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Rent arrears management practices in the housing association sector

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<strong>management</strong> encourage Neighbourhood officers<br />

and IOs to talk to each o<strong>the</strong>r as <strong>the</strong> latter do not<br />

“know” tenants . The shift to one central location was<br />

regarded as helpful <strong>in</strong> facilitat<strong>in</strong>g communication<br />

between <strong>the</strong>se different parts of <strong>the</strong> organisation,<br />

although one officer commented that physical<br />

proximity did not equate with <strong>in</strong>teraction necessarily .<br />

The motivations for restructur<strong>in</strong>g were<br />

performance – HA B was <strong>in</strong> <strong>the</strong> bottom 25%<br />

of HAs for rent <strong>arrears</strong> performance and it was<br />

felt that a “drastic change” was required – and<br />

<strong>in</strong>consistency between different area offices,<br />

which <strong>management</strong> wanted to elim<strong>in</strong>ate . After <strong>the</strong><br />

restructur<strong>in</strong>g, <strong>the</strong> organisation found that specialist<br />

IOs were organisationally more productive than<br />

generic hous<strong>in</strong>g officers because, under <strong>the</strong> generic<br />

regime, rent <strong>arrears</strong> <strong>management</strong> tended not to be<br />

prioritised (as it was not regarded a “nice” part of a<br />

hous<strong>in</strong>g officer’s job, unlike allocations) . The tim<strong>in</strong>g<br />

was appropriate due to retirements <strong>in</strong> <strong>the</strong> rema<strong>in</strong><strong>in</strong>g<br />

generically managed office .<br />

As IOs focus is now on rent <strong>arrears</strong> <strong>management</strong>,<br />

<strong>the</strong>re has been a significant improvement <strong>in</strong> rent<br />

<strong>arrears</strong> recovery . Arrears figures have dropped<br />

dramatically - down by nearly three per cent s<strong>in</strong>ce<br />

IOs became specialist (and were 1 .5% <strong>in</strong> 2008-<br />

09) . Additionally, <strong>the</strong> <strong>Rent</strong> & Voids Manager feels<br />

124<br />

much more <strong>in</strong> control now as <strong>in</strong> <strong>the</strong> past he could<br />

not do anyth<strong>in</strong>g about <strong>the</strong> rema<strong>in</strong><strong>in</strong>g generic<br />

office’s poor rent <strong>arrears</strong> performance .<br />

HA C<br />

HA C is a regional RP with 15,000 owned or<br />

managed stock . It has a more traditional, generic<br />

approach to rent <strong>arrears</strong> <strong>management</strong> <strong>in</strong> which <strong>the</strong><br />

<strong>management</strong> of <strong>in</strong>dividual tenant’s rent <strong>arrears</strong> are<br />

one part of <strong>the</strong> role of Hous<strong>in</strong>g Officers (“HOs”),<br />

although HOs are target-driven for rent <strong>arrears</strong> . A<br />

Community Initiatives Adviser who advises tenants<br />

on benefits supplements <strong>the</strong>ir work . This is an<br />

important element of rent <strong>arrears</strong> <strong>management</strong> as<br />

many tenants are not aware <strong>the</strong>y are entitled to<br />

benefits (or do not know how to claim <strong>the</strong>m), which<br />

may unnecessarily put <strong>the</strong>m <strong>in</strong> <strong>arrears</strong> .<br />

<strong>Rent</strong> <strong>arrears</strong> <strong>management</strong> is reactive, <strong>in</strong> that<br />

action is taken when <strong>the</strong> customer is already <strong>in</strong><br />

rent <strong>arrears</strong> (although <strong>the</strong> policy is to contact a<br />

customer early, with<strong>in</strong> two weeks of <strong>arrears</strong> aris<strong>in</strong>g) .<br />

Hous<strong>in</strong>g Officers spend one day per week entirely<br />

on rent <strong>arrears</strong> cases . They also liaise with local<br />

HB staff and present cases <strong>in</strong> court . Current rent<br />

<strong>arrears</strong> performance is “very good” and targets are<br />

be<strong>in</strong>g met .

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