as a “toxic” relationship with the tower’s residents, who came to regard it as an “uncaring and bullying overlord that belittled and marginalised them”.

The KCTMO “lost sight of the fact that the residents were people who depended on it for a safe and decent home”. At the same time, the TMO “allowed” this relationship with its customers to deteriorate, which the report said was “a serious failure on its part to observe its basic responsibilities”.

As a result, the government added in its response today: “The inquiry did not express a view as to whether the current arrangements for governance and oversight of TMOs and ALMOs are sufficient, but it is right that the government considers this.

“Earlier this year, we launched a call for evidence on the governance and accountability arrangements for delegated management organisations, including TMOs and ALMOs, so that we can ensure residents have the right level of protections in place and that overall accountability lines are clear with the delegating local authority or housing associations. 

“We will consider responses to the call for evidence before setting out next steps for a review of the existing arrangements for oversight of delegated management organisations.”

The review will identify what changes may be needed to existing arrangements, to ensure that residents know who is responsible for delivering their housing services.

It is hoped this will give residents the confidence that their housing management is fit for purpose, and that effective oversight and accountability is in place regardless of who delivers it.

The government also published a green paper on reforms to the construction products regime. It proposes to address gaps in regulatory coverage and make all manufacturers responsible for assessing the safety risks associated with their products before they are marketed.

Existing regulations will also be enforced with stronger sanctions, including both civil and criminal penalties for manufacturers that engage in misleading practices or neglect their responsibilities regarding product safety.

Also introduced today will be a single construction regulator to hold those responsible for building safety to account.