The Welsh Government has increased its scrutiny of two social landlords amid concerns over their governance and financial viability. One of the housing associations is in the process of merging with another landlord, but the extra regulation is not expected to prevent this from proceeding.
Mid-Wales HA which owns about 1,500 homes and Cardiff YMCA which provides hostel accommodation to about 120 homeless people, both require “increased regulatory oversight”. Neither of their published judgements provide reasons for the gradings. However, the judgement for Mid-Wales HA says it requires added oversight to meet five of the regulator’s performance standards, including those relating to effective board and executive management and demonstrating compliance. Mid Wales HA is set to merge with 2,272-home landlord Tai Ceredigion, which has earned the highest grading of ‘standard’ for governance and viability.
Peter Swanson, Chair of Mid-Wales, said:
“We welcome the additional support that such increased regulatory oversight brings. This is an enhanced model of co-regulation and is to be expected given the challenging and exciting programme currently being undertaken by the association.”
Cardiff YMCA faces extra scrutiny on five performance standards including effective board and executive management, effective tenant involvement and delivering value for money.
Andrew Templeton, Chief Executive of Cardiff YMCA, said:
“We have worked closely with the regulator throughout this process and would like to reassure our tenants and residents that our services across Cardiff remain unaffected by this judgement. We look forward to consolidating our services and governance arrangements in the coming period.”
By Patrick Mooney, Editor