Agenda and minutes

Councillors and officers were invited to declare any interests they had in any of the items on the agenda for the meeting.

The following interests were declared:

Personal interests

Personal interest

There were no call-in items to consider.

To consider a report of the Director of Place Management.

The report provides a summary of the findings and recommendations of the independent review of Stockport’s housing management arrangements which was commissioned following a Council Meeting resolution in February 2024. The report outlines a plan of actions which the council intends to carry out to address the priority recommendations of the review.

The Scrutiny Committee is recommended to note the report.

Officer contact: Mark Glynn 0161 474 3700 | mark.glynn@stockport.gov.uk

The Director of Place Management submitted a report (copies of which had been circulated) which provided a summary of the findings and recommendations of the independent review of Stockport’s housing management arrangements, commissioned following a Council Meeting resolution in February 2024. The Chair of the Scrutiny Review Panel submitted the Draft Final Report of the panel for consideration by the Scrutiny Committee. The two reports were considered together at the meeting.

The Cabinet Member for Climate Change & Environment (Councillor Mark Roberts) attended the meeting to respond to questions from the Scrutiny Committee.

Helen McHale (Chief Executive, SHG) and Carmel Chambers (Deputy Chief Executive, SHG) also attended the meeting to respond to questions from the Scrutiny Committee.

In relation to the Draft Final Report of the Scrutiny Review Panel, the Chair of the Panel advised members that the scrutiny review into the mechanisms for accountability for social housing providers complemented the independent review of Stockport’s housing management arrangements. Further, that the recommendations of both reports were largely aligned and were confident in the need to maintain and strengthen the current Arms-Length Management Organisation (ALMO) model, with a divergence in relation to proposed governance arrangements for both SHG and the council. Namely, the proposed reinstatement of councillors to the SHG board, and a separate scrutiny mechanism for scrutinising the business of SHG. Both sets of recommendations reached the conclusion that stronger democratic oversight was needed in relation to the business of SHG. It was noted that information previously requested for the review was published in a supplementary agenda for the meeting, and thanks were expressed to the officers at SHG for providing the information.

In relation to the report on the Independent Review of Stockport’s Housing Management Arrangements, the report, carried out by external consultant Deloitte, provided the findings and recommendations of an independent review of Stockport’s housing management arrangements. It found that SHG was a high performing organisation generally, but there were some identified areas for improvement.

The Director of Place Management then introduced the covering report and referred to the additional recommendations proposed intended for the council to carry out to address the priority recommendations of the review. Members were advised that the review had come at an opportune moment, given the challenging times facing the world of housing and context that the council was operating in.

The Chief Executive of SHG felt that the report offered a roadmap forward as to how the council and SHG could work better together and were keen to see further integration and collaboration between the organisations. SHG were also keen to work within the governance arrangements set by the council, and SHG’s focus was to comply with the good governance code. SHG wanted to see more of a focus on problem areas e.g., data in neighbourhoods and issues with high rise buildings. SHG welcomed the opportunity for further collaboration with the council, and to attend Area Committee meetings. Members were urged to reach out to SHG officers with any queries they might have, and were reassured that officers were available and accessible in the same way that officers of the council were. It was noted that SHG had not previously received the request for information to input into the work of the Scrutiny Review Panel.

The Chair proposed that members considered the key draft priority actions in order, which were:

1.    Ensure strategic alignment between Council and SHG to deliver One Stockport, One Future ambitions

2.    Identify resource from HRA for Council to work with SHG and lead wider strategic review of portfolio and investment requirements ensuring that the Housing Capital Programme complements investment needs of the Borough

3.    Strengthen Member Direction & Oversight At All Levels

a)    At strategic and boroughwide operational level

o   Introduce a Cabinet Sub Committee

o   Further detailed oversight for Scrutiny Committee

o   Discontinue Member Committee (replaced with Cabinet Sub Committee)

b)    Establish mechanisms for Member scrutiny at Area  ...  view the full minutes text for item 3.

At 7.53pm, it was

RESOLVED – That the meeting be adjourned.

The meeting reconvened at 8.01pm.

4.    Build upon existing strong SHG Board Governance through introduction of appropriate arrangements to increase Council influence

·         It was felt that this recommendation aligned with the Scrutiny Review Panel’s call for greater democratic oversight.

·         It was asked that Cabinet consideration be given to reinstating councillors to the board of SHG in some capacity as a mechanism to increase democratic oversight of the work of SHG and provide greater representation of the council to the board. It was suggested that an observer role could be appropriate and it was noted that SHG board meetings were open to the public and members could attend board meetings as observers.

·         It was advised that board membership could inhibit a member’s ability to scrutinise matters relating to SHG, and that a conflict of interest would remain even if the role was unremunerated. There would also be the challenge to easily reflect the representation of the council on the board. It was felt that important lessons could be learnt in relation to governance around Totally Local Company (TLC) and the success experienced since senior officers of the council were appointed to the TLC board.

·         There was a desire for the Scrutiny Committee to consider options on this matter, as well as how any potential decision could be made.

5.    Increase Housing & SHG Visibility at Council CLT

·         It was felt that this recommendation provided an important opportunity for improvement, namely, SHG representation at Corporate Leadership Team (CLT) meetings. The importance of ensuring residents voices were heard was stressed, regardless of the forum.

6.    Support the ongoing work to develop Shared Services Arrangements & Improve Integration as part of the Council’s MTFP proposals

·         It was noted that this recommendation formalised some of the work already taking place through the Medium-Term Financial Plan (MTFP) in maximising efficiencies for the work of the council.

The following other key points were highlighted:

·         It was asked that learning from these reviews be applied as widely as possible to all social housing providers in Stockport; this was recognised through the proposed implementation of a ‘good practice’ guide for tenant communication and engagement arising from the work of the Scrutiny Review Panel.

·         It was suggested that the separate communications strategies for the council and SHG be reviewed to ensure their alignment.

·         It was asked that tenant representation and involvement be kept in sharp focus throughout the work, and that tenant experience and perception be more strongly reflected in the action plan.

·         Members asked that progress be reported on work to implement the key priority actions within 6 to 12 months. It was suggested that a review of governance arrangements be scheduled between 12 to 18 months’ time in ensuring the appropriate checks and balances were in place.

·         It was reported that the Edgeley Community Association had submitted the group’s views in relation to SHG as an ALMO to the Cabinet Member.

·         It was suggested that the scope of a Housing Scrutiny Committee be explored further.

Thanks were expressed to members for contributions to the meeting and review of Stockport’s housing management arrangements.

RESOLVED – (1) that the report of the Independent Review of Stockport’s Housing Management Arrangements be noted and that the Scrutiny Committee’s comments be submitted to Cabinet for consideration; and

(2) that the Draft Final Report of the Scrutiny Review Panel be noted and endorsed for onward submission to Cabinet.