Housing and Regeneration Act 2008

2008 c. 17

An Act to establish the Homes and Communities Agency and make provision about it; to abolish the Urban Regeneration Agency and the Commission for the New Towns and make provision in connection with their abolition; to regulate social housing; to enable the abolition of the Housing Corporation; to make provision about sustainability certificates, landlord and tenant matters, building regulations and mobile homes; to make further provision about housing; and for connected purposes.

Enacted[22nd July 2008]

Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—

Part 1 The Homes and Communities Agency¶

^C33^C48^C67^C77^C95^C115^C133^C159^C175^C193^C253^C255^C254^C252Chapter 1 General¶

1^I3 Establishment and constitution¶

1 There shall be a body corporate known as the Homes and Communities Agency (“the HCA”).

2 Schedule 1 (which makes further provision about the HCA) has effect.

2^I4 Objects¶

1 The objects of the HCA are—

a to improve the supply and quality of housing in England,

b to secure the regeneration or development of land or infrastructure in England,

c to support in other ways the creation, regeneration or development of communities in England or their continued well-being, and

d to contribute to the achievement of sustainable development and good design in England,

with a view to meeting the needs of people living in England.

^F3441A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2 In subsection (1)—

“ England ” does not include Greater London;
“ good design ” includes design which has due regard to the needs of elderly persons and disabled persons,
“ needs ” includes future needs,

and the reference to improving the supply of housing includes a reference to improving the supply of particular kinds of housing.

3 In this Part—

“ building ” means a building or other structure (including a house-boat or caravan),
“ caravan ” has the meaning given by section 29(1) of the Caravan Sites and Control of Development Act 1960 (c. 2),
“ housing ” means a building, or part of a building, occupied or intended to be occupied as a dwelling or as more than one dwelling; and includes a hostel which provides temporary residential accommodation,
“ infrastructure ” includes—
1. water, electricity, gas, electronic communications, sewerage or other services,
2. roads or other transport facilities,
3. retail or other business facilities,
4. health, educational, employment or training facilities,
5. social, religious or recreational facilities,
6. cremation or burial facilities, and
7. community facilities not falling within paragraphs (a) to (f),
“ land ” includes housing or other buildings (and see also the definition in Schedule 1 to the Interpretation Act 1978 (c. 30)),

and references to housing include (where the context permits) any yard, garden, outhouses and appurtenances belonging to, or usually enjoyed with, the building or part of building concerned.

4 See also sections 19(5) (financial assistance), 44 (local government involvement) and 52 (role of the HCA in relation to certain former functions of the Commission for the New Towns).

3^I5 Principal powers¶

The HCA may do anything it considers appropriate for the purposes of its objects or for purposes incidental to those purposes.

^I6^I113^I4664 Powers: general¶

1 This Part contains various specific powers of the HCA.

2 The specific powers of the HCA (whether contained in this Part or elsewhere) are to be exercised for the purposes of its objects or for purposes incidental to those purposes.

3 Each power may be exercised separately or together with, or as part of, another power.

4 Each power does not limit the scope of another power.

5 Each power does not limit the scope of the powers conferred by section 3.

6 But—

a subsections (2) and (3) do not apply to the HCA in its capacity as a local planning authority by virtue of sections 13 and 14 or in its exercise of other functions by virtue of those sections,

aa ^F345. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . and

b the powers conferred by section 3 must not be used to override a restriction imposed on the exercise of a specific power.

^C33^C48^C68^C77^C96^C115^C133^C160^C175^C193^C253^C255^C254^C252Chapter 2 Land and infrastructure¶

General¶

^I114^C17^C34^C49^C69^C78^C115^C99^C133^C120^C160^C139^C175^C163^C193^C181^C253^C211^C212^C255^C213^C254^C252^C210^C2575 ^C115^C133^C160^C175Powers to provide housing or other land¶

1 The HCA may provide housing or other land.

2 The HCA may facilitate the provision of housing or other land.

3 In this section “provide” includes provide by way of acquisition, construction, conversion, improvement or repair (and “provision” is to be read in the same way).

^I115^C18^C35^C50^C70^C79^C100^C115^C133^C121^C160^C140^C175^C164^C182^C193^C217^C216^C253^C255^C214^C254^C252^C215^C2586 ^C115^C133^C160^C175Powers for regeneration, development or effective use of land¶

1 The HCA may regenerate or develop land.

2 The HCA may bring about the more effective use of land.

3 The HCA may facilitate—

a the regeneration or development of land, or

b the more effective use of land.

^I116^C19^C36^C51^C71^C80^C115^C101^C133^C122^C141^C160^C175^C165^C193^C183^C218^C253^C255^C254^C252^C220^C219^C221^C2597 ^C115^C133^C160^C175Powers in relation to infrastructure¶

1 The HCA may provide infrastructure.

2 The HCA may facilitate the provision of infrastructure.

3 In this section “provide” includes provide by way of acquisition, construction, conversion, improvement or repair (and “provision” is to be read in the same way).

Powers to deal with land etc.¶

^I117^C20^C37^C52^C72^C81^C115^C102^C133^C123^C160^C142^C166^C175^C193^C184^C253^C255^C254^C252^C224^C225^C223^C222^C2608 ^C115^C133^C160^C175Powers to deal with land etc.¶

The HCA may carry out, or facilitate the carrying out of, any of the following activities in relation to land—

a acquiring, holding, improving, managing, reclaiming, repairing or disposing of housing,

b acquiring, holding, improving, managing, reclaiming, repairing or disposing of other land, plant, machinery, equipment or other property, and

c carrying out building and other operations (including converting or demolishing buildings).

^I118^C21^C38^C53^C73^C82^C115^C103^C133^C124^C160^C143^C167^C175^C185^C193^C227^C253^C255^C226^C254^C252^C229^C228^C2619 ^C115^C133^C160^C175Acquisition of land¶

1 The HCA may acquire land by agreement.

^C1942 The HCA may acquire land compulsorily if the Secretary of State authorises it to do so.

3 The power of acquiring land compulsorily under subsection (2) includes power to acquire new rights over land.

4 Subsection (5) applies where—

a land or new rights over land are being acquired compulsorily under subsection (2), and

b the land which is being acquired, or over which new rights are being acquired, forms part of a common, open space or allotment.

5 The power under subsection (2) to acquire land compulsorily includes the power to acquire land compulsorily for giving in exchange for the land or (as the case may be) new rights mentioned in subsection (4)(a).

6 Schedule 2 (which makes further provision in relation to the acquisition of land by the HCA) has effect.

7 In this Part—

“allotment” means a fuel or field garden allotment,
“common” has the meaning given by section 19(4) of the Acquisition of Land Act 1981 (c. 67),
“open space” means any land which is—
1. laid out as a public garden,
2. used for the purposes of public recreation, or
3. a disused burial ground.

^I135^C22^C39^C54^C74^C83^C104^C115^C133^C125^C160^C144^C175^C168^C186^C193^C231^C233^C253^C230^C232^C255^C254^C252^C26210 ^C115^C133^C160^C175Restrictions on disposal of land¶

1 The HCA may not dispose of land for less than the best consideration which can reasonably be obtained unless the Secretary of State consents.

2 Subsection (1) does not apply to a disposal by way of a short tenancy if the disposal consists of—

a the grant of a term of not more than 7 years, or

b the assignment of a term which, at the date of assignment, has not more than 7 years to run.

3 The HCA may not dispose of land which has been compulsorily acquired by it under this Part unless the Secretary of State consents.

4 Subject as above, the HCA may dispose of land held by it in any way it considers appropriate.

Powers in relation to acquired land¶

^I136^C33^C23^C48^C40^C68^C55^C77^C75^C84^C96^C105^C115^C133^C126^C160^C145^C175^C169^C193^C18711 ^C33^C48^C68^C77^C96^C115^C133^C160^C175Main powers in relation to acquired land¶

Schedule 3 (which makes provision about powers in relation to land acquired by the HCA) has effect.

^I161^C24^C41^C56^C76^C85^C115^C106^C133^C127^C160^C146^C170^C175^C193^C18812 ^C115^C133^C160^C175Powers in relation to, and for, statutory undertakers¶

Schedule 4 (which provides for powers in relation to, and for, statutory undertakers) has effect.

Planning¶

^I20313 Power of Secretary of State to make designation orders¶

1 The Secretary of State may by order designate an area in England outside Greater London if the Secretary of State considers that—

a the area is suitable for development, and

b it is appropriate for the HCA to be the local planning authority for the whole or any part of the area—

i for particular permitted purposes, and

ii in relation to particular kinds of development.

2 In deciding whether it is appropriate for the HCA to be the local planning authority as mentioned in subsection (1)(b), the Secretary of State must, in particular, be satisfied that making the designation order is likely to improve the effectiveness with which the functions of the local planning authority for the area or part are discharged.

3 The Secretary of State must, before making a designation order—

a publish—

i a draft of the order, and

ii the Secretary of State's reasons for making the order, and

b consult the persons mentioned in subsection (4).

4 The persons are—

a every local authority any part of whose area is intended to be included in the proposed designated area,

b any person, other than a local authority, who is the local planning authority for the proposed designated area or any part of it,

c such persons which appear to the Secretary of State to represent the interests of local authorities as the Secretary of State considers appropriate, and

d persons who reside or carry on business in the proposed designated area.

5 In this Part—

“designated area” means an area designated by a designation order,
“designation order” means an order under this section,
“local planning authority”, in relation to a designation order or proposed designation order, means—
1. so far as the order relates to permitted purposes under Part 2 or 3 of the Planning and Compulsory Purchase Act 2004 (c. 5), the local planning authority within the meaning of that Part of that Act, and
2. in any other case, the local planning authority within the meaning of Part 1 of the Town and Country Planning Act 1990 (c. 8),
“permitted purposes” means any purposes of—
1. the Town and Country Planning Act 1990 (other than section 137A, Parts 9 and 13, and sections 325A, 329A and 330A, of that Act),
2. the Planning (Listed Buildings and Conservation Areas) Act 1990 (c. 9) (other than section 32A, Chapter 5 of Part 1, and sections 82A to 82F and 88C, of that Act), and
3. Part 2 or 3 of the Planning and Compulsory Purchase Act 2004 , and
4. Part 8 of the Planning Act 2008,

and references to a designated area, in the case of an area whose boundaries have been amended by an order made under this section by virtue of section 14 of the Interpretation Act 1978 (c. 30), are to be read as references to the designated area as so amended.

5A The fact that the purposes of Part 13 of the Town and Country Planning Act 1990 are not permitted purposes does not affect the construction of references to the local planning authority to which an application could have been made in sections 293B to 293J in the Part.

6 In this section “local authority” means a county council in England or, a district council ^F188....

^I20414 Contents of designation orders¶

1 A designation order may contain provisions of the following kind.

2 The order may provide for the HCA to be the local planning authority for the whole or any part of the designated area—

a for specified permitted purposes, and

b in relation to specified kinds of development.

3 The order may provide that where the HCA is the local planning authority for the whole or any part of the designated area it is to have—

a in relation to the whole or any part of the designated area, and

b subject to any specified modifications,

specified relevant functions conferred by or under specified planning-related provisions.

4 An order which makes provision of the kind mentioned in subsection (2) may make provision about the application of enactments relating to local planning authorities to the HCA in its capacity as the local planning authority by virtue of the order.

5 An order which makes provision of the kind mentioned in subsection (3)—

a may provide for the HCA to have the functions concerned instead of, or concurrently with, other persons who have them,

b may make provision about the application to the HCA of enactments relating to the functions concerned.

6 Provision made by virtue of subsection (4) or (5), or section 320(1)(d) in its application to an order of a kind falling within this section, may, in particular, provide that any enactment—

a is to apply to the HCA without modification,

b is to apply to it subject to specified modifications.

7 In this section—

“planning-related provisions” means—
1. Chapter 1 of Part 6 (other than section 137A), and sections 188 and 330, of the Town and Country Planning Act 1990 (c. 8),
2. sections 32 and 33 to 37, 54 and 55 of the Planning (Listed Buildings and Conservation Areas) Act 1990 (c. 9), and
3. the Planning (Hazardous Substances) Act 1990 (c. 10) (other than sections 30A to 31A and 36C of that Act),
“relevant functions” means functions of—
1. a district council, ^F171... or any other body which is a local authority within the meaning of the Town and Country Planning Act 1990,
2. a district planning authority (within the meaning of that Act), or
3. a hazardous substances authority (within the meaning of the Planning (Hazardous Substances) Act 1990),
“specified”, in relation to a designation order, means specified or described in the order.

^I20515 HCA as local planning authority: local involvement¶

1 Subsections (2) to (6) apply where a designation order provides for the HCA to be the local planning authority for the whole or any part of the designated area.

2 The HCA must prepare and publish a statement of local involvement.

3 The statement of local involvement is a statement of the HCA's policy as to the extent to which it intends to involve persons mentioned in subsection (4) in relation to the exercise by the HCA of functions conferred on it by virtue of the designation order.

4 The persons are—

a every local authority for the designated area or any part of the area in relation to which a function is to be exercised, and

b persons appearing to the HCA to have special knowledge or experience of matters relevant to functions to be exercised in relation to the area or part.

5 The HCA must—

a keep the statement under review, and

b publish any revision of it.

6 In deciding its policy about the extent of involvement of persons mentioned in subsection (4), the HCA must, in particular, have regard to—

a the benefits that it might receive from their knowledge and experience, and

b the nature of the functions concerned.

7 Subsection (8) applies where—

a the HCA establishes a committee for the purpose of exercising functions conferred on the HCA by virtue of a designation order,

b such a committee establishes a sub-committee for such a purpose, or

c a new or replacement member is to be appointed to such a committee or sub-committee.

8 The HCA must—

a inform every local authority for the designated area or any part of the area in relation to which the functions are to be, or are being, exercised of—

i the establishment of the committee or sub-committee concerned, or

ii (as the case may be) the proposed appointment, and

b invite the authority to suggest one or more candidates for membership of the committee or (as the case may be) sub-committee.

9 In this section “local authority” has the same meaning as in section 13.

^F5016 Regional planning¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Other powers etc. in relation to land¶

^F28217 Power to enter and survey land¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F28218 Section 17: supplementary¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter 3 Financial provision¶

Powers to give financial assistance¶

^C138^C180^C208^C206^C207^C203^C205^C209^C204^C25619 Financial assistance¶

^I206^I4671 The HCA may, with the consent of the Secretary of State, give financial assistance to any person.

1A But the HCA must not give financial assistance in contravention of a direction given by the Regulator of Social Housing under section 100G.

^I206^I4672 Financial assistance under this section may be given in any form.

^I206^I4673 Financial assistance under this section may, in particular, be given by way of—

a grants,

b loans,

c guarantee or indemnity,

d investment, or

e incurring expenditure for the benefit of the person assisted.

^I206^I4674 Financial assistance under this section may be given on such terms and conditions as the HCA considers appropriate (including provision for repayment, with or without interest).

^I2075 The objects of the HCA are not to be read as preventing the HCA from exercising functions in relation to financial assistance (whether under this section or otherwise) which—

a are transferred to the HCA from the Housing Corporation by virtue of this Act, or

b would supersede functions of the Housing Corporation,

in ways corresponding to those in which the Housing Corporation could have exercised its functions.

^I467^I4686 See also sections 31 to 35 (further provision about certain types of financial assistance: social housing).

Borrowing powers of the HCA¶

^I20820 Powers to borrow¶

1 The HCA may, for the purpose of what it considers to be the short-term management of its finances, borrow from any person by way of overdraft or otherwise.

2 Subject to this, the HCA may only borrow from the Secretary of State or the European Investment Bank.

3 The HCA may not borrow in currencies other than sterling.

^I20921 Loans by the Secretary of State¶

1 The Secretary of State may lend to the HCA any sums it has power to borrow from the Secretary of State under section 20.

2 Loans under subsection (1) may be made on such terms and conditions as the Secretary of State considers appropriate (including provision for repayment with or without interest).

^I21022 Guarantees by the Secretary of State¶

1 The Secretary of State may guarantee—

a the repayment of the principal of any sums which the HCA borrows from a person other than the Secretary of State, and

b the payment of interest on such sums.

2 Such a guarantee is to be in such manner, and on such terms and conditions, as the Secretary of State considers appropriate.

3 The Secretary of State must lay a statement of any such guarantee before Parliament immediately after giving the guarantee.

4 The Secretary of State must lay before Parliament a statement relating to any sum issued for fulfilling such a guarantee.

5 A statement under subsection (4) must be laid as soon as possible after the end of each financial year—

a beginning with that in which the sum is issued, and

b ending with that in which all liability in respect of the principal of the sum guaranteed, and of interest on it, is finally discharged.

6 In respect of any sums issued in fulfilment of a guarantee given under this section, the HCA must make payments to the Secretary of State—

a of such amounts as the Secretary of State may direct in or towards repayment of those sums, and

b of interest on what is outstanding in respect of those sums, at such rates as the Secretary of State may direct.

7 Payments under subsection (6) must be made at such times, and in such manner, as the Secretary of State may direct.

^I21123 Financial limits¶

1 The current borrowings of the HCA must not exceed £2,300 million.

2 The Secretary of State may by order amend subsection (1) so as to specify a greater amount than that for the time being specified there.

3 But an order under subsection (2) may not specify an amount of more than £3,000 million.

4 In this section “current borrowings of the HCA” means—

a the aggregate amount at any time of—

i sums borrowed by the HCA under section 20, and

ii sums borrowed by subsidiaries of the HCA (other than from the HCA), less

b repayments made, or treated as made, in respect of those sums.

5 In this Part “subsidiary” has the meaning given by section 1159 of the Companies Act 2006 (c. 46).

Other¶

^I21224 Power to charge for certain activities¶

1 The HCA may impose charges for, or in connection with, anything done by it by virtue of section 38, 39 or 45.

2 Any such charges must be of such amounts as the HCA considers to be reasonable.

^I21325 Directions as to surplus funds¶

1 Subsection (2) applies if the Secretary of State considers that the HCA or any subsidiary of the HCA has a surplus, whether on capital or on revenue account, after making allowance by way of transfer to reserve or otherwise for its future requirements.

2 The Secretary of State may give a direction to the HCA to pay to the Secretary of State such sum not exceeding the amount of the surplus as may be specified in the direction.

3 The Secretary of State must consult the HCA before coming to a decision of the kind mentioned in subsection (1) or giving a direction as mentioned in subsection (2).

4 The Secretary of State may decide to treat the whole or part of any payment under subsection (2) as made—

a by way of repayment of such part of the principal of loans under section 21(1), and

b in respect of the repayments due at such times,

as the Secretary of State may decide.

^I21426 Duty to act as agent in respect of regeneration and development¶

1 The Secretary of State may appoint the HCA to act as the agent of the Secretary of State in connection with such financial assistance functions as the Secretary of State may specify.

2 In subsection (1) “financial assistance functions” means, so far as exercisable in relation to England outside Greater London, functions under sections 126 to 128 of the Housing Grants, Construction and Regeneration Act 1996 (c. 53) (financial assistance for regeneration and development).

3 An appointment under this section is to be on such terms as the Secretary of State may specify.

4 The HCA must, if appointed, act as agent in accordance with the terms of its appointment.

^I21527 Duty to act as agent in respect of derelict land etc.¶

1 The Secretary of State may appoint the HCA to act as the agent of the Secretary of State in connection with such derelict land functions as the Secretary of State may specify.

2 In subsection (1) “derelict land functions” means functions under—

a section 1 of the Derelict Land Act 1982 (c. 42) (grants for reclaiming or improving land or bringing land into use), or

b any enactment superseded by that section,

but excluding the powers to make orders under section 1(5) and (7) of that Act.

3 An appointment under this section is to be on such terms as the Secretary of State may specify.

4 The HCA must, if appointed, act as agent in accordance with the terms of its appointment.

Chapter 4 Other functions of the HCA¶

General¶

^I21628 Business¶

1 The HCA may carry on any business.

2 In subsection (1) “business” includes undertaking.

^I21729 Powers to form companies etc.¶

The HCA may, with the consent of the Secretary of State, form, or acquire interests in, bodies corporate.

^I21830 Community services¶

The HCA may provide such services for communities as it considers appropriate or facilitate the provision of such services.

Information, education and guidance etc.¶

^I21938 Information services¶

1 The HCA may—

a publish ideas or information, or

b disseminate or promote ideas or information in other ways.

2 The HCA may undertake research or experimentation.

3 The HCA may provide other information services.

4 The HCA may facilitate—

a the publication or other dissemination or promotion of ideas or information,

b research or experimentation, or

c the provision of other information services.

^I22039 Advice, education and training¶

1 The HCA may provide—

a advice, education or training, or

b other advisory, education or training services.

2 The HCA may facilitate the provision of—

a advice, education or training, or

b other advisory, education or training services.

^I22140 Guidance¶

1 The HCA may give guidance to such persons as it considers appropriate about any matters relating to its objects.

2 Before giving guidance under this section, the HCA must consult such persons as it considers appropriate.

3 As soon as reasonably practicable after giving guidance under this section, the HCA must take such steps as the HCA considers appropriate to bring it to the attention of those affected by it.

4 The HCA may revoke guidance given under this section.

5 The HCA—

a must, before revoking guidance under this section, consult such persons as it considers appropriate, and

b must, as soon as reasonably practicable after the revocation, take such steps as it considers appropriate to bring the revocation to the attention of those affected by it.

6 References in this section to giving guidance include references to giving guidance by varying existing guidance.

Functions in relation to companies and other persons¶

^I22241 Control of subsidiaries¶

1 The HCA must ensure that no subsidiary of the HCA engages, without the consent of the Secretary of State, in an activity which the HCA would not be required or permitted to carry on.

2 The HCA must ensure that no subsidiary of the HCA—

a borrows from a person other than the HCA, or

b raises money by the issue of shares or stock to a person other than the HCA,

without the consent of the Secretary of State.

^I22342 Agency arrangements with UDCs¶

1 The HCA may, with the consent of the Secretary of State, appoint an urban development corporation to act as its agent.

2 The appointment—

a may be in connection with any of the functions of the HCA other than its functions in connection with Chapter 3 ^F353..., and

b is to be on such terms as may be agreed.

^F3542A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

3 The appointment must specify the functions in connection with which it is made.

4 An urban development corporation must act as agent in accordance with the terms of its appointment.

5 An urban development corporation may arrange for any of its property or staff to be made available to the HCA if—

a the purpose is to assist the HCA to exercise any of its functions, and

b the HCA asks the urban development corporation to make the property or staff available.

6 The property or staff are to be made available for such period, and on such other terms, as the urban development corporation considers appropriate.

7 In this Part “urban development corporation” means a corporation established by an order under section 135 of the Local Government, Planning and Land Act 1980 (c. 65).

^I22443 Acting with, or for, other persons: general¶

1 The HCA may act with other persons (whether in partnership or otherwise).

2 The HCA may act as agent for other persons.

44^I7 Local government involvement¶

1 The HCA must from time to time consult such representatives of local government as the HCA considers appropriate about how the HCA pursues its objects.

2 The HCA must from time to time publish a statement about how it proposes to comply with subsection (1).

3 Before publishing a statement the HCA must consult such persons as it considers appropriate.

Other¶

^I22545 Support services¶

1 The HCA may provide services in support of a project.

2 The HCA may, in particular—

a second staff to the project,

b provide consultants or other manpower resources to the project on a temporary basis, or

c lend or otherwise provide technical, property or other resources to the project.

3 The HCA may facilitate the provision of services in support of a project.

Chapter 5 Supplementary¶

Certain supervisory powers of the Secretary of State¶

46^I8 Guidance by the Secretary of State¶

1 The Secretary of State may give guidance to the HCA as to the exercise of any of its functions.

2 Before giving guidance under this section, the Secretary of State must consult such persons as the Secretary of State considers appropriate.

3 The Secretary of State must publish any guidance given under this section as soon as reasonably practicable after giving it.

4 The Secretary of State may revoke guidance given under this section.

5 The Secretary of State must—

a consult, before revoking guidance under this section, such persons as the Secretary of State considers appropriate, and

b publish the fact that the guidance has been revoked as soon as reasonably practicable after the revocation.

6 The HCA must, in exercising its functions, have regard to any guidance for the time being in force under this section.

7 References in this section to giving guidance include references to giving guidance by varying existing guidance.

^F3558 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

47^I9 Directions by the Secretary of State¶

1 The Secretary of State may give the HCA general or specific directions as to the exercise of any of its functions.

2 The Secretary of State must publish any directions given by the Secretary of State under this Part as soon as reasonably practicable after giving them.

3 The Secretary of State—

a may revoke any directions given by the Secretary of State under this Part, and

b must publish the fact that the directions have been revoked as soon as reasonably practicable after the revocation.

4 The HCA must comply with any directions of the Secretary of State in force under this Part.

5 Subsections (2) and (3)(b) do not apply to directions given under section 22 or paragraph 7 of Schedule 1; and this section does not apply to directions given under Schedule 4.

6 References in this Part to the Secretary of State giving directions include references to the Secretary of State giving directions by varying existing directions.

^F3567 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I22648 Consents of the Secretary of State¶

1 Any consent of the Secretary of State required under this Part may be given—

a unconditionally or subject to conditions, and

b generally or specifically.

2 The Secretary of State may vary or revoke any such consent except in the case of anything already done, or agreed to be done, on the authority of it.

3 A variation or revocation under subsection (2) does not have effect until the Secretary of State has served notice of it on the HCA or (as the case may be) the other person to whom the consent is given.

Abolition of existing bodies¶

^I10^C149 Abolition of Urban Regeneration Agency¶

The Urban Regeneration Agency shall cease to exist on such day as the Secretary of State may by order appoint.

50 Abolition of the Commission for the New Towns¶

^I11^C21 The Commission for the New Towns shall cease to exist on such day as the Secretary of State may by order appoint.

^I227^I3862 Schedule 5 (which transfers Welsh functions of the Commission to the Welsh Ministers and makes other amendments of the New Towns Act 1981 (c. 64)) has effect.

51^I12 Property etc. transfers to the HCA and the Welsh Ministers¶

1 The Secretary of State may make one or more schemes for—

a the transfer to the HCA of designated property, rights or liabilities of—

i the Urban Regeneration Agency,

ii the Commission for the New Towns,

^F241iii . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ., or

iv a Minister of the Crown, or

b the transfer to the Welsh Ministers of designated property, rights or liabilities of—

i the Urban Regeneration Agency, or

ii the Commission for the New Towns.

2 On the transfer date, the designated property, rights or liabilities are transferred and vest in accordance with the scheme.

3 Schedule 6 (which makes further provision about the making of schemes) has effect.

3A A scheme under this section may not make provision in relation to land which is held by the Secretary of State and was acquired, or is treated as having been acquired, under section 39 of the Forestry Act 1967 (power to acquire land which is suitable for afforestation or purposes connected with forestry).

4 In this section and in Schedule 6—

“designated” in relation to a scheme, means specified in, or determined in accordance with, the scheme,
“Minister of the Crown” has the same meaning as in the Ministers of the Crown Act 1975 (c. 26),
“the transfer date” means a date specified by a scheme as the date on which the scheme is to have effect.

5 Schedule 7 makes provision about the tax implications of schemes under this section (and schemes under section 65).

52^I13 Role of the HCA in relation to former CNT functions¶

1 The HCA must, so far as practicable, exercise its powers in relation to—

a any property, rights or liabilities of the Commission for the New Towns transferred to it by virtue of section 51 and Schedule 6,

b any property, rights or liabilities of a new town development corporation transferred to it by virtue of section 41 of, and Schedule 10 to, the New Towns Act 1981 (c. 64),

c any undertaking, or part of an undertaking, of an urban development corporation transferred to it by virtue of an agreement under section 165 of the Local Government, Planning and Land Act 1980 (c. 65), or

d any property, rights or liabilities of an urban development corporation transferred to it by virtue of an order under section 165B of that Act,

for the purposes of the objects mentioned in section 2(1) or for purposes incidental to those purposes.

2 But subsection (1) does not apply if the HCA does not consider it appropriate to exercise its powers in this way having regard, in particular, to the purposes for which the transferred property was held by the Commission for the New Towns, the new town development corporation or (as the case may be) the urban development corporation.

3 In such a case, the HCA must exercise its powers in relation to the transferred property in such a way as it considers appropriate having regard, in particular, to—

a the objects mentioned in section 2(1), and

b the purposes for which the transferred property was held by the body concerned,

and the references in this Part to the objects of the HCA are to be read accordingly.

4 In this section—

“new town development corporation” means a development corporation established under section 3 of the New Towns Act 1981 (c. 64),
“transferred property” means any property, rights or liabilities, or any undertaking or part of an undertaking, falling within paragraphs (a) to (d) of subsection (1) above.

53^I14 Interim arrangements¶

1 The Secretary of State may by notice require the Urban Regeneration Agency or the Commission for the New Towns to provide staff, premises, facilities or other assistance on a temporary basis to—

a the HCA, or

b the Welsh Ministers.

^F1002 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

3 This section is without prejudice to the power of the Secretary of State under section 322(1).

Other¶

53A Other property etc transfers to the HCA¶

1 The Secretary of State may at any time make one or more schemes for the transfer to the HCA of designated property, rights or liabilities of a specified public body.

2 In subsection (1) “specified public body” means a public body which is for the time being specified, or of a description specified, by regulations made by the Secretary of State.

3 On the date specified by a scheme as the date on which the scheme is to have effect, the designated property, rights or liabilities are transferred and vest in accordance with the scheme.

4 Schedule 6 applies to a scheme under this section.

5 The Secretary of State may not make a scheme under this section unless the specified public body to which the scheme relates has consented to its provisions.

6 A scheme under this section may not make provision in relation to land which is held by the Secretary of State and was acquired, or is treated as having been acquired, under section 39 of the Forestry Act 1967 (power to acquire land which is suitable for afforestation or purposes connected with forestry).

7 In this section—

“designated”, in relation to a scheme, means specified in or determined in accordance with the scheme;
“public body” means a person or body with functions of a public nature.

8 This section and section 53B bind the Crown, but do not have effect in relation to property, rights or liabilities belonging to—

a Her Majesty in right of the Crown,

b Her Majesty in right of Her private estates,

c Her Majesty in right of the Duchy of Lancaster, or

d the Duchy of Cornwall.

9 The reference in subsection (8) to Her Majesty's private estates is to be construed in accordance with section 1 of the Crown Private Estates Act 1862.

53B Tax consequences of transfers under section 53A¶

1 The Treasury may by regulations make provision for varying the way in which a relevant tax has effect from time to time in relation to—

a any property, rights or liabilities transferred in accordance with a transfer scheme under section 53A, or

b anything done for the purposes of, or in relation to, or in consequence of, the transfer of any property, rights or liabilities in accordance with such a transfer scheme.

2 The provision that may be made under subsection (1)(a) includes, in particular, provision for—

a a tax provision not to apply, or to apply with modifications, in relation to any property, rights or liabilities transferred;

b any property, rights or liabilities transferred to be treated in a specified way for the purposes of a tax provision;

c the Secretary of State to be required or permitted, with the consent of the Treasury, to determine, or to specify the method for determining, anything which needs to be determined for the purposes of any tax provision so far as relating to any property, rights or liabilities transferred.

3 The provision that may be made under subsection (1)(b) includes, in particular, provision for—

a a tax provision not to apply, or to apply with modifications, in relation to anything done for the purposes of, or in relation to, or in consequence of, the transfer;

b anything done for the purposes of, or in relation to, or in consequence of, the transfer to have or not to have a specified consequence or be treated in a specified way;

4 In this section—

“relevant tax” means income tax, corporation tax, capital gains tax, stamp duty, stamp duty land tax or stamp duty reserve tax;
“tax provision” means a provision of an enactment about a relevant tax.

5 References in this section to the transfer of property, rights or liabilities in accordance with a transfer scheme under section 53A include references to—

a the creation of interests, rights or liabilities under the scheme, and

b the modification of interests, rights or liabilities under the scheme,

(and “transferred”, in relation to property, rights or liabilities, is to be read accordingly).

54^I15 Validity of transactions¶

1 A transaction between a person and the HCA is not invalid merely because of a failure by the HCA to exercise its powers for the purposes mentioned in sections 3 and 4(2).

2 A transaction between a person and the HCA is not invalid merely because it was carried out in contravention of a direction under section 47.

3 A transaction between a person and a subsidiary of the HCA is not invalid merely because of a failure by the HCA to comply with section 41(1) or (2).

4 A person entering into a transaction with the HCA or a subsidiary of the HCA need not be concerned as to whether—

a there has been a failure of the kind mentioned in subsection (1) or (3), or

b a direction of the kind mentioned in subsection (2) has been given or complied with.

5 A disposal of land by the HCA is not invalid merely because any consent required by section 10(1) or (3) has not been given.

6 A person dealing with—

a the HCA, or

b a person claiming under the HCA,

in relation to any land need not be concerned as to whether any consent required by section 10(1) or (3) has been given.

55^I16 Notices¶

1 Any notice required or authorised under this Part to be served on any person may be served by—

a delivering it to the person,

b leaving it at the person's proper address, or

c sending it by post to the person at that address.

2 Any such notice may—

a in the case of a body corporate, be served in accordance with subsection (1) on an officer of the body, and

b in the case of a partnership, be served in accordance with subsection (1) on a partner or a person having the control or management of the partnership business.

3 For the purposes of this section and section 7 of the Interpretation Act 1978 (c. 30) (service of documents by post) in its application to this section, the proper address of any person on whom a notice is to be served is the person's last known address except as follows.

4 For the purposes of this section and section 7 of the Act of 1978 in its application to this section, the proper address is—

a in the case of service on a body corporate or an officer of the body, the address of the registered or principal office of the body, and

b in the case of service on a partnership, a partner or a person having the control or management of the partnership business, the address of the principal office of the partnership.

5 For the purposes of subsection (4) the principal office of a company registered outside the United Kingdom or of a partnership carrying on business outside the United Kingdom is its principal office within the United Kingdom.

6 Subsection (7) applies if a person to be served under this Part with a notice has specified an address within the United Kingdom other than the person's proper address (as decided under subsections (3) and (4)) as the one at which the person, or someone on the person's behalf, will accept documents of the same description as the notice.

7 The specified address is also to be treated for the purposes of this section and section 7 of the Act of 1978 in its application to this section as the person's proper address.

8 Subsection (9) applies if the name or address of any owner, lessee or occupier of land on whom a notice is to be served under this Part cannot, after reasonable inquiry, be ascertained.

9 The notice may be served by—

a leaving it in the hands of a person who is, or appears to be, resident or employed on the land, or

b leaving it conspicuously affixed to a building or object on the land.

10 Any notice required or authorised under this Part to be served on any person may be served on the person by transmitting the text of the notice to the person by means of an electronic communications network or by other means but while in electronic form provided the text is received by the person in legible form and is capable of being used for subsequent reference.

11 In this section—

“body corporate” includes a limited liability partnership,
“director”, in relation to a body corporate whose affairs are managed by its members, means a member of the body corporate,
“officer of a body corporate” means any director, manager, secretary or other similar officer of the body corporate,
“partnership” does not include a limited liability partnership,

and references to serving include references to similar expressions (such as giving or sending).

^I17^I238^I415^I47356 Consequential amendments: Part 1¶

Schedule 8 (which contains amendments of enactments) has effect.

^I18^I299^I47457 Interpretation: Part 1¶

1 In this Part—

^F324. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
“develop” (and development), in relation to land or infrastructure, includes redevelop (and redevelopment),
“electronic communications apparatus” has the same meaning as in the electronic communications code,
“the electronic communications code” has the same meaning as in Chapter 1 of Part 2 of the Communications Act 2003 (c. 21),
“electronic communications code network” means—
1. so much of an electronic communications network or conduit system provided by an electronic communications code operator as is not excluded from the application of the electronic communications code by a direction under section 106 of the Act of 2003 (application of the electronic communications code), and
2. an electronic communications network which the Secretary of State is providing or proposing to provide,
“electronic communications code operator” means a person in whose case the electronic communications code is applied by a direction under section 106 of the Act of 2003,
“electronic communications network” has the same meaning as in the Act of 2003,
“enactment” includes subordinate legislation (within the meaning of the Interpretation Act 1978 (c. 30)),
“financial year” means—
1. the period beginning with the day on which the HCA is established and ending with the next 31 March, and
2. each subsequent period of 12 months ending with 31 March,
“improve”, in relation to housing and other land, includes refurbish, equip and fit out,
“infrastructure system” has the meaning given by paragraph 7(1) of Schedule 3A to the Communications Act 2003 (the electronic communications code), and a reference to providing such a system is to be read in accordance with paragraph 7(2) of the code (reference to provision includes establishing or maintaining),
“modifications” includes omissions,
“notice” means notice in writing,
“operator”, in relation to an electronic communications code network means—
1. the electronic communications code operator providing that network, or
2. the Secretary of State, so far as the Secretary of State is providing or proposing to provide that network,
“provide” and related expressions, in relation to an electronic communications network, are to be read in accordance with section 32(4) of the Communications Act 2003 (c. 21).

2 References in this Part to powers of the HCA do not include references to powers contained in duties imposed on the HCA.

^I19^I300^I385^I47558 Index of defined expressions: Part 1¶

In this Part, the expressions listed in the left-hand column have the meaning given by, or are to be interpreted in accordance with, the provisions listed in the right-hand column.

Expression	Provision
Allotment	Section 9(7)
Building	Section 2(3)
Caravan	Section 2(3)
Common	Section 9(7)
^F326. . .	^F326. . .
Designated area	Section 13(5)
Designation order	Section 13(5)
Develop (and development)	Section 57(1)
Electronic communications apparatus	Section 57(1)
Electronic communications code	Section 57(1)
Electronic communications code network	Section 57(1)
Electronic communications code operator	Section 57(1)
Electronic communications network	Section 57(1)
Enactment	Section 57(1)
Financial year	Section 57(1)
Giving directions	Section 47(6)
The HCA	Section 1(1)
Housing	Section 2(3)
Improve	Section 57(1)
Infrastructure	Section 2(3)
Infrastructure system (and providing such a system)	Section 57(1)
Land	Section 2(3) (and Schedule 1 to the Interpretation Act 1978 (c. 30))
Local planning authority (in relation to designation orders or proposed designation orders)	Section 13(5)
Modifications	Section 57(1)
Notice	Section 57(1)
Objects of the HCA	Sections 2, 19(5) and 52(3)
Open space	Section 9(7)
Operator (in relation to electronic communications code network)	Section 57(1)
Permitted purposes	Section 13(5)
Powers of the HCA	Section 57(2)
Provide (in relation to an electronic communications network)	Section 57(1)
Registered provider of social housing	Section 80(2)(a)
^F357. . .	^F357. . .
Social housing (and its provision)	Section 32(13)
Social housing assistance	Section 32(13)
Subsidiary	Section 23(5)
Urban development corporation	Section 42(7)

^C10Part 2 Regulation of Social Housing¶

Chapter 1 Introduction¶

Preliminary¶

59^I20 Purpose¶

The purpose of this Part is to regulate the provision of social housing (as defined in sections 68 to 77) by English bodies (as defined in section 79) and local authorities (as defined in section 275).

^I47660 Structural overview¶

1 This Part replaces the system of “registered social landlords” under Part 1 of the Housing Act 1996 (c. 52).

2 That Part will continue to apply in relation to Wales (see section 61).

3 Certain provisions of that Part—

^F575a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b are preserved although they apply to England only (see section 124).

^F4414 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I47761 Restriction of “registered social landlord” system to Wales¶

1 Part 1 of the Housing Act 1996 (c. 52) (social rented sector) is amended as follows (and the title of Part 1 becomes “Social Rented Sector in Wales”).

2 Before section 1 (register of social landlords) insert—

3 In section 1—

a for “The Relevant Authority” substitute “ The Welsh Ministers ”, and

b omit subsections (1A) and (1B).

4 After section 1 insert—

5 In section 2 (eligibility for registration)—

a in subsection (1), for “A body” substitute “ A Welsh body ”,

b in subsection (2) after “that the body is” insert “ principally concerned with Welsh housing, is ”,

c after subsection (2) insert—

d in subsection (7) for “Secretary of State” (in each place) substitute “ Welsh Ministers ”, and

e in subsection (8) for “either House of Parliament” substitute “ the National Assembly for Wales ”.

6 In section 3 (registration)—

a in subsection (1) for “any body” substitute “ any Welsh body ”, and

b in subsection (4) for “A body” substitute “ A Welsh body ”.

7 The table sets out substitutions which have effect throughout the Part (except section 51 and Schedule 2); and where necessary in consequence of those substitutions, for words in the singular substitute appropriate corresponding words in the plural.

Expression	Substitution
“the Relevant Authority”	“the Welsh Ministers”
“the Authority”	“the Welsh Ministers”
“the Relevant Authority's”	“the Welsh Ministers”

8 Omit section 56 (meaning of “the Relevant Authority”).

9 Sections 62 and 63 make other consequential amendments.

^I47862 References to Welsh Ministers¶

In the following provisions of the Housing Act 1996 (c. 52)—

a for “Secretary of State” substitute “ Welsh Ministers ”,

b for “Secretary of State makes” substitute “ Welsh Ministers make ”,

c for “he” substitute “ they ”,

d for “him” substitute “ them ” (except in section 12A(4)), and

e for “considers” substitute “ consider ”.

Provision	Topic
Section 9(1A)(b)	Consent for disposal of land
Section 12A(4)	Right of first refusal: regulations
Section 15A(5)	Deferred resale agreements: order
^F392. . .	^F392. . .
Section 18(5)(b)	Social housing grants: appointment of agent
Section 23(6)	Loans: approved schemes
Section 27A(3)	Grants to other bodies: further provision
Section 29(1), (2) and (3)	Commutation of special residual subsidy
Section 30(5)(b)	Collection of information: notice
Section 39(3)	Insolvency etc: order defining terms
Section 46(7)(b)	Appointment of manager: order
Section 52(1) and (3)	Orders: general
Section 53(1), (4) and (5)	Determinations: general
Section 55(2)	Consequential: order
Paragraph 9(3A)(b) of Schedule 1	Change of rules of registered society: consent
Paragraph 11(3A)(b) of Schedule 1	Change of articles of company: consent
Paragraph 15A(1) of Schedule 1	Transfer of assets of charity on dissolution: order

^I47963 References to National Assembly for Wales¶

In the following provisions of the Housing Act 1996 (c. 52) for “either House of Parliament” substitute “ the National Assembly for Wales ”.

Provision	Topic
Section 12A(8)(b)	Right of first refusal: regulations
Section 15A(6)(b)	Deferred resale agreements: order
^F393. . .	^F393. . .
Section 27A(10)	Grants to other bodies: order
Section 39(3)	Insolvency: order
Section 55(3)	Consequential: order
Paragraph 15A(4) of Schedule 1	Transfer of assets of charity on dissolution: order

64 Dissolution of Housing Corporation¶

^I3491 The Secretary of State shall by order make provision for the dissolution of the Housing Corporation.

^I3492 The Secretary of State may by order make consequential amendment of enactments referring to the Housing Corporation.

^I4803 Omit section 33A of the Housing Associations Act 1985 (c. 69) (provision of services between the Corporations).

65^I21 Transfer schemes¶

1 The Secretary of State may make one or more schemes for the transfer of the Housing Corporation's property, rights or liabilities to—

a the regulator,

b the HCA, or

c the Secretary of State.

2 On the transfer date, the designated property, rights or liabilities are transferred and vest in accordance with the scheme.

3 Schedule 6 applies to a scheme under this section.

4 In this section—

“designated”, in relation to a scheme, means specified in or determined in accordance with the scheme;
“the transfer date” means the date specified by a scheme as the date on which the scheme is to have effect.

5 Schedule 7 makes provision about the tax implications of schemes under this section (and schemes under section 51).

66^I22 Interim arrangements¶

The Secretary of State may by notice require the Housing Corporation to provide staff, premises, facilities or other assistance to—

a the regulator, or

b the HCA.

^I23^I48167 Transitional arrangements¶

1 The Secretary of State may by order transfer functions of the Housing Corporation to—

a the regulator,

b the HCA, or

c the regulator and the HCA jointly or concurrently.

2 An order under subsection (1) may make provision in relation to English registered social landlords which is similar to any provision made by this Part in relation to registered providers.

3 “English registered social landlord” means a body—

a which is registered as a social landlord under Part 1 of the Housing Act 1996, and

b which does not fall within paragraphs (a) to (c) of section 56(2) of that Act (Welsh bodies).

4 The Secretary of State may by order make further provision in respect of a function transferred under this section (which may, in particular, include provision for the function to cease to be exercisable).

5 Provision made under this section, including provision made by virtue of section 320(1)(d), may modify an enactment.

6 Provision under section 322(1) in connection with the coming into force of a provision of this Act may, in particular, include transitional provision having regard to the effect of provision made under this section.

Other key concepts¶

^F20578 Regulator of Social Housing¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I34^I49179 English bodies¶

1 In this Part “English body” means—

a a registered charity whose address for the purposes of registration by the Charity Commission is in England,

b a registered society whose registered office for the purposes of the Co-operative and Community Benefit Societies Act 2014 is in England,

c a registered company which has its registered office in England,

^F479d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F478e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . and

f a limited liability partnership which has its registered office in England.

^F4802 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F4803 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F4804 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F4805 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I35^I49280 Provider of social housing¶

1 In this Chapter a reference to the provider of social housing is to be construed as follows.

Type of social housing	Provider
Low cost rental accommodation	The landlord
Low cost home ownership accommodation: shared ownership	The landlord
Low cost home ownership accommodation: equity percentage	“The seller” within the meaning of section 70(5)(a)
Low cost home ownership accommodation: shared ownership trust	The “social landlord” within the meaning of paragraph 7(3) of Schedule 9 to the Finance Act 2003

2 Chapter 3 provides for the establishment of a register of providers of social housing: persons listed in the register—

a may be referred to in an enactment or other instrument as “registered providers of social housing”, and

b are referred to in this Part as “registered providers”.

3 Persons listed in the register who are not local authorities—

a may be referred to in an enactment or other instrument as “private registered providers of social housing”, and

b are referred to in this Part as “private registered providers”.

^C10Chapter 2 The Social Housing Regulator¶

The Regulator¶

80A Establishment¶

1 The Regulator of Social Housing is established as a body corporate.

2 The Regulator of Social Housing is referred to in this Part as “the regulator”.

3 The regulator (and any member of the regulator)—

a is not the servant or agent of the Crown, and

b does not share any immunity or privilege of the Crown.

4 No property of the regulator is to be regarded as property of, or held on behalf of, the Crown.

80B Membership¶

1 The regulator is to consist of—

a a person appointed by the Secretary of State as chair (“the chair”),

b at least 6 and no more than 10 other members, appointed by the Secretary of State, and

c the chief executive appointed under section 80D(1).

2 The Secretary of State must consult the chair before appointing a member under subsection (1)(b).

3 In appointing a person to be an appointed member the Secretary of State must—

a have regard to the desirability of appointing a person who has experience of, and has shown some capacity in, matters relevant to the exercise of the functions of the regulator, and

b be satisfied that the person has no financial or other interest likely to affect prejudicially the exercise of the person’s functions as a member.

4 The Secretary of State may require any person who the Secretary of State proposes to appoint as an appointed member to provide any information the Secretary of State considers necessary for the purposes of subsection (3)(b).

5 In this Part “appointed member” means—

a the chair, or

b a member appointed under subsection (1)(b).

80C Terms of appointment of members¶

1 An appointed member holds and vacates office in accordance with the appointed member’s terms of appointment (subject to this section).

2 An appointed member may resign by notice to the Secretary of State.

3 The Secretary of State may dismiss an appointed member who—

a has been absent from meetings of the regulator for a period of more than 6 months without its permission,

b has become bankrupt or has made an arrangement with the member’s creditors,

c the Secretary of State thinks has failed to comply with the member’s terms of appointment,

d the Secretary of State thinks has failed to comply with the member’s obligations under section 92P (members’ interests),

e the Secretary of State thinks is otherwise unable, unfit or unsuitable to perform the functions of the member.

80D Staff¶

1 The chair and other appointed members of the regulator must appoint a chief executive.

2 But a person may be appointed as chief executive under subsection (1) only if approved by the Secretary of State.

3 The regulator may appoint other staff.

4 The regulator may pay to its staff such remuneration and allowances as it may decide.

5 The regulator may—

a pay such pensions, allowances or gratuities to or in respect of any, or any former, member of staff, or

b pay such sums towards the provision for the payment of pensions, allowances or gratuities to or in respect of any, or any former, member of staff,

as it may decide.

Constitution¶

^F20681 Establishment¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F20782 Membership¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F20883 Tenure¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F20984 Chief executive¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21085 Other staff¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Proceedings¶

^F21186 Fundamental objectives¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21287 Procedure¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21388 Conflict of interest¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21489 Committees¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21590 Delegation¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21691 Seal¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F21792 Annual report¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F337. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .¶

^F33792A Regulation functions of the HCA¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F337 92B The Regulation Committee¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F337 92C Membership of the Regulation Committee¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F337 92D Terms of appointment of members¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F33792E Remuneration etc of members ¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F33792F Sub-committees of the Regulation Committee¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F33792G Procedure of the Committee and its sub-committees¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F33792H Members' interests¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F33792I Exercise of functions¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F33792J Recommendations to HCA¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Fundamental objectives¶

^C10 92K ^C10Fundamental objectives¶

1 The regulator must perform its functions with a view to achieving (so far as is possible)—

a the economic regulation objective, and

b the consumer regulation objective.

2 The economic regulation objective is—

a to ensure that registered providers ^F454... are financially viable and properly managed, and perform their functions efficiently and economically,

b to support the provision of social housing sufficient to meet reasonable demands (including by encouraging and promoting private investment in social housing),

c to ensure that value for money is obtained from public investment in social housing,

d to ensure that an unreasonable burden is not imposed (directly or indirectly) on public funds, and

e to guard against the misuse of public funds.

3 The consumer regulation objective is—

a to support the provision of social housing that is well-managed , safe, energy efficient and of appropriate quality,

b to ensure that actual or potential tenants of social housing have an appropriate degree of choice and protection,

c to ensure that tenants of social housing have the opportunity to be involved in its management and to hold their landlords to account, ^F453...

ca to ensure that registered providers act in a transparent manner in relation to their tenants of social housing, and

d to encourage registered providers ^F455... to contribute to the environmental, social and economic well-being of the areas in which the housing is situated.

4 The objectives are referred to in this Part as the regulator's fundamental objectives.

5 The regulator must exercise its functions in a way that—

a minimises interference, and

b (so far as is possible) is proportionate, consistent, transparent and accountable.

Procedure etc.¶

92L Committees¶

1 The regulator may establish committees and sub-committees.

2 A committee or sub-committee may include non-members (provided that it includes at least one member).

3 The regulator may, with the consent of the Secretary of State, pay such remuneration and allowances as it thinks fit to any person who—

a is a member of a committee or sub-committee, but

b is not a member of the regulator.

92M Procedure¶

1 Subject to the provisions of this Part, the regulator may determine its own procedure and the procedure of any committee or sub-committee.

2 The regulator must make such arrangements as it thinks appropriate for publishing its procedure.

3 The validity of any proceedings is not affected by—

a any vacancy of the chair, chief executive or any other member,

b any defect in the appointment of the chair, chief executive or any other member, or

c any contravention of section 92P (members’ interests).

4 In this section “procedure” includes quorum.

92N Conflict of interest¶

1 The regulator’s procedure under section 92M must include arrangements for dealing with any conflict of interest of—

a members,

b members of staff, or

c members of committees or sub-committees.

2 The procedure must oblige a person—

a to declare any financial or other personal interest relevant to the exercise of a function of the regulator, and

b to withdraw from the performance of that function unless the regulator directs otherwise, being satisfied that the interest will not influence performance of the function.

92O Delegation¶

1 The regulator may delegate any of its functions to—

a a committee,

b a sub-committee,

c a member, or

d a member of staff.

2 A committee may further delegate to a sub-committee, a member of the regulator, or a member of staff.

92P Members’ interests¶

1 A member of the regulator who is directly or indirectly interested in any matter arising at a meeting of the regulator must disclose the nature of that interest to the meeting.

2 A member of a committee or sub-committee of the regulator who is directly or indirectly interested in any matter arising at a meeting of the committee or sub-committee must disclosure the nature of that interest to the meeting.

3 Where a member has disclosed an interest within subsection (1) or (2)—

a that member must not take part in any deliberation or decision about the matter if it is a contract or agreement of any description, but

b may otherwise take part in any deliberation or decision about the matter unless at least one-third of the other members at the meeting decide that the interests disclosed might prejudicially affect the member’s consideration of the matter.

4 The regulator must prepare and keep up to date a register of members’ interests of the interests disclosed under subsection (1) or (2).

5 The register required by subsection (4) must include the interests of—

a the members of the regulator, and

b all members of committees or sub-committees whether or not falling within paragraph (a).

92Q Seal¶

1 The application of the regulator’s seal must be authenticated by a member of the regulator or by some other person authorised (generally or specially) by the regulator for that purpose.

2 A document purporting to be duly executed under the seal—

a is to be received in evidence, and

b is to be treated as so executed unless the contrary is shown.

Powers¶

^I36^I41693 General¶

1 The regulator may do anything it thinks necessary or expedient for the purpose of or in connection with the performance of a function of the regulator.

2 In particular, the regulator may do anything it thinks appropriate for advancing its fundamental objectives.

^I49394 Studies¶

1 The regulator may carry out or commission studies designed to improve the economy, effectiveness and efficiency of registered providers.

2 The regulator may publish a report on a study.

^F3583 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

95 Financial assistance¶

^I37^I4941 The regulator may, where it thinks it advances a fundamental objective, give financial assistance to a person in connection with—

a undertaking research,

b preparing guidance,

c developing and publicising best practice, or

d facilitating the management of social housing by tenants.

^I37^I4942 Financial assistance under subsection (1) may be given—

a by way of grant,

b by way of loan,

c by defraying expenditure on behalf of a person, or

d in any other way except purchasing loan or share capital of a body corporate or giving a guarantee or indemnity.

^I4953 The regulator may, where it thinks it advances a fundamental objective, give financial assistance to a private registered provider by—

a lending money to or in respect of the registered provider, or

b giving a guarantee or indemnity in respect of the registered provider.

^I4954 Financial assistance may be given under subsection (3) only with the consent of the Secretary of State (given with the approval of the Treasury).

^I37^I4945 Financial assistance under subsection (1) or (3) may be given on conditions (which may include provision for repayment, with or without interest).

^I38^I49696 Evidence¶

In considering whether to exercise a power under this Part the regulator may have regard to information or opinions from any source including, in particular, from—

a tenants,

b bodies representing tenants,

c local housing authorities, or

d the Commission for Local Administration in England or a housing ombudsman.

96A Advisory panel¶

1 The regulator must establish a panel of persons called “the Advisory Panel”.

2 The Panel may provide information and advice to the regulator about, or on matters connected with, the regulator’s functions (whether or not it is requested to do so by the regulator).

3 The reference in subsection (2) to matters connected with the regulator’s functions includes anything which could have a significant impact on registered providers or the provision of social housing.

4 The regulator must appoint the following persons to the Panel—

a persons appearing to the regulator to represent the interests of—

i registered providers;

ii secured creditors of registered providers;

iii tenants of social housing;

iv local housing authorities,

b the Greater London Authority,

c the HCA, and

d the Secretary of State.

5 The regulator may appoint such other persons to the Panel as it thinks fit to appoint.

6 The regulator may make payments to persons who are members of the Panel in respect of any expenses they incur in connection with their appointment to the Panel.

7 The regulator must make arrangements requiring any person who is a member of the Panel to declare any financial or other personal interest relevant to the regulator’s functions.

^I39^I49797 Information, advice etc.¶

1 The regulator may for the purpose of advancing its fundamental objectives—

a publish ideas or information;

b undertake research in relation to social housing;

c provide guidance, advice, education or training.

2 The regulator may for that purpose—

a arrange for another person to do anything within subsection (1)(a) to (c);

b act jointly with, cooperate with or assist another person doing anything within subsection (1)(a) to (c).

3 The persons to whom advice may be given under subsection (1) include—

a unregistered housing associations (as defined by section 2B of the Housing Associations Act 1985 (c. 69)), and

b persons who may be forming a housing association (within the meaning of section 1(1) of that Act).

^I40^I49898 Tenant involvement¶

1 The regulator shall—

a promote awareness of the regulator's functions among tenants of social housing,

b where the regulator thinks it appropriate, consult them about the exercise of its functions (for example, by holding meetings), and

c where the regulator thinks it appropriate, involve them in the exercise of its functions (for example, by appointing them to committees or sub-committees).

2 The regulator shall from time to time publish a statement about how it proposes to comply with subsection (1).

3 Before publishing a statement the regulator must consult such persons as it thinks appropriate.

Money¶

^F21999 Remuneration¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

99A Remuneration¶

1 The regulator may pay to or in respect of appointed members—

a remuneration, and

b travelling and other allowances.

2 The Secretary of State must determine rates and eligibility criteria for payments under subsection (1).

3 If the Secretary of State considers that there are special circumstances that justify the payment of compensation to a person on ceasing to be an appointed member, the regulator may pay such compensation as is determined by the Secretary of State.

100^I41 Charging¶

1 The regulator may charge for giving advice, conducting research or providing other services.

^F3592 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

100A Assistance by Secretary of State¶

1 The Secretary of State may make payments to the regulator by way of grant or loan.

2 A grant or loan may be subject to conditions (which may include provision for repayment, with or without interest).

100B Borrowing¶

1 The regulator may borrow—

a by way of overdraft or otherwise, for the purpose of what it considers to be short-term management of its finances, or

b from the Secretary of State.

2 The regulator may not borrow otherwise.

100C Accounts¶

1 The regulator must keep proper accounts (and proper records of its accounts).

2 As soon as is reasonably practicable after the end of each financial year the regulator must prepare a statement of accounts in respect of that financial year.

3 The statement must be in such form as the Secretary of State may direct.

4 The regulator must, within such period as the Secretary of State may direct, send a copy of the statement to—

a the Secretary of State, and

b the Comptroller and Auditor General.

5 The Comptroller and Auditor General must—

a examine, certify and report on the statement, and

b send a copy of the certified statement and the report to the Secretary of State as soon as possible.

6 The Secretary of State must lay before Parliament a copy of each statement and report received under subsection (5).

100D Regulator’s annual report¶

1 The regulator must, as soon as is reasonably practicable after the end of each financial year, prepare an annual report in relation to how it has exercised its functions during that financial year.

2 The regulator must, within such period as the Secretary of State may direct, send a copy of the annual report to the Secretary of State.

3 The Secretary of State must lay a copy of each annual report before Parliament.

100E Financial year¶

1 The regulator’s financial year is each period of 12 months beginning with 1st April.

2 But the first financial year is the period—

a beginning with the day on which section 80A comes into force, and

b ending with the next 31st March.

Relationship with the HCA¶

100F Cooperation with the HCA¶

1 The regulator must, in the exercise of its functions, cooperate with the HCA.

2 The regulator must, in particular, consult the HCA on matters related to the HCA’s social housing functions.

100G Direction to the HCA¶

1 The regulator may direct the HCA not to give financial assistance to a specified registered provider—

a under section 19, and

b in connection with social housing.

2 A direction may be given if—

a the regulator has decided to hold an inquiry into the affairs of the registered provider under section 206 (and the inquiry is not concluded),

b an event mentioned in section 145(2) has occurred in relation to the registered provider, or

c the regulator has appointed an officer of the registered provider under section 269 (and the person appointed has not vacated office).

3 A direction may prohibit the HCA from giving assistance of a specified kind (whether or not in pursuance of a decision already taken and communicated to the registered provider).

4 A direction may not prohibit grants to a registered provider in respect of discounts given by the provider on disposals of dwellings to tenants.

5 A direction has effect until withdrawn.

Relationship with housing ombudsman¶

100H Relationship with housing ombudsman¶

1 The regulator and a housing ombudsman must each take such steps as it considers appropriate to co-operate in the exercise of their respective functions.

2 The regulator and a housing ombudsman must prepare and maintain a memorandum describing how they intend to comply with subsection (1).

3 The regulator and a housing ombudsman must ensure that the memorandum between them as currently in force is published in the way appearing to them to be best calculated to bring it to the attention of the public.

^F220101 Assistance by Secretary of State¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F221102 Borrowing¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F222103 Accounts¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F223104 Financial year¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Relationship with other bodies¶

^F224105 Cooperation with the HCA¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F225106 Direction to the HCA¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F408106A Cooperation with the Audit Commission¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Information¶

^I499107 Collection¶

1 The regulator, or a person authorised under subsection (4A), may for a purpose connected with the regulator’s functions require a person to provide documents or information which the regulator or person authorised (as the case may be) has reason to believe is or may be in the person’s possession.

^F6022 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2A A requirement under subsection (1) may also require the person to provide an explanation of any document or information required under that subsection.

3 A requirement under subsection (1) may specify—

a the form and manner in which a document, information or an explanation is to be provided (which may include the provision of a legible copy of information stored electronically);

b when and where it is to be provided.

4 The regulator may copy or record documents, information or explanations provided.

4A The regulator may in writing authorise a person to exercise any of its powers under this section.

4B An authorisation—

a must specify the extent to which the person is authorised to exercise the powers, and

b may provide that the person is to be authorised for a particular period.

5 Failure to comply with a requirement under subsection (1) without reasonable excuse is an offence.

6 Intentionally altering, suppressing or destroying a document or information required under subsection (1) is an offence.

6A Knowingly or recklessly providing the regulator, or a person authorised under subsection (4A), with a document, information or an explanation which is false or misleading in purported compliance with a requirement under subsection (1) is an offence.

7 If a person fails to comply with a requirement under subsection (1) the High Court may, on an application by the regulator, make an order for the purpose of remedying the failure.

^I500108 Section 107: supplemental¶

1 A requirement under section 107(1) does not require a person to disclose anything which the person would be entitled to refuse to disclose on grounds of legal professional privilege in proceedings in the High Court.

2 A requirement under section 107(1) does not require a banker to breach a duty of confidentiality owed to a person who is not—

a a registered provider,

b a subsidiary of a registered provider,

c an associate of a registered provider, or

d a person who is certified in writing by the regulator as being—

i a person who has applied to be entered in the register of providers of social housing, or

ii a local authority which the regulator thinks may be, or may become, a provider of social housing.

3 A person guilty of an offence under section 107(5) is liable on summary conviction to a fine ^F484....

4 A person guilty of an offence under section 107(6) or (6A) is liable—

a on summary conviction, to a fine ^F485...;

b on conviction on indictment, to—

i imprisonment for a term not exceeding two years,

ii a fine, or

iii both.

5 Proceedings for an offence under section 107(5) , (6) or (6A) may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

6 An order under section 107(7) may include provision about costs.

^I501109 Disclosure¶

1 A public authority may disclose information to the regulator if the authority thinks that the disclosure is necessary for a purpose connected with the regulator's functions.

2 The regulator may disclose information to a public authority if the regulator thinks that the disclosure is necessary—

a for a purpose connected with the regulator's functions, or

b for a purpose connected with the authority's functions.

3 The regulator may disclose information to a person acting on its behalf for a purpose connected with the regulator's functions.

4 A disclosure may be subject to restrictions on further disclosure.

5 The power to disclose information under this section is subject to any express restriction on disclosure imposed by another enactment (ignoring any restriction which allows disclosure if authorised by an enactment).

6 Disclosure in contravention of a restriction under subsection (4) is an offence.

7 A person guilty of an offence is liable on summary conviction to a fine not exceeding level 3 on the standard scale.

8 “Public authority” means a person having functions of a public nature (whether or not in the United Kingdom).

Chapter 3 Registration¶

Introduction¶

^I502110 Overview¶

This Chapter provides for the establishment of a register of providers of social housing.

^I503111 The register¶

1 The regulator shall maintain a register of providers of social housing.

2 The regulator shall make the register available for inspection by the public.

Eligibility¶

112 Eligibility for voluntary registration¶

1 A body is eligible for registration if—

a it is an English body, and

b it satisfies the following conditions.

^I5042 Condition 1 is that the body—

a is a provider of social housing in England, or

b intends to become a provider of social housing in England.

^I42^I5053 Condition 2 is that the body satisfies any relevant criteria set by the regulator ^F461...—

a as to its financial situation,

b as to its constitution, ^F464...

c as to other arrangements for its management , and

d to secure that the body would meet, on registration, standards set by the regulator under sections 193, 194, 194A and 194C.

^I42^I5054 Before setting criteria the regulator must consult—

^F193a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa the Greater London Authority,

b one or more bodies appearing to it to represent the interests of private registered providers,

ba any body for the time being nominated under section 278A,and

c one or more other bodies appearing to it to represent the interests of tenants.

^F4685 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F545113 Section 112: exceptions¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I43^I456114 Registration of local authorities¶

^F4901 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2 The Secretary of State may by order require or permit the regulator to register—

a a specified local authority, or

b a specified class of local authority.

3 Registration under subsection (2)—

a takes effect in accordance with any provision of the order about timing or other procedural or incidental matters, and

b does not require an application for registration, ^F493...

^F494c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4 If the Secretary of State thinks it necessary or desirable in connection with the registration of local authorities, the Secretary of State may by order—

a provide for a provision of this Part or any other enactment not to apply in relation to registered local authorities;

b provide for a provision of this Part or any other enactment to apply with specified modifications in relation to registered local authorities;

c amend a provision of this Part or any other enactment.

5 In this section—

^F495a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b “registered local authorities” means authorities or persons who are registered, registrable or to be registered as a result of an order under subsection ^F496... (2) above.

6 Before making an order under this section the Secretary of State shall consult—

a any authority or person likely to be affected by it, and

b such other persons as the Secretary of State thinks fit.

114A Local authorities: duty to notify¶

1 A local authority ^F550... which is not subject to compulsory registration must notify the regulator as soon as it becomes subject to compulsory registration.

2 For these purposes, an authority is subject to compulsory registration if—

a it is a provider of social housing, or

b it intends to become a provider of social housing.

^I506115 Profit-making and non-profit organisations¶

1 Each entry in the register shall designate the body registered as either—

a a non-profit organisation, or

b a profit-making organisation.

^F6162 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

3 A body is a non-profit organisation if—

a it is a registered or non-registrable charity and satisfies Conditions 1 and 2, or

b otherwise, it satisfies Conditions 1 to 3.

4 Condition 1 is that the body—

a does not trade for profit, ^F618...

^F619b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5 Condition 2 is that a purpose of the body is the provision or management of housing.

6 Condition 3 is that any other purposes of the body are connected with or incidental to the provision of housing.

6A The fact that a body is prohibited by its constitution from trading for profit does not, of itself, mean that it is a body which does not trade for profit for the purposes of subsection (4)(a).

7 The Secretary of State may make regulations providing that a specified purpose is to be, or not to be, treated as connected with or incidental to the provision of housing.

8 A body which is not a non-profit organisation under subsection ^F621... (3) is a profit-making organisation.

9 If the regulator thinks that what was a profit-making organisation has become a non-profit organisation or vice versa, the regulator must change the registered designation accordingly and notify the body it has done so.

10 Subsection (1) does not apply to the entry of a local authority in the register (and, accordingly, references to “profit-making” and “non-profit” in connection with a registered provider do not refer to a local authority).

Procedure¶

116 Entry in the register: voluntary registration¶

^I5071 The regulator shall register anyone who—

a is eligible for registration under section 112(1), and

b applies to be registered.

2^I44 The regulator may make provision about—

a the form of an application;

b the information to be contained in it or provided with it;

c the manner in which an application is to submitted;

d the consequences of failure to comply with provision under paragraphs (a) to (c).

2A The regulator must notify a body of the outcome of its application.

^I5073 This section is subject to section 117 (fees).

^I5074 Once entered in the register under this section a body remains registered unless and until removed under section 118 or 119.

^I5075 It shall be presumed for all purposes that a person entered in the register under this section is eligible for registration while the registration lasts (irrespective of whether and why the person is later removed from the register).

6 This section deals with voluntary registration; for the registration of local authorities, see section 114.

^I45 ^I508 117 Fees¶

1 The regulator may charge—

a a fee for dealing with an application for initial registration, and

b an annual fee for continued registration.

1A The regulator may make dealing with an application for initial registration conditional upon the payment of the fee.

2 Except in the case of a local authority, the regulator may make ^F624... continued registration conditional upon payment of the fee.

3 The regulator shall—

a prescribe the amount of a fee, and

b make provision about the periods during which and in respect of which annual fees are payable.

4 The regulator may set different fees, and make different provision, for different cases or circumstances.

4A The amount of a fee payable under this section may be calculated by reference to costs incurred, or likely to be incurred, by the regulator in the performance of any of its functions, including costs unconnected with the fee-payer and costs unconnected with registration or regulation under this Part.

5 Fees must be set in accordance with principles which the regulator prepares and publishes and which are designed to ensure that so far as is reasonably practicable—

a fee income matches the costs incurred in the performance of the regulator's functions,

b ^F627... and

c actual or potential registered providers can see the relationship between the amount of a fee and the costs incurred, or likely to be incurred, in the performance of the regulator’s functions.

6 The principles—

a shall provide for section 95(3) to be disregarded for the purpose of subsection (5)(a), and

b may provide for specified expenditure or potential expenditure under section 95 or otherwise to be disregarded for the purpose of subsection (5)(a).

7 Principles do not have effect until approved by the Secretary of State.

8 In preparing (or revising) the principles the regulator shall consult persons appearing to the regulator to represent the interests of fee-payers.

9 The regulator’s accounts shall show—

a fees received, and

b fees outstanding.

^F36210 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I509118 De-registration: compulsory¶

1 The regulator may remove from the register a private registered provider which the regulator thinks—

a is no longer eligible for registration,

aa has failed to meet a standard under section 193, 194 or 194C,

b has ceased to carry out activities, or

c has ceased to exist.

2 Before acting under subsection (1)(a), (aa) or (b) the regulator must—

a give the private registered provider a notice—

i warning the provider that the regulator is considering action under the provision concerned, and

ii specifying a period (which must be at least 14 days beginning with the day the provider receives the notice) within which the provider may make representations, and

b consider any representations made during that period.

3 The regulator must notify a private registered provider of a decision to remove it from the register under subsection (1)(a), (aa) or (b).

4 The regulator shall remove a local authority from the register if the regulator becomes aware that the authority—

a is no longer a provider of social housing, or

b no longer intends to become a provider of social housing (in the case of an authority which intended to become one but did not in fact do so).

119 De-registration: voluntary¶

^I5101 A private registered provider may ask the regulator to remove it from the register.

^I46^I5112 The regulator may comply with a request—

a on the grounds that the registered provider no longer is or intends to be a provider of social housing in England,

b on the grounds that the registered provider is subject to regulation by another authority whose control is likely to be sufficient, or

c on the grounds that the registered provider meets any relevant criteria for de-registration set by the regulator.

^I5103 Before deciding whether or not to comply, the regulator must consult such local authorities in whose area the registered provider acts as it thinks appropriate.

^I5104 The regulator shall not comply with a request by a non-profit registered provider if it thinks that removal is sought with a view to enabling the registered provider to distribute assets to members.

^I5105 In deciding whether or not to comply, the regulator must (in particular) have regard to—

^F291a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b any conditions imposed in connection with financial assistance given to the registered provider under any enactment.

^I5106 Having decided whether or not to remove the registered provider the regulator must notify—

a the provider, and

b any authority consulted.

^I46^I5117 The regulator shall publish criteria set for the purposes of subsection (2)(c).

^I512120 Notice¶

1 As soon as is reasonably practicable after registering or de-registering a body the regulator shall notify—

a in the case of a registered charity, the Charity Commission,

b in the case of a registered society, the Financial Conduct Authority, ^F33...

c in the case of a registered company (whether or not also a registered charity) or a limited liability partnership, the registrar of companies for England and Wales , and

d in the case of a local authority, the Secretary of State.

2 Except in the case of a local authority, a notice of registration shall specify whether the person registered is designated as a non-profit or profit-making organisation.

3 If the designation changes, the regulator shall notify any person notified of the registration.

4 A person to whom notice is given under this section must keep a record of it.

^I513121 Appeal¶

1 A body may appeal to the High Court against a decision of the regulator—

a to refuse to register it,

b to de-register it under section 118(1), ^F475...

c to refuse to de-register it,

d to designate it as a non-profit organisation or as a profit-making organisation (as the case may be), or

e to change its registered designation.

1A An appeal under this section must be brought within the period of 28 days beginning with the day on which the body is notified of the decision it is appealing.

2 The regulator shall not de-register a body during the appeal period.

2A The “appeal period” means—

a where an appeal is brought, the period beginning with the day on which notice of the decision appealed against is given and ending with the day on which the appeal is finally determined or withdrawn, and

b otherwise, the period during which an appeal could be brought.

2B Subsections (1A) to (2A) do not apply to a decision of the regulator to de-register a body under section 118(1)(c).

3 The Secretary of State may by order provide for the First-tier Tribunal to have jurisdiction under this section instead of the High Court.

Chapter 4 Registered providers¶

General provisions¶

^I514122 Payments to members etc.¶

1 This section restricts the making of gifts, and the payment of dividends and bonuses, by a non-profit registered provider to—

a a member or former member of the registered provider,

b a member of the family of a member or former member,

c a company which has as a director a person within paragraph (a) or (b).

2 A gift may be made, and a dividend or bonus may be paid, only if it falls within one of the following permitted classes.

3 Class 1 is payments which—

a are in accordance with the constitution of the registered provider, and

b are due as interest on capital lent to the provider or subscribed in its shares.

4 Class 2 is payments which—

a are paid by a fully mutual housing association (within the meaning of section 1(2) of the Housing Associations Act 1985 (c. 69)),

b are paid to former members of the association, and

c are due under—

i tenancy agreements with the association, or

ii agreements under which the former members became members of the association.

5 Class 3 is payments which—

a are in accordance with the constitution of the registered provider making the payment (“the payer”), and

b are made to a registered provider which is a subsidiary or associate of the payer.

5A Class 4 is payments which—

a are in accordance with the constitution of the registered provider,

b are paid for the benefit of tenants of the provider, and

c are in any particular case paid to assist the tenant to obtain other accommodation by acquiring a freehold, or long-leasehold, interest in a dwelling.

5B For the purposes of subsection (5A)—

“ long-leasehold interest ”, in relation to a dwelling, means the lessee's interest under a lease of the dwelling granted, for a premium, for a term certain exceeding 21 years;
“ acquiring ”, in relation to a long-leasehold interest in a dwelling, includes acquiring by grant and acquiring by assignment.

6 If a registered provider contravenes this section—

a it may recover the wrongful gift or payment as a debt from the recipient, and

b the regulator may require it to take action to recover the gift or payment.

7 The Secretary of State may by order amend this section for the purpose of—

a adding to the permitted classes, or

b modifying or removing a permitted class added by order under this subsection.

8 Before making an order under subsection (7), the Secretary of State must consult—

a the Charity Commission,

b the regulator, and

c one or more bodies appearing to the Secretary of State to represent the interests of registered providers.

^I515123 Disposal of property¶

Chapter 5 makes provision about disposal of property by private registered providers.

^I516124 Complaints¶

1 In section 51 of, and Schedule 2 to, the Housing Act 1996 (c. 52) (schemes for investigation of complaints by housing ombudsmen) for “Relevant Authority”, wherever appearing, substitute “ Regulator of Social Housing ”.

2 In section 51 of that Act—

a for subsection (2)(a) substitute—

b in subsection (2)(d) after “registered with” insert “ the Regulator of Social Housing or ”, and

c at the end add—

3 In paragraph 6(2) of Schedule 2 to that Act (grants) for “Housing Corporation”, in both places, substitute “ Regulator of Social Housing ”.

4 In paragraph 11(4) of Schedule 2 to that Act, omit—

a “or the Housing Corporation”, and

b “or, as the case may be, the Housing Corporation”.

5 At the end of Schedule 2 to that Act add—

^I517125 Voluntary undertaking¶

1 A registered provider may give the regulator an undertaking in respect of any matter concerning social housing.

2 The regulator may prescribe a procedure to be followed in giving an undertaking.

3 In exercising a power under Chapter 6 or 7 the regulator must have regard to any undertaking offered or given.

4 The regulator may found a decision about whether to exercise a power under Chapter 6 or 7 wholly or partly on the extent to which an undertaking has been honoured.

^F407126 Sustainable community strategies¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Health and safety lead for registered provider¶

126A Designation of health and safety lead¶

1 A registered provider must designate an individual to carry out the functions in section 126B.

2 The individual designated under subsection (1) is referred to in this Part as the “health and safety lead” for the registered provider.

3 The health and safety lead must be—

a in the case of a private registered provider—

i if the provider has at least 15 employees, an employee of the provider;

ii otherwise, an employee or officer of the provider;

b in the case of a local authority which operates executive arrangements and has a leader and cabinet executive (England)—

i the executive leader,

ii another member of the executive, or

iii an employee of the authority;

c in the case of a local authority which operates executive arrangements and has a mayor and cabinet executive—

i a member of the executive other than the elected mayor, or

ii an employee of the authority;

d in the case of the Common Council of the City of London, an employee of the Common Council;

e in the case of any other local authority—

i the chairman or vice-chairman of the authority (if holding a paid office), or

ii an employee of the authority.

4 In this section and section 126B, the following terms have the same meanings as in Part 1A of the Local Government Act 2000 (and see the provisions of that Act mentioned)—

“elected mayor” (section 9H(1));
“executive” (section 9C);
“executive arrangements” (section 9B(4));
“executive leader” (section 9C(3)(a));
“leader and cabinet executive (England)” (section 9C(3));
“mayor and cabinet executive” (section 9C(2)).

5 For the purposes of subsection (3)(e)(i)—

a the references to the chairman and vice-chairman of an authority are to those persons elected under section 3 or 5 of the Local Government Act 1972 (or in relation to a London borough council are to be read in accordance with section 270(4) of that Act);

b a chairman or vice-chairman holds a “paid office” if the council pays the person an allowance.

6 The Secretary of State may by regulations amend this section to alter who may be the health and safety lead for a registered provider.

126B Functions of the health and safety lead¶

1 The functions of the health and safety lead for a registered provider are to—

a monitor the provider’s compliance with health and safety requirements;

b assess risks of failure to comply with health and safety requirements;

c notify the responsible body of the provider of—

i risks assessed under paragraph (b) of material failures by the provider to comply with health and safety requirements;

ii material failures by the provider to comply with health and safety requirements;

d provide advice to the responsible body as to how the provider should address risks and failures notified to the responsible body under paragraph (c) for the purpose of ensuring that the provider complies with health and safety requirements.

2 In this Part, “health and safety requirement”, in relation to a registered provider, means a statutory requirement, so far as it—

a relates to the health or safety of tenants of social housing, and

b applies to the provider by virtue of being the provider of that social housing (including where it is expressed as applying to a landlord or employer or in some other way).

3 In this section, “statutory requirement” means a requirement imposed by or by virtue of legislation and includes—

a an obligation under a covenant implied by or under legislation (such as a covenant under section 9A of the Landlord and Tenant Act 1985 (fitness for human habitation of dwellings in England));

b a requirement imposed—

i by a notice given under legislation, or

ii by or as a result of other action (such as enforcement action mentioned in section 5(2) or 7(2) of the Housing Act 2004 (housing conditions: category 1 and 2 hazards)) taken under legislation.

4 In subsection (3), “legislation” means any provision of or made under—

a an Act of Parliament, or

b a Measure or Act of Senedd Cymru.

5 For the purposes of this section, the “responsible body” of a registered provider—

a in the case of a local authority which operates executive arrangements, is the executive;

b in the case of any other local authority, is the councillors;

c in the case of a private registered provider, has the meaning given by the following table—

Private registered provider	Meaning of “responsible body”
Registered charity which is not a registered company	Its charity trustees within the meaning given by section 177 of the Charities Act 2011
Registered society	Its committee within the meaning given by section 149 of the Co-operative and Community Benefit Societies Act 2014
Registered company	Its directors within the meaning given by section 250 of the Companies Act 2006
Limited liability partnership	Its members

(See section 126A(4) for the meanings of terms used in paragraph (a).)

126C Duties of registered provider in relation to health and safety lead¶

1 A registered provider must—

a ensure that the health and safety lead—

i has sufficient authority (including, in particular, authority to obtain information) within the provider’s organisation, and

ii can devote sufficient time to the functions of the health and safety lead,

to perform the role of health and safety lead effectively;

b provide the health and safety lead with the resources needed to carry out those functions.

2 A registered provider must, in accordance with requirements published by the regulator—

a notify the regulator of the name and contact details of the health and safety lead, and

b publish that information.

126D Health and safety lead: general¶

1 Nothing in sections 126A to 126C affects—

a the responsibility of a registered provider for compliance with health and safety requirements, or

b the liability of the registered provider or of any director, member or other officer or person for a failure to comply with health and safety requirements.

2 The health and safety lead is not, by virtue of those sections—

a responsible for the registered provider’s compliance with health and safety requirements, or

b liable for a failure by the registered provider to comply with health and safety requirements,

(but this does not affect any responsibility or liability which the individual designated under section 126A has otherwise than as health and safety lead).

3 A registered provider may nominate an individual to carry out the functions of the health and safety lead if the health and safety lead is unable to act due to absence or illness.

Accounts¶

127 Directions¶

^I5181 The regulator may give directions to private registered providers about the preparation of their accounts.

^I5182 A direction may be given to a profit-making registered provider only in so far as its accounts relate to social housing activities.

^I5183 The power must be exercised with a view to ensuring that accounts—

a are prepared in proper form, and

b present a true and fair view of—

i the state of affairs of each registered provider in relation to its social housing activities, and

ii the disposition of funds and assets which are, or have been, in its hands in connection with those activities.

^I5184 A direction may require a registered charity to use a specified method for distinguishing in its accounts between—

a matters relating to its social housing activities, and

b other matters.

^I5185 A direction—

a may make provision that applies generally or only to specified cases, circumstances or registered providers, and

b may make different provision for different cases, circumstances or registered providers.

^I47^I5196 A direction that relates to more than one registered provider may be given only after consulting one or more bodies appearing to the regulator to represent the interests of private registered providers.

^I5187 The regulator shall make arrangements for bringing a direction to the attention of every registered provider to which it applies.

^I520128 Submission to regulator¶

1 Each private registered provider shall send a copy of its accounts to the regulator within the period of 6 months beginning with the end of the period to which the accounts relate.

2 The accounts must be accompanied by—

a an auditor's report, or

b in the case of accounts that by virtue of an enactment are not subject to audit, any report that is required to be prepared in respect of the accounts by virtue of an enactment.

3 The report must specify whether the accounts comply with any relevant directions under section 127.

4 Each local authority which is a registered provider shall send copies of the following documents to the regulator so far as they relate to the provision of social housing—

a any report under paragraph 1 of Schedule 7 to the Local Audit and Accountability Act 2014 (public interest reports) in relation to its accounts;

b its audited accounts, accompanied by any report made under that section at the conclusion of the audit.

5 The local authority shall send the copies to the regulator as soon as the authority receives them.

^I521129 Companies or limited liability partnerships exempt from audit¶

1 This section applies in relation to a registered provider which—

a is a registered company other than a charity or is a limited liability partnership, and

b is exempt from the audit requirements of the Companies Act 2006 (c. 46) by virtue of section 477 of that Act (small companies' exemption).

2 The directors of the company or members of the limited liability partnership shall cause a report to be prepared in accordance with section 130 and made to the registered provider’s members in respect of the registered provider’s individual accounts for any year in which the registered provider takes advantage of its exemption from audit.

3 “Individual accounts” means accounts prepared in accordance with section 396 of the Companies Act 2006.

^I522130 Exempt companies or limited liability partnerships: accountant's report¶

1 The report required by section 129 must be prepared by a person (“the reporting accountant”) who is eligible under section 131.

2 The report must state whether the individual accounts are in accordance with the registered provider’s accounting records kept under section 386 of the Companies Act 2006.

3 On the basis of the information contained in the accounting records the report must also state whether—

a the accounts comply with Part 15 of the Companies Act 2006;

b the registered provider is entitled to exemption from audit under section 477 of that Act (small companies' exemption) for the year in question.

4 The report must give the name of the reporting accountant and be signed and dated.

5 The report must be signed—

a where the reporting accountant is an individual, by that individual, and

b where the reporting accountant is a firm, for and on behalf of the firm by an individual authorised to do so.

6 In this section and sections 131 and 132—

“firm” means any entity, whether or not a legal person, that is not an individual and includes a body corporate, a corporation sole and a partnership or other unincorporated association;
“body corporate” includes a body incorporated outside the United Kingdom.

131 Exempt companies or limited liability partnerships: reporting accountant¶

^I5231 A person is eligible for appointment by a registered provider as a reporting accountant under section 130 if—

a either of the following conditions is satisfied, and

b the person would not be prohibited from acting as auditor of the registered provider by virtue of section 1214 of the Companies Act 2006 (c. 46).

^I5232 Condition 1 is satisfied if the person is a member of a body listed in subsection (4) and under its rules—

a the person is entitled to engage in public practice, and

b is not ineligible for appointment as a reporting accountant.

^I5233 Condition 2 is satisfied if the person—

a is subject to the rules of a body listed in subsection (4) in seeking appointment or acting as a statutory auditor under Part 42 of the Companies Act 2006, and

b under those rules, is eligible for appointment as a statutory auditor under that Part.

^I5234 The bodies mentioned in subsections (2) and (3) are—

a the Institute of Chartered Accountants in England and Wales,

b the Institute of Chartered Accountants of Scotland,

c the Institute of Chartered Accountants in Ireland,

d the Association of Chartered Certified Accountants,

e the Association of Authorised Public Accountants,

f the Association of Accounting Technicians,

g the Association of International Accountants,

h the Chartered Institute of Management Accountants, and

i the Institute of Chartered Secretaries and Administrators.

5^I48 The Secretary of State may by order amend the list of bodies in subsection (4).

^I5236 References in this section to the rules of a body are to rules (whether or not laid down by the body itself) which the body has power to enforce and which are relevant for the purposes of Part 42 of the Companies Act 2006 (statutory auditors) or this section; and this includes rules relating to the admission and expulsion of members of the body so far as relevant for the purposes of that Part or this section.

^I5237 An individual or a firm may be appointed as a reporting accountant; and section 1216 of the Companies Act 2006 applies to the appointment of a partnership constituted under the law of—

a England and Wales,

b Northern Ireland, or

c any other country or territory in which a partnership is not a legal person.

^I524132 Application of Companies Act¶

1 The provisions of the Companies Act 2006 listed in subsection (2) apply to the reporting accountant and a reporting accountant's report as they apply to an auditor of the registered provider and an auditor's report on the registered provider’s accounts (with any necessary modifications).

2 The provisions are—

a sections 423 to 425 (duty to circulate copies of annual accounts),

b sections 431 and 432 (right of member or debenture holder to demand copies of accounts),

c sections 434 to 436 (requirements in connection with publication of accounts),

d sections 441 to 444A (duty to file accounts with registrar of companies),

e section 454 and regulations made under that section (revised accounts and reports),

f sections 499 to 502 (auditor's right to information), and

g sections 505 and 506 (name of auditor to be stated in published copies of report).

3 In sections 505 and 506 as they apply by virtue of this section in a case where the reporting accountant is a firm, any reference to the senior statutory auditor shall be read as a reference to the person who signed the report on behalf of the firm.

^I525133 Exempt companies or limited liability partnerships: extraordinary audit¶

1 This section applies where, in accordance with section 129, a registered provider appoints a reporting accountant to prepare a report in respect of its accounts for any year.

2 The regulator may require the registered provider to—

a cause a qualified auditor to audit its accounts and balance sheet for that year, and

b send a copy of the report to the regulator by a specified date.

3 A requirement may not be imposed before the end of the financial year to which it relates.

4 “Qualified auditor”, in relation to a registered provider, means a person who—

a is eligible for appointment as a statutory auditor of the registered provider under Part 42 of the Companies Act 2006 (c. 46) (statutory auditors), and

b is not prohibited from acting as statutory auditor of the registered provider by virtue of section 1214 of that Act (independence requirement).

^I526134 Non-audited registered society¶

1 This section applies to a registered provider which is a registered society.

2 Section 85 of the Co-operative and Community Benefit Societies Act 2014 (“ the 2014 Act ”) (duty to obtain accountant's report) applies to the society as if subsection (1)(b) were omitted (accountant's report required only where turnover exceeds specified sum).

3 The regulator may require the society to—

a appoint a qualified auditor to audit the society's accounts and balance sheet for any year of account in respect of which section 83 of the 2014 Act (duty to appoint auditors) did not apply because of a resolution under section 84 of that Act (power to disapply auditing requirements),

b send a copy of the auditor's report to the regulator by a specified date.

4 A requirement under subsection (3) may be imposed only during the year of account following the year to which the accounts relate.

5 Qualified auditor” and “year of account” have the same meaning as in Part 7 of the 2014 Act (for “year of account” see sections 77 and 78 of that Act).

^I527135 Charity¶

1 This section applies to a ^F558... registered provider which is a registered charity.

2 The charity shall—

a keep proper accounting records of its transactions and its assets and liabilities in relation to its housing activities, and

b maintain a satisfactory system of control of those records, its cash holdings and its receipts and remittances in relation to those activities.

3 For each period of account the charity shall prepare—

a a revenue account giving a true and fair view of the charity's income and expenditure during the period, so far as relating to its housing activities, and

b a balance sheet giving a true and fair view of the state of affairs of the charity as at the end of the period.

4 The revenue account and balance sheet must be signed by at least two directors or trustees.

5 “Period of account” means—

a a period of 12 months, or

b such other period not less than 6 months nor more than 18 as the charity may, with the consent of the regulator, determine.

6 This section does not affect any obligation under Part 8 of the Charities Act 2011.

^I528136 Charity: audit¶

1 This section applies in relation to the accounts of a charity under section 135(3).

2 If Condition 1 or 2 is met, the charity shall cause a qualified person to audit the accounts and report on them in accordance with section 137.

3 If neither Condition is met, the charity shall cause a qualified person (“the reporting accountant”) to report on the accounts in accordance with section 138.

4 Condition 1 is met if the accounts relate to a period during which the charity's gross income arising in connection with its housing activities was greater than the sum specified in section 144(1)(a) of the Charities Act 2011.

5 Condition 2 is met if—

a the accounts relate to a period during which the charity's gross income arising in connection with its housing activities was greater than the accounts threshold as defined by section 144(1) of the Charities Act 2011, and

b at the end of the period the aggregate value of its assets (before deduction of liabilities) in respect of its housing activities was greater than the sum specified in section 144(1)(b).

6 “Gross income” has the same meaning as in section 144 of the Charities Act 2011.

7 “Qualified person” means a person professionally qualified as an accountant.

^I529137 Charity: auditor's report¶

1 An auditor appointed for the purposes of section 136(2) or 139(2) in respect of a charity's accounts shall make a report to the charity in accordance with this section.

2 The report must state—

a whether the revenue account gives a true and fair view of the charity's income and expenditure, so far as relating to its housing activities, and

b whether the balance sheet gives a true and fair view of the state of affairs of the charity as at the end of the period to which the accounts relate.

3 The report must give the name of the auditor and be signed.

4 The auditor shall, in preparing the report, carry out such investigations as are necessary to form an opinion as to—

a whether the charity has complied with section 135(2) during the period to which the accounts relate, and

b whether the accounts are in accordance with accounting records kept under section 135(2)(a).

5 If the auditor thinks that the charity has not complied section 135(2) or that the accounts are not in accordance with its accounting records, that must be stated in the report.

6 If the auditor fails to obtain all the information and explanations which the auditor thinks necessary for the purposes of the audit, that must be stated in the report.

^I530138 Charity: accountant's report¶

1 A reporting accountant appointed for the purposes of section 136(3) in respect of a charity's accounts shall make a report to the charity in accordance with this section.

2 The report must state whether the accounts are in accordance with accounting records kept under section 135(2)(a).

3 On the basis of the information in the accounting records the report must also state whether—

a the accounts comply with the requirements of the Charities Act 2011;

b section 136(3) applied in respect of the accounts.

4 The report must give the name of the reporting accountant and be signed.

5 If the reporting accountant fails to obtain all the information and explanations which the reporting accountant thinks necessary for the purposes of preparing the report, that must be stated in the report.

^I531139 Charity: extraordinary audit¶

1 This section applies where, in accordance with section 136(3), a charity appoints a reporting accountant to prepare a report in respect of any accounts.

2 The regulator may require the charity to—

a cause a qualified person to audit the accounts and prepare a report on them in accordance with section 137, and

b send a copy of the report to the regulator by a specified date.

3 A requirement under subsection (2) may be imposed only during the period of account following the period to which the accounts relate.

4 In this section—

“period of account” has the meaning given by section 135(5), and
“qualified person” has the meaning given by section 136(7).

^I532140 Charity: auditor's powers¶

1 This section applies to a person who is appointed by a charity for the purposes of section 136(2) or (3) or 139(2).

2 The charity must grant the person access to its documents, if or in so far as they relate to its housing activities.

3 An officer of the charity must provide such information or explanations as the person thinks necessary.

^I533141 Offences¶

1 A private registered provider commits an offence if it fails, without reasonable excuse, to comply with—

a a direction under section 127,

b a provision listed in subsection (2), or

c a requirement imposed under a provision listed in subsection (3).

2 The provisions referred to in subsection (1)(b) are—

a section 128;

b section 129;

c section 135;

d section 136.

3 The provisions referred to in subsection (1)(c) are—

a section 133;

b section 134;

c section 139.

4 If a private registered provider fails to comply with a direction, provision or requirement mentioned in subsection (1) every officer of the private registered provider is guilty of an offence.

5 It is a defence for an officer to show that the officer did everything that could reasonably have been expected to ensure compliance by the private registered provider.

6 A person guilty of an offence under this section is liable on summary conviction to a fine ^F559....

7 Proceedings for an offence may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

^I534142 High Court¶

1 If a private registered provider fails to comply with a direction, provision or requirement mentioned in section 141(1), the High Court may on the application of the regulator make an order for the purpose of remedying the failure.

2 An order may include provision about costs.

^I535143 Disclosure¶

1 This section applies to information that a person has received while acting—

a as auditor of a private registered provider, or

b as a reporting accountant in relation to a private registered provider.

2 The person may disclose the information to the regulator for a purpose connected with the regulator's functions—

a despite any duty of confidentiality, and

b whether or not the regulator requests the information.

3 The reference to disclosing information includes expressing an opinion on it.

4 “Reporting accountant” means a person who is appointed to prepare a report which, by virtue of any enactment, has to be prepared in respect of accounts that are not subject to audit.

Insolvency etc.¶

143A Application of rules about insolvency¶

This group of sections does not apply to local authorities.

^F328144 Preparatory steps: notice¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

145 Moratorium¶

1 A moratorium on the disposal of land by a private registered provider begins when any of the events mentioned in subsection (2) occur in relation to the provider.

2 The events are—

a a petition is presented under section 124 of the Insolvency Act 1986, by a person other than the Secretary of State, for the winding up of the provider;

b an application is made by the provider under section 105(3) of the Housing and Planning Act 2016 for permission to pass a resolution for voluntary winding up;

c an application is made in accordance with paragraph 12 of Schedule B1 to the Insolvency Act 1986, by a person other than the Secretary of State, for an administration order in respect of the provider;

d a notice of the appointment of an administrator of the provider under paragraph 14 or 22 of Schedule B1 to the Insolvency Act 1986 is filed with the court under paragraph 18 or 29 of that Schedule;

e notice of intention to enforce a security over property of the provider is given under section 108(2)(a) of the Housing and Planning Act 2016 or the requirement to give such notice is waived under section 108(2)(b) of that Act.

^I536146 Ending of moratorium¶

^F6471 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2 The moratorium mentioned in section 145 ends when one of the following occurs—

a the expiry of the relevant period,

b the making of a housing administration order under Chapter 5 of Part 4 of the Housing and Planning Act 2016 in relation to the registered provider, or

c the cancellation of the moratorium (see subsection (5)).

2A The “relevant period” is—

a the period of 28 days beginning with the relevant day, plus

b any period by which that period is extended under subsection (3).

2B The “relevant day” is—

a in the case of an event mentioned in section 145(2)(a), the day on which notice under section 104(2)(a) of the Housing and Planning Act 2016 is given or on which the requirement to give such notice is waived under section 104(2)(b) of that Act;

b in the case of an event mentioned in section 145(2)(b), the day on which notice under section 105(4)(a) of the Housing and Planning Act 2016 is given or on which the requirement to give such notice is waived under section 105(4)(b) of that Act;

c in the case of an event mentioned in section 145(2)(c), the day on which notice under section 106(3)(a)(i) of the Housing and Planning Act 2016 is given or on which the requirement to give such notice is waived under section 106(3)(a)(ii) of that Act;

d in the case of an event mentioned in section 145(2)(d), the day on which notice under section 107(4)(a)(i) of the Housing and Planning Act 2016 is given or on which the requirement to give such notice is waived under section 107(4)(a)(ii) of that Act;

e in the case of an event mentioned in section 145(2)(e), the day of that event.

3 During a moratorium the regulator may extend it (or further extend it) for a specified period if—

a the regulator has made reasonable enquiries with a view to locating secured creditors of the registered provider, and

b where the regulator located one or more such creditors, each of them has consented to the extension.

4 If the regulator extends a moratorium it shall notify—

a the registered provider, and

b any liquidator, administrator, administrative receiver or receiver appointed in respect of the registered provider or its land, ^F131...

^F130c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4A If the regulator extends a moratorium in respect of a private registered provider who owns land in Greater London, the regulator shall also notify the Greater London Authority.

5 During a moratorium the regulator may cancel it ^F652....

^F3306 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7 When a moratorium ends the regulator shall give notice, and (except in the case of cancellation) an explanation of section 147, to—

a the registered provider, and

b such of its secured creditors as the regulator is able to locate after making reasonable enquiries.

7A The regulator shall also notify the HCA as follows—

a if it extends a moratorium, and

b when a moratorium ends.

^F1328 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

8A When a moratorium in respect of a private registered provider who owns land in Greater London ends, the regulator shall also give notice to the Greater London Authority.

9 If an event mentioned in section 145(2) occurs during a moratorium, that does not—

a start a new moratorium, or

b alter the existing moratorium's duration.

^I537147 Further moratorium¶

1 This section applies if—

a a moratorium in respect of a private registered provider ends otherwise than by cancellation, and

b a further event mentioned in section 145(2) occurs in relation to the provider within the period of 3 years beginning with the end of the moratorium.

2 The further event mentioned in section 145(2 does not automatically trigger a further moratorium.

3 But the regulator may impose a further moratorium for a specified period if—

a the regulator has made reasonable enquiries with a view to locating secured creditors of the registered provider, and

b where the regulator located one or more such creditors, each of them has consented to the further moratorium.

4 If the regulator imposes a new moratorium it shall notify—

za the HCA,

a the registered provider,and

b any liquidator, administrator, administrative receiver or receiver appointed in respect of the registered provider or any of its land, ^F175...

^F172c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4A If the regulator imposes a new moratorium in respect of a private registered provider who owns land in Greater London, the regulator shall also notify the Greater London Authority.

5 This group of sections applies to a further moratorium as to a first moratorium (except for section 146(2)).

^I538148 Effect of moratorium¶

1 During a moratorium neither the HCA , nor the Greater London Authority, may—

a ^F140... give the registered provider a direction under section 32(4), or

b ^F141... take steps to enforce such a direction against the registered provider.

2 During a moratorium a disposal of the registered provider's land requires the regulator's prior consent.

3 Section 149 sets out exceptions to subsection (2).

4 Consent—

a may be given before the moratorium begins, and

b may be subject to conditions.

5 This section does not prevent a liquidator from disclaiming land as onerous property during a moratorium.

6 In this section “land” includes a present or future interest in rent or other receipts arising from land.

^I539149 Exempted disposals¶

1 The regulator's consent is not required under section 148 for the following exceptions.

2 Exception 1 is a letting under—

a an assured tenancy, or

b an assured agricultural occupancy.

3 Exception 2 is a letting under what would be an assured tenancy or an assured agricultural occupancy but for any of paragraphs 4 to 8, 12(1)(h) and 12ZA to 12B of Schedule 1 to the Housing Act 1988 (c. 50) (tenancies which cannot be assured tenancies).

4 Exception 3 is a letting under a secure tenancy.

5 Exception 4 is a letting under what would be a secure tenancy but for any of paragraphs 2 to 12 of Schedule 1 to the Housing Act 1985 (c. 68) (tenancies which are not secure tenancies).

^F2926 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7 Exception 5 is a disposal under Part V of the Housing Act 1985 (right to buy).

8 Exception 6 is a disposal under the right conferred by—

a section 180, ^F394...

^F394b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

9 Exception 7 is a letting under an occupation contract (within the meaning of section 7 of the Renting Homes (Wales) Act 2016 (anaw 1)) in respect of a dwelling in Wales.

^I540150 Disposals without consent¶

1 A purported disposal by a registered provider is void if—

a it requires the regulator's consent under section 148, and

b the regulator has not given consent.

2 But subsection (1) does not apply to a disposal by a non-profit registered provider to one or more individuals (“the buyer”) if—

a the disposal is of a single dwelling, and

b the registered provider reasonably believes at the time of the disposal that the buyer intends to use the property as the buyer's principal residence.

^I541151 Interim manager¶

1 During a moratorium the regulator may appoint an interim manager of the registered provider.

2 An appointment may relate to the registered provider's affairs generally or to affairs specified in the appointment.

3 Appointment shall be on terms and conditions (including as to remuneration) specified in, or determined in accordance with, the appointment.

4 An appointment under this section shall come to an end with the earliest of the following—

a the end of the moratorium,

b when the regulator notifies the interim manager that there are proposals under section 152 which are agreed proposals, or

c a date specified in the appointment.

5 An interim manager shall have—

a any power specified in the appointment, and

b any other power in relation to the registered provider's affairs required by the manager for the purposes specified in the appointment (including the power to enter into agreements and take other action on behalf of the registered provider).

6 But an interim manager may not—

a dispose of land, or

b grant security over land.

^I542^C116152 Proposals¶

1 During a moratorium the regulator may make proposals about the future ownership and management of the registered provider's land, with a view to ensuring that the property will be properly managed by a registered provider.

2 In making proposals the regulator shall—

a have regard to the interests of the registered provider's creditors as a whole, and

b so far as is reasonably practicable avoid worsening the position of unsecured creditors.

3 Proposals may provide for the appointment of a manager in accordance with section 155 to implement all or part of the proposals.

4 Proposals may not include anything which would result in—

a a preferential debt being paid otherwise than in priority to a non-preferential debt, ^F273...

aa an ordinary preferential debt being paid otherwise than in priority to a secondary preferential debt,

b a preferential creditor (PC1) being paid a smaller proportion of an ordinary preferential debt than another preferential creditor (PC2) (unless PC1 consents) ^F389...

c a preferential creditor (PC1) being paid a smaller proportion of a secondary preferential debt than another preferential creditor (PC2) (unless PC2 consents) or

d if the registered provider is a relevant financial institution—

i an ordinary non-preferential debt being paid otherwise than in priority to a secondary non-preferential debt,

ii a secondary non-preferential debt being paid otherwise than in priority to a tertiary non-preferential debt, or

iii a secondary non-preferential creditor (Creditor 1) being paid a smaller proportion of a secondary non-preferential debt than another secondary non-preferential creditor (Creditor 2) (unless Creditor 1 consents).

5 Proposals relating to a registered provider which is a charity (C1)—

a may not require it to act outside the terms of its trusts, and

b may provide for the disposal of accommodation only to another charity whose objects the regulator thinks are similar to those of C1.

^I543153 Proposals: procedure¶

1 Before making proposals the regulator shall consult—

a the registered provider,

b its tenants (so far as is reasonably practicable) or its contract-holders (so far as is reasonably practicable),

ba if the regulator is able to locate any secured creditors of the registered provider after making reasonable enquiries, those creditors,

c if the registered provider is a registered society, the Financial Conduct Authority, and

d if the registered provider is a registered charity, the Charity Commission.

1A If no secured creditors are located for the purposes of subsection (1), the proposals made by the regulator following the consultation required by that subsection are agreed proposals for the purposes of this group of sections.

2 Where the regulator locates one or more secured creditors of the registered provider for the purposes of subsection (1), the regulator must, before making proposals, send a copy of draft proposals to—

a the registered provider ^F669...,

b the secured creditors located for the purposes of subsection (1), and

c any liquidator, administrator, administrative receiver or receiver appointed in respect of the registered provider or any of its land.

3 If the regulator sends draft proposals under subsection (2), the regulator must also make arrangements for bringing those proposals to the attention of—

a the registered provider's members,

b its tenants or contract-holders and

c its unsecured creditors.

4 If each secured creditor to whom draft proposals were required to be sent agrees to them by notice to the regulator, the draft proposals become agreed proposals for the purposes of this group of sections.

5 Draft proposals may be agreed with modifications if—

a each secured creditor to whom the draft proposals were required to be sent consents by notice to the regulator, and

b the regulator consents.

6 The regulator shall send a copy of agreed proposals to—

a the registered provider ^F670...,

b any secured creditors to whom draft proposals were sent,

c any liquidator, administrator, administrative receiver or receiver appointed in respect of the registered provider or any of its land,

d if the registered provider is a registered society, the Financial Conduct Authority, and

e if the registered provider is a registered charity, the Charity Commission.

7 The regulator shall also make arrangements for bringing agreed proposals to the attention of—

a the registered provider's members,

b its tenants or contract-holders and

c its unsecured creditors.

8 The regulator may make proposals amending agreed proposals; and this section and section 152 apply to such proposals.

^I544154 Proposals: effect¶

1 The following are obliged to implement agreed proposals—

a the regulator,

b the registered provider,

c its creditors, and

d any liquidator, administrator, administrative receiver or receiver appointed in respect of the registered provider or any of its land.

2 The following shall co-operate with implementation of agreed proposals—

a in the case of a charitable trust, its trustees,

aa in the case of a charitable incorporated organisation, its charity trustees (as defined by section 177 of the Charities Act 2011),

ab in the case of a limited liability partnership, its members,

b in the case of a registered society, its committee members, and

c in the case of a registered company, its directors.

3 Subsection (2) does not require or permit a breach of a fiduciary or other duty.

^I545155 Manager: appointment¶

1 This section applies where agreed proposals provide for the appointment of a manager.

2 The proposals must provide for the manager to be paid reasonable remuneration and expenses.

3 The regulator shall appoint a manager.

4 The regulator may give the manager directions (general or specific).

5 The manager may apply to the High Court for directions (and directions of the regulator are subject to directions of the High Court).

6 If the registered provider is a charity, the regulator must notify the Charity Commission that a manager has been appointed.

7 The regulator may appoint a new manager in place of a person who ceases to be manager (in accordance with terms of appointment specified in the proposals or determined by the regulator).

^I546156 Manager: powers¶

1 A manager—

a may do anything necessary for the purpose of the appointment,

b acts as the registered provider's agent (and is not personally liable on a contract), and

c has ostensible authority to act for the registered provider (so that a person dealing with the manager in good faith and for value need not inquire into the manager's powers).

2 In particular, the terms of a manager's appointment may confer power—

a to sell or otherwise dispose of land by public auction or private contract;

b to raise or borrow money;

c to grant security over land;

d to grant or accept surrender of a lease;

e to take a lease;

f to take possession of property;

g to appoint a solicitor, accountant or other professional to assist the manager;

h to appoint agents and staff (and to dismiss them);

i to make payments;

j to bring or defend legal proceedings;

k to refer a question to arbitration;

l to make any arrangement or compromise;

m to carry on the business of the registered provider;

n to carry out works and do other things in connection with the management or transfer of land;

o to take out insurance;

p to use the registered body's seal;

q to execute in the name and on behalf of the registered provider any deed, receipt or other document;

r to do anything incidental to a power in paragraphs (a) to (q).

3 A manager shall so far as is reasonably practicable consult and inform the registered provider's tenants about an exercise of powers likely to affect them.

^I547157 Manager of registered society: extra powers¶

1 This section applies to a manager appointed to implement proposals relating to a registered society.

2 The appointment may confer on the manager power to make and execute on behalf of the society—

a an instrument providing for the amalgamation of the society with another registered society, or

b an instrument transferring its engagements.

3 An instrument providing for the amalgamation of a society (“S1”) with another has the same effect as a resolution by S1 under section 109 of the Co-operative and Community Benefit Societies Act 2014 (amalgamation of societies by special resolution).

4 An instrument transferring engagements has the same effect as a transfer of engagements under section 110 or 112 of the Co-operative and Community Benefit Societies Act 2014 (transfer by special resolution to another society or company).

5 A copy of the instrument shall be sent to and registered by the Financial Conduct Authority.

6 An instrument does not take effect until the copy is registered.

7 The copy must be sent for registration during the period of 14 days beginning with the date of execution; but a copy registered after that period is valid.

^I548158 Assistance by regulator¶

1 The regulator may give financial or other assistance to the registered provider for the purpose of preserving its position pending the regulator deciding whether to exercise the power under section 152 to make proposals and (if proposals are made) the proposals becoming agreed proposals.

2 The regulator may give financial or other assistance to the registered provider, or a manager appointed under section 155, to facilitate the implementation of agreed proposals.

3 In particular, the regulator may—

a lend staff;

b arrange payment of the manager's remuneration and expenses.

4 The regulator may do the following only with the Secretary of State's consent—

a make grants,

b make loans,

c indemnify a manager,

d make payments in connection with secured loans, and

e guarantee payments in connection with secured loans.

^I549159 Applications to court¶

1 A private registered provider may apply to the High Court where the registered provider thinks that action taken by a manager is not in accordance with the agreed proposals.

2 A creditor of a private registered provider may apply to the High Court where the creditor thinks that action taken by a manager is not in accordance with the agreed proposals.

3 The High Court may—

a confirm, annul or modify an act of the manager;

b give the manager directions;

c make any other order.

4 If a person bound by agreed proposals (P1) thinks that action by another person (P2) breaches section 154, P1 may apply to the High Court.

5 The High Court may—

a confirm, annul or modify the action;

b grant relief by way of injunction, damages or otherwise.

Restructuring and dissolution¶

159A Application of rules about restructuring and dissolution¶

This group of sections does not apply to local authorities.

160 Company and limited liability partnership: arrangements and reconstructions¶

1 This section applies to a ^F673... registered provider which is a registered company or a limited liability partnership.

2 The registered provider must notify the regulator of any voluntary arrangement under Part 1 of the Insolvency Act 1986.

3 The registered provider must notify the regulator of any order under section 899 of the Companies Act 2006 (court sanction for compromise or arrangement).

4 An order under section 899 of Companies Act 2006 does not take effect until the registered provider has confirmed to the registrar of companies that the regulator has been notified.

5 The registered provider must notify the regulator of any order under section 900 of the Companies Act 2006 (powers of court to facilitate reconstruction or amalgamation).

6 The requirement in section 900(6) of the Companies Act 2006 (sending copy of order to registrar) is satisfied only if the copy is accompanied by confirmation that the regulator has been notified.

7 The registered provider must notify the regulator of any order under section 901F of the Companies Act 2006 (court sanction for compromise or arrangement).

8 An order under section 901F of the Companies Act 2006 does not take effect until the registered provider has confirmed to the registrar of companies that the regulator has been notified.

9 The registered provider must notify the regulator of any order under section 901J of the Companies Act 2006 (powers of court to facilitate reconstruction or amalgamation).

10 The requirement in section 901J(6) of the Companies Act 2006 (sending copy of order to registrar) is satisfied only if the copy is accompanied by confirmation that the regulator has been notified.

161 Company: conversion into registered society¶

1 This section applies to a ^F675... registered provider which is a registered company.

2 The registered provider must notify the regulator of any resolution under section 115 of the Co-operative and Community Benefit Societies Act 2014 for converting the registered provider into a registered society.

3 The registrar of companies may register a resolution under that section only if the registered provider has confirmed to the registrar that the regulator has been notified.

^F6764 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6765 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6766 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6767 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

161A Company: receipt of transfer of engagements from registered society¶

1 This section applies to a registered provider which is a registered company.

2 The registered provider must notify the regulator if a registered society which is not a registered provider passes a resolution under section 112(1)(c) of the Co-operative and Community Benefit Societies Act 2014 transferring its engagements to the registered provider.

3 The Financial Conduct Authority may register the resolution only if the registered society which passed it has confirmed to the Financial Conduct Authority that the regulator has been notified.

^F333162 Company: winding up¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

163 Registered society: restructuring¶

1 This section applies to a ^F677... registered provider which is a registered society.

2 The registered provider must notify the regulator of any resolution passed by the society for the purposes of the restructuring provisions listed in subsection (4).

3 The Financial Conduct Authority may register the resolution only if the registered provider has confirmed to the Financial Conduct Authority that the regulator has been notified.

4 The following provisions of the Co-operative and Community Benefit Societies Act 2014 are the restructuring provisions—

a section 109 (amalgamation of societies);

b section 110 (transfer of engagements between societies);

c section 112 (conversion of society into a company etc).

^F6785 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6786 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6787 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6788 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^C177163A Restructuring of registered societies: registration of successor bodies¶

1 This section applies where —

a a registered provider notifies the regulator of a resolution passed by the provider for the purposes of section 109 of the Co-operative and Community Benefit Societies Act 2014 (amalgamation of societies);

b a registered provider notifies the regulator of a resolution passed by the provider for the purposes of section 112(1)(b) of that Act (amalgamation of society and company);

c a registered provider notifies the regulator of a resolution passed by the provider for the purposes of section 110 of that Act (transfer of engagements between societies) and the society to which engagements are transferred is not a registered provider;

d a registered provider notifies the regulator of a resolution passed by the provider for the purposes of section 112(1)(c) of that Act (transfer of engagements between society and company) and the company to which engagements are transferred is not a registered provider.

2 When the resolution mentioned in subsection (1) (“the relevant resolution”) takes effect, the regulator must decide whether the successor body is eligible for registration under section 112.

3 “The successor body” means—

a if the relevant resolution is a resolution described in paragraph (a) or (b) of subsection (1), the body created by virtue of that resolution or by virtue of that resolution and other resolutions described in that paragraph, and

b if the relevant resolution is a resolution described in paragraph (c) or (d) of subsection (1), the body to which engagements are transferred by virtue of the resolution.

4 If the successor body is eligible for registration, the regulator must register it and notify it that it has done so.

5 If the successor body is not eligible for registration, the regulator must notify it of that fact.

6 Pending registration, or notification that it is not eligible for registration, the successor body is to be treated as if it were registered and designated as a non-profit organisation.

163B Registered society: receipt of transfer of engagements from another registered society¶

1 This section applies to a registered provider which is a registered society.

2 The registered provider must notify the regulator if a registered society which is not a registered provider passes a resolution under section 110(1) of the Co-operative and Community Benefit Societies Act 2014 transferring its engagements to the registered provider.

3 The Financial Conduct Authority may register the resolution only if the registered society which passed it has confirmed to the Financial Conduct Authority that the regulator has been notified.

^F334164 Registered society: winding up¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I550165 Registered society: dissolution¶

1 This section applies to a ^F679... registered provider which is—

a a registered society, and

b to be dissolved by instrument of dissolution in accordance with section 119 of the Co-operative and Community Benefit Societies Act 2014.

2 The registered provider must notify the regulator.

3 The Financial Conduct Authority may register the instrument under section 121 of that Act, or cause notice of the dissolution to be advertised under section 122 of that Act, only if the registered provider has confirmed to the Financial Conduct Authority that the regulator has been notified.

^F299166 Winding up petition by regulator¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I551167 Transfer of property¶

1 This section applies—

a where a non-profit registered provider which is a registered society is dissolved in accordance with section 119 or 123 of the Co-operative and Community Benefit Societies Act 2014, and

b where a non-profit registered provider which is a registered company is wound up under the Insolvency Act 1986.

2 Any surplus property that is available after satisfying the registered provider's liabilities shall be transferred—

a to the regulator, or

b if the regulator directs, to a specified non-profit registered provider.

3 If land belonging to the registered provider needs to be sold to satisfy its liabilities, the regulator may discharge those liabilities so as to ensure that the land is instead transferred in accordance with subsection (2).

4 Where the registered provider dissolved or wound up is a charity, a registered provider may be specified under subsection (2)(b) only if it is a charity whose objects the regulator thinks are similar to those of the original charity.

5 This section has effect despite anything in—

^F255a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b the Insolvency Act 1986,

c the Companies Act 2006 (c. 46),

ca the Co-operative and Community Benefit Societies Act 2014, or

d the constitution of a registered provider.

^I552168 Section 167: supplemental¶

1 This section applies to property transferred to the regulator in accordance with section 167(2)(a).

2 The regulator may dispose of the property only to a non-profit registered provider.

3 Where the registered provider wound up or dissolved was a charity, the regulator may dispose of the property only to a registered provider—

a which is a charity, and

b whose objects the regulator thinks are similar to those of the original charity.

4 If the property includes land subject to a mortgage or charge, the regulator may dispose of the land—

a subject to that mortgage or charge, or

b subject to a new mortgage or charge in favour of the regulator.

^I553169 Extension of sections 167 and 168¶

The Secretary of State may by regulations provide for sections 167 and 168 to apply in relation to a registered provider which is a charity but not a registered company—

a in specified circumstances, and

b with specified modifications.

Notification of constitutional changes¶

169ZA Application of rules about notification of constitutional changes¶

This group of sections does not apply to local authorities.

169A Registered societies: change of rules etc ¶

A ^F680... registered provider that is a registered society must notify the regulator of any change to the society's rules , name or registered office.

169B Charity: change to trusts etc¶

1 The trustees of a registered charity that is a registered provider must notify the regulator of any change to—

a the trusts of the charity;

b the purposes of the charity (if not falling within paragraph (a));

c the name of the charity entered in the register of charities;

d any number allocated to the charity by the Charity Commission which appears in the register of charities;

e any contact address for the charity which appears in the register of charities.

2 But the duty to notify the regulator of changes to the matters mentioned in paragraphs (a) to (c) does not apply to the trustees of a registered charity that is a registered company.

3 In this section—

“the register of charities” means the register of charities kept under section 29 of the Charities Act 2011;
“trusts”, in relation to a charity, has the same meaning as in the Charities Act 2011 (see section 353 of that Act).

169C Companies: change of articles etc¶

A ^F683... registered provider that is a registered company must notify the regulator of—

a any amendment of the company's articles of association,

b any change to its name or registered office.

169CA Limited liability partnership: change of name etc¶

A registered provider that is a limited liability partnership must notify the regulator of any change to its name or registered office.

Notification of change of control¶

169CB Application of rules about notification of change of control¶

This group of sections does not apply to local authorities.

169CC Change in board members¶

1 A registered provider must notify the regulator if—

a the board members of the registered provider change (whether as a result of an appointment or removal of a board member or for any other reason), and

b following that change, any of the circumstances described in subsection (2) arise.

2 The circumstances are that—

a the number of board members of the provider has increased by more than 50% since the beginning of the relevant period;

b the number of board members of the provider has decreased by more than 50% since the beginning of the relevant period;

c more than 50% of the board members of the provider are persons who were not board members of the provider at the beginning of the relevant period.

3 For the purposes of this section, the “board members” of a registered provider are—

a in the case of a registered charity which is not a registered company, its charity trustees within the meaning given by section 177 of the Charities Act 2011;

b in the case of a registered society, the members of its committee within the meaning given by section 149 of the Co-operative and Community Benefit Societies Act 2014;

c in the case of a registered company, its directors within the meaning given by section 250 of the Companies Act 2006;

d in the case of a limited liability partnership, its members.

4 For the purposes of this section, “the relevant period” is—

a the period of 12 months ending with the day on which the change mentioned in subsection (1)(a) takes effect (“the 12 month period”), or

b if the registered provider was not a registered provider throughout the 12 month period, the period—

i beginning with the day (or, if more than one, the latest day) in the 12 month period on which it became a registered provider, and

ii ending with the day on which the change mentioned in subsection (1)(a) takes effect.

169CD Change in subsidiary status¶

A registered provider must notify the regulator each time—

a it becomes a subsidiary of a person, or

b it ceases to be a subsidiary of a person.

Directions about notifications¶

^C176169D Directions about notifications¶

1 The regulator may give directions about—

a the period within which notifications under sections 160 to 165 or 169A to 169CD must be given by ^F685... registered providers;

b the content of those notifications.

2 The regulator may give directions dispensing with notification requirements imposed by sections 160 to 165 or 169A to 169CD.

3 A direction under this section may be—

a general, or

b specific (whether as to particular registered providers, particular kinds of notification requirement or in any other way).

4 A direction dispensing with a notification requirement may include conditions.

5 The regulator must make arrangements for bringing a direction under this section to the attention of every registered provider to which it applies.

^C10Chapter 5 Disposal of propertyby private registered providers¶

Introductory¶

^I554170 Overview¶

This Chapter makes provision about the disposal of property by private registered providers.

^I555171 Power to dispose¶

1 A private registered provider may dispose of land.

2 But a non-profit registered provider may dispose of the landlord's interest under a secure tenancy only to another non-profit registered provider or to a local authority which is a registered provider.

3 Subsection (1) is subject to the following provisions of this Chapter ^F300....

^F316. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .¶

^F302177 Separate accounting¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F302178 Use of proceeds¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F319. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .¶

^F319179 Application of Housing Act 1996¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Right to acquire¶

^I556180 ^C10Right to acquire¶

1 The tenant of a dwelling in England has a right to acquire the dwelling if—

a the landlord is a private registered provider or a registered social landlord,

b the tenancy is within subsection (2),

c the provision of the dwelling was publicly funded,

d the dwelling has remained in the social rented sector ever since that provision, and

e the tenant satisfies any qualifying conditions applicable under Part V of the Housing Act 1985 (c. 68) (as it applies by virtue of section 184).

^C112 A tenancy is within this subsection if it is—

a an assured tenancy, other than ^F124... a long tenancy, or

b a secure tenancy.

2A The Secretary of State may by regulations provide that an assured shorthold tenancy of a description specified in the regulations is not a tenancy within subsection (2).

3 The reference in subsection (1)(a) to a private registered provider includes—

a a person who provided the dwelling in fulfilment of a condition imposed by the HCA when giving assistance to the person;

b a person who provided the dwelling wholly or partly by means of a grant under section 27A of the Housing Act 1996 (c. 52).

^I557181 Interpretation: “publicly funded”¶

1 The provision of a dwelling was publicly funded if any of the following conditions is satisfied.

2 Condition 1 is that—

a the dwelling was provided by a person in fulfilment of a condition imposed by the HCA when giving assistance to the person, and

b before giving the assistance the HCA notified the person that if it did so the provision of the dwelling would be regarded as publicly funded.

2A Condition 2 is that—

a the dwelling was provided wholly or partly by a person using an amount for purposes for which the amount was required to be used by an HCA direction under section 32(4), and

b before giving the direction the HCA notified the person that any dwelling so provided would be regarded as publicly funded.

3 Condition 3 is that the dwelling was provided wholly or partly by using sums in the disposal proceeds fund of—

a a private registered provider, or

b a registered social landlord.

3A In relation to a private registered provider, the reference in subsection (3) to its disposal proceeds fund is to its disposal proceeds fund before the abolition of that fund by Part 3 of Schedule 4 to the Housing and Planning Act 2016.

4 Condition 4 is that —

a the dwelling was acquired by a private registered provider, or a registered social landlord, on a disposal by a public sector landlord,

b the disposal was made on or after 1st April 1997, and

c at the time of the disposal the dwelling was capable of being let as a separate dwelling.

5 Condition 4 is not satisfied if the dwelling was acquired in pursuance of a contract made, or option created, before 1st April 1997.

6 Condition 5 is that—

a the dwelling was provided wholly or partly by means of a grant under section 18 or 27A of the Housing Act 1996 (c. 52), and

b when the grant was made the recipient was notified by the Welsh Ministers that the dwelling was to be regarded as funded by means of such a grant.

^I558182 Interpretation: “remained in the social rented sector”¶

1 This section applies for the purposes of determining whether a dwelling has remained in the social rented sector.

2 A dwelling shall be treated as having remained in the social rented sector for any period during which—

a the freeholder was a person within subsection (3), and

b each leaseholder was either a person within that subsection or an individual holding otherwise than under a long tenancy.

3 A person is within this subsection if the person is—

a a private registered provider,

b a registered social landlord, or

c a public sector landlord.

4 A dwelling provided wholly or partly by means of a grant under section 27A of the Housing Act 1996 shall also be treated as having remained in the social rented sector for any period during which it was used exclusively for permitted purposes by—

a the recipient of the grant, or

b any person treated as the recipient by virtue of section 27B of that Act.

5 “Permitted purposes” are purposes for which the grant was made and any other purposes agreed by the Housing Corporation or the HCA.

6 Where a lease of a dwelling has been granted to a former freeholder in pursuance of paragraph 3 of Schedule 9 to the Leasehold Reform, Housing and Urban Development Act 1993 (c. 28) (mandatory leaseback to former freeholder on collective enfranchisement) the reference in subsection (1)(a) above to the freeholder shall be construed as a reference to the leaseholder under that lease.

^I559183 Interpretation: other expressions¶

1 The definitions in this section apply to sections 180 to 182.

2 The HCA gives “assistance” to a person if it—

a transfers housing or other land to the person,

b provides infrastructure to the person, or

c gives financial assistance to the person,

and for this purpose “infrastructure” has the same meaning as in Part 1.

3 References to a “registered social landlord” are to a body which, at the time to which the reference relates, was a registered social landlord within the meaning of Part 1 of the Housing Act 1996 (c. 52) as it then had effect.

4 “Leaseholder” does not include a mortgagee.

5 “Long tenancy” has the same meaning as in Part V of the Housing Act 1985 (c. 68).

6 A person provides a dwelling if the person—

a acquires, constructs, converts, improves or repairs housing or other land for use as a dwelling, or

b ensures such acquisition, construction, conversion, improvement or repair by another.

7 “Public sector landlord” means anyone falling within section 80(1) of the Housing Act 1985.

^I560184 Right to acquire: supplemental¶

1 The Secretary of State may by order—

a specify the amount or rate of discount to be given on the exercise of the right conferred by section 180, and

b designate rural areas in relation to dwellings in which the right conferred by that section does not arise.

2 The provisions of Part 5 of the Housing Act 1985 apply in relation to the right to acquire under section 180—

a subject to any order under subsection (1) above, and

b subject to such other exceptions, adaptations and other modifications as may be specified by regulations made by the Secretary of State.

3 The regulations may provide—

a that the powers of the Secretary of State under sections 164 to 170 of that Act (powers to intervene, give directions or assist) do not apply,

b that paragraphs 1 and 3 (exceptions for charities and certain housing associations), and paragraph 11 (right of appeal to Secretary of State), of Schedule 5 to that Act do not apply,

c that the provisions of Part 5 of that Act relating to the right to acquire on rent to mortgage terms do not apply,

d that the provisions of that Part relating to restrictions on disposals in National Parks etc. do not apply, and

e that the provisions of that Part relating to the preserved right to buy do not apply.

Nothing in this subsection affects the generality of the power conferred by subsection (2).

4 The specified exceptions, adaptations and other modifications shall take the form of textual amendments of the provisions of Part 5 of that Act as they apply in relation to the right to buy under that Part; and any consolidating regulations shall set out the provisions of Part 5 as they so apply.

5 Before making an order which would have the effect that an area ceased to be designated under subsection (1)(b), the Secretary of State shall consult—

a the local housing authority or authorities in whose district the area or any part of it is situated or, if the order is general in its effect, local housing authorities in general, and

b such bodies appearing to the Secretary of State to be representative of private registered providers as the Secretary of State considers appropriate.

6 Regulations made under this section are consolidating regulations if they are made for the purposes of consolidating other regulations that are being revoked in the instrument containing the consolidating regulations.

^F397185 Right to acquire: consequential amendments¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Miscellaneous¶

^I561186 Former registered providers¶

Where a person ceases to be a private registered provider, sections 171 and 176 (apart from section 176(2)) continue to apply in respect of any property owned by the person at any time when it was registered.

^F309187 Change of use, etc.¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I562188 Trustees¶

Section 39 of the Settled Land Act 1925 (c. 18) (disposal by trustees: best price etc.) shall not apply to the disposal of land by a private registered provider.

^I563189 Charities¶

Nothing in this Chapter authorises a charity to effect a disposal which it would not otherwise have power to effect.

Consents under other legislation¶

^F310190 Consent to disposals under other legislation¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I564191 Section 190: consequential amendments¶

1 In section 171D of the Housing Act 1985 (consent to certain disposals of housing obtained subject to the preserved right to buy)—

a in subsection (2) (consent) for “Secretary of State” substitute “ appropriate authority ”, and

b after that subsection insert—

2 In section 81 of the Housing Act 1988 (consent to certain disposals of housing obtained from housing action trusts)—

a in subsection (3) (consent) for “Secretary of State” substitute “ appropriate authority ”,

b after that subsection insert—

c in subsection (5) (consultation of tenants) for “Secretary of State” substitute “ appropriate authority ”,

d in subsection (5)(a) for “himself” substitute “ itself ”, and

e omit subsection (6) (consultation of Housing Corporation).

3 In section 133 of that Act (consent to certain disposals of housing obtained from local authorities)—

a in subsection (1) (consent) for “Secretary of State” substitute “ appropriate authority ”,

b after that subsection insert—

c after subsection (1A) insert—

d in subsection (3)(c) (modification of certain provisions applied for the purposes of section 133) after “this section,” insert “ any reference to the appropriate national body shall be construed as a reference to the appropriate authority and ”,

e in subsection (5) (consultation of tenants) for “Secretary of State” substitute “ appropriate authority ”,

f in subsection (5)(a) for “himself” substitute “ itself ”, and

g omit subsection (6) (consultation of Housing Corporation).

4 In section 173 of the Local Government and Housing Act 1989 (c. 42) (consent to certain disposals of housing obtained from new town corporations)—

a in subsection (1)(a) (consent) for “Secretary of State” substitute “ appropriate authority ”,

b after subsection (1) insert—

c in subsection (5) (consultation of tenants) for “Secretary of State” substitute “ appropriate authority ”,

d in subsection (5)(a) for “himself” substitute “ itself ”, and

e omit subsection (6) (consultation of Housing Corporation).

Chapter 6 Regulatory powers¶

192^I49 Overview¶

This Chapter—

a allows the regulator to set standards for the provision of social housing (sections 193 to 198),

b gives the regulator powers to monitor compliance (sections 199 to to 210A),

^F311c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

d requires the regulator to give guidance ^F497... about the use of its powers under this Chapter and Chapter 7 (sections 215 and 216), ^F499...

e allows the regulator to arrange for the accreditation of managers of social housing (section 217) , and

f makes provision about terms to be implied into management services agreements (section 217A).

Standards¶

193^I50 Standards relating to consumer matters¶

1 The regulator may set standards for registered providers as to the nature, extent , safety, energy efficiency and quality of accommodation, facilities or services provided by them in connection with social housing.

2 Standards under subsection (1) may, in particular, require registered providers to comply with specified rules about—

a criteria for allocating accommodation,

b terms of tenancies,

^F228c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

d maintenance,

e procedures for addressing complaints by tenants against landlords,

f methods for consulting tenants and providing them with information in connection with such consultation,

g methods of enabling tenants to influence or control the management of their accommodation and environment,

ga methods of assisting tenants to exchange tenancies,

h policies and procedures required by section 218A of the Housing Act 1996 (c. 52) in connection with anti-social behaviour,

ha policies and procedures in connection with behaviour which amounts to domestic abuse within the meaning of the Domestic Abuse Act 2021 (see section 1 of that Act),

i landlords' contribution to the environmental, social and economic well-being of the areas in which their property is situated, and

j estate management.

^F5143 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I51194 Standards relating to economic matters¶

1 The regulator may set standards for private registered providers in matters relating to ^F160... their financial and other affairs.

1A Standards under subsection (1) may, in particular, require private registered providers to comply with specified rules about—

a the management of their financial and other affairs, and

b their efficiency in carrying on their financial and other affairs.

2 In respect of profit-making registered providers, standards may be made in relation to the management of their affairs only so far as relating to the provision of social housing.

^C132A The regulator may set standards for registered providers requiring them to comply with specified rules about their levels of rent (and the rules may, in particular, include provision for minimum or maximum levels of rent or levels of increase or decrease of rent).

^F5603 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

194A Standards relating to competence and conduct¶

1 The regulator may set standards for registered providers in matters relating to the competence and conduct of individuals involved in the provision of services in connection with the management of social housing (“relevant individuals”).

2 Standards under subsection (1) may, in particular, require registered providers to comply with specified rules about—

a the knowledge, skills and experience to be required of relevant individuals, and

b the conduct to be expected of relevant individuals in their dealings with tenants.

3 Standards under subsection (1) may require registered providers to secure that their senior housing executives and senior housing managers—

a have a specified qualification in housing management or type of qualification in housing management, or

b are working towards such a qualification or type of qualification.

4 Standards under subsection (1) may require registered providers to take steps to secure that relevant managers of their services providers—

a have a specified qualification in housing management or type of qualification in housing management, or

b are working towards such a qualification or type of qualification.

5 Each of the following is a “relevant manager” of a services provider—

a if the services provider is a relevant individual, that individual;

b a senior housing executive of the services provider;

c a senior housing manager of the services provider.

6 A qualification or type of qualification specified for a senior housing executive may only be—

a a foundation degree, or

b a qualification or type of qualification regulated by the Office of Qualifications and Examinations Regulation which is of a level not exceeding level 5.

7 A qualification or type of qualification specified for a senior housing manager, or for an individual described in subsection (5)(a), may only be a qualification or type of qualification regulated by the Office of Qualifications and Examinations Regulation which is of a level not exceeding level 4.

8 The references in subsections (6) and (7) to the level of a qualification are to the level assigned to a qualification by virtue of general conditions set and published by the Office of Qualifications and Examinations Regulation under section 134 of the Apprenticeships, Skills, Children and Learning Act 2009.

9 Except as provided by subsections (3) to (8), standards under subsection (1) may not require registered providers to comply with rules about the qualifications to be required of relevant individuals.

10 See also section 217A (which makes provision implying terms relating to qualifications into management services agreements).

194B Meaning of “services provider”, “senior housing executive” and “senior housing manager”¶

1 This section makes provision about the meaning of terms for the purposes of section 194A.

2 “Services provider”, in relation to a registered provider, means a person who, in accordance with an agreement with the registered provider or another person, provides services in connection with the management of social housing provided by the registered provider or arranges for the provision of such services.

3 For the purposes of subsection (2), an agreement does not include a contract of employment or a contract of apprenticeship.

4 “Senior housing executive” of a registered provider means a relevant individual who—

a is an employee or officer of the registered provider,

b has responsibility (solely or jointly) for the day to day management of the provision of services in connection with the management of social housing provided by the registered provider, and

c is part of the registered provider’s senior management.

5 “Senior housing executive” of a services provider in relation to a registered provider means a relevant individual who—

a is—

i an employee of the services provider,

ii an officer of the services provider, or

iii if the services provider is a partnership, a partner in the partnership,

b has responsibility (solely or jointly) for the day to day management of the provision of services in connection with the management of social housing provided by the registered provider, and

c is part of the services provider’s senior management.

6 For the purposes of subsections (4) and (5), an individual is part of a registered provider’s or services provider’s senior management if the individual plays a significant role in—

a the making of decisions about how the whole or a substantial part of the activities of the provider which relate to social housing are to be managed or organised, or

b the management or organisation of the whole or a substantial part of such activities.

7 “Senior housing manager” of a registered provider means a relevant individual who—

a is an employee of the registered provider, and

b is a senior housing and property manager for the registered provider.

8 “Senior housing manager” of a services provider in relation to a registered provider means a relevant individual who—

a is an employee of the services provider,

b is a senior housing and property manager for the services provider, and

c is involved in the provision of services in connection with the management of social housing provided by the registered provider.

9 For the purposes of subsections (7) and (8), whether an individual is a senior housing and property manager is to be determined by reference to the description of the occupation of senior housing and property management published by the Secretary of State under section ZA10(5) of the Apprenticeships, Skills, Children and Learning Act 2009.

10 In this section—

“employee” includes a person employed under a contract of apprenticeship;
“relevant individual” has the same meaning as in section 194A.

11 The following Table gives the meaning of “officer” in relation to services providers for the purposes of this section—

Services provider	Meaning of “officer”
Registered charity which is not a registered company	Trustee, secretary or treasurer
Registered society	“Officer” within the meaning given by section 149 of the Co-operative and Community Benefit Societies Act 2014 (including a person co-opted to serve on the society’s committee)
Registered company	“Officer” within the meaning given by section 1173 of the Companies Act 2006
Limited liability partnership	A member of the limited liability partnership.

194C Standards relating to information and transparency¶

1 The regulator may set standards for registered providers in matters relating to the provision of information to their tenants of social housing and to the regulator, including standards requiring information to be published.

2 Standards under subsection (1) may, in particular, require registered providers to comply with specified rules about—

a the provision of information to their tenants of social housing concerning the accommodation, facilities or services provided in connection with social housing, including information concerning—

i their tenants’ rights in connection with those things, and

ii how to make complaints against registered providers,

b monitoring their compliance with standards under this section and sections 193, 194 and 194A and informing the regulator if they have failed, or there is a risk they will fail, to meet any of those standards, and

c the publication of information about—

i the remuneration of their executives, and

ii their income, management costs and other expenditure.

3 For the purposes of subsection (2)(c), an “executive”, in relation to a registered provider, means an individual who is both—

a an officer or employee of the registered provider, and

b responsible for the management of the provider.

195^I52 Code of practice¶

1 The regulator may issue a code of practice which—

a relates to a matter addressed by a standard ^F527..., and

b amplifies the standard.

2 In considering whether standards ^F528... have been met the regulator may have regard to a code of practice.

3 The regulator may revise or withdraw a code of practice.

4 The regulator shall make arrangements for bringing a code of practice to the attention of registered providers.

196^I53 Consultation¶

1 Before setting standards, or issuing, revising or withdrawing a code of practice, the regulator shall consult the following or ensure that they have been consulted—

b one or more bodies appearing to it to represent the interests of registered providers,one or more bodies appearing to it to represent the interests of secured creditors of registered providers,

ba any body for the time being nominated under section 278A,

c one or moreother bodies appearing to it to represent the interests of tenants of social housing,

^F405d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

e one or more bodies appearing to it to represent the interests of local housing authorities,

ea the Greater London Authority,

eb any housing ombudsman,

^F200f . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ., and

g the Secretary of State.

1A Before setting standards, or issuing, revising or withdrawing a code of practice, the regulator must also consult the HCA.

2 Before setting a standard which would apply to charities, or issuing, revising or withdrawing a code of practice which applies or would apply to charities, the regulator must consult the Charity Commission.

3 Before setting a standard under section 194A which imposes a requirement described in subsection (4) of that section, the regulator must consult, or ensure that there has been consultation with, each body (if any) which is nominated by the Secretary of State for the purposes of this subsection.

4 The Secretary of State may nominate a body for the purposes of subsection (3) only if the body appears to the Secretary of State to represent the interests of services providers in relation to registered providers (as defined in section 194B(2)).

5 The Secretary of State must notify the regulator of any nomination (or withdrawal of any nomination) made for the purposes of subsection (3).

197^I54 Direction by Secretary of State¶

1 The Secretary of State may direct the regulator—

a to set a standard under section 193 or 194,

b about the content of standards under section 193 or 194, or

c to have regard to specified objectives when setting standards under section 193 or 194.

2 The Secretary of State may give a direction under subsection (1)(a) or (b) only if it relates, in the Secretary of State's opinion, to—

a quality , safety or energy efficiency of accommodation,

aa tenure,

b rent, ^F112...

c involvement by tenants in the management by registered providers of accommodation , or

d methods of assisting tenants to exchange tenancies.

2A The Secretary of State may direct the regulator—

a to set a standard under section 194A,

b to set a standard under section 194C which relates, in the Secretary of State’s opinion, to the matters in section 194C(2)(a),

c about the content of standards described in paragraph (a) or (b), or

d to have regard to specified objectives when setting those standards.

3 In deciding whether to give a direction the Secretary of State shall, in particular, have regard to the regulator's fundamental objectives.

4 Before giving a direction the Secretary of State must consult—

za the HCA,

a the regulator,

aa the Greater London Authority,

ab any housing ombudsman,

^F167b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F404c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

d one or more bodies appearing to the Secretary of State to represent the interests of local housing authorities,

da any body for the time being nominated under section 278A,

e one or moreother bodies appearing to the Secretary of State to represent the interests of tenants of social housing, and

f one or more bodies appearing to the Secretary of State to represent the interests of registered providers.

5 Before giving a direction about a standard which would apply to charities the Secretary of State must consult the Charity Commission.

5A Before giving a direction to set a standard under section 194A which imposes a requirement described in subsection (4) of that section, the Secretary of State must consult one or more bodies appearing to the Secretary of State to represent the interests of services providers in relation to registered providers (as defined in section 194B(2)).

6 A direction may disapply the requirement to consult under section 196 in relation to specified matters.

7 The regulator shall comply with any direction.

8 The Secretary of State shall publish—

a each proposed direction that is the subject of a consultation,

b each response to a consultation, and

c each direction.

198 Supplemental¶

^F2291 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2^I55 The regulator shall make arrangements for bringing standards to the attention of registered providers.

^I55^C143 The regulator may revise or withdraw standards; and section 196 applies to revising or withdrawing standards as to setting standards.

4^I55 Standards may be expressed by reference to documents prepared by others.

5^I55 Standards—

a may make provision generally or only in relation to specified cases, circumstances or areas, and

b may make different provision for different cases, circumstances or areas.

6 In setting standards the regulator must have regard to the desirability of registered providers being free to choose how to provide services and conduct business.

^F687198A Failure to meet standard under section 193¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F688198B Failure to meet standard under section 194¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Performance information¶

198C Directions about performance information¶

1 The regulator may give directions to registered providers requiring them to collect, process and publish information about their performance in relation to matters covered by standards under sections 193, 194, 194A and 194C.

2 Directions under subsection (1) may, in particular, specify or describe—

a the information that must be collected,

b the period the information must cover,

c the method of collecting, processing and presenting information,

d the form in which information must be presented, and

e what information must be published and when and the manner of publication.

3 A direction—

a may make provision that applies generally or only to specified cases, circumstances or registered providers, and

b may make different provision for different cases, circumstances or registered providers.

4 The regulator must make arrangements for bringing a direction to the attention of every registered provider to which it applies.

5 The regulator may request that a registered provider send to the regulator—

a any information collected by the registered provider pursuant to directions under subsection (1);

b an analysis of that information;

c an explanation of how the information was collected, processed or published.

Monitoring¶

^I565199 Survey¶

1 This section applies where the regulator suspects that a registered provider may be failing to maintain premises in accordance with standards under section 193.

2 The regulator may arrange for a survey of the condition of the premises by an authorised person.

3 In this section and in sections 199A to 200, “authorised person” means a member of the regulator's staff, or another person, authorised in writing by the regulator for the purposes of the section concerned.

^F6914 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6915 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6916 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7 After carrying out a survey an authorised person must produce a written report.

8 The regulator must give the registered provider a copy of the report.

9 Arrangements for a person other than a member of the regulator’s staff to carry out a survey may include provision about payments.

199A Survey: power to enter without warrant¶

1 An authorised person may enter premises at any reasonable time, or times, to carry out a survey under section 199.

2 The power in subsection (1) may only be exercised if an authorised person has given at least 48 hours’ notice of the first exercise of the power—

a to the registered provider, and

b if the premises are occupied, to the occupier (or any one of the occupiers).

3 The requirement to give notice may be waived—

a in the case of notice required by subsection (2)(a), by the registered provider, and

b in the case of notice required by subsection (2)(b), by the occupier (or any one of the occupiers) of the premises.

4 Notice under subsection (2) may state that, if entry to the premises were to be refused, an authorised person would propose to apply for a warrant under section 199B.

5 Notice required by subsection (2)(b) may be given by fixing it to some conspicuous part of the premises.

6 An authorised person who under this section has entered, or who is seeking to enter, premises in order to carry out a survey must produce a copy of the authorisation mentioned in section 199(3) on request by an occupier.

7 An authorised person entering premises to carry out a survey may—

a be accompanied by such other persons, and

b take onto the premises such equipment or materials,

as the authorised person thinks necessary for the purposes of carrying out the survey.

8 Equipment or materials taken onto premises by virtue of subsection (7) may be left in a place on the premises until the survey has been carried out provided that—

a leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

b leaving the equipment or the materials on the premises is necessary for the purposes of carrying out the survey and it is not possible to leave it or them in a place that does not significantly impair the ability of an occupier to use the premises.

9 Where the premises include common parts of a building, references in subsection (8) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.

10 In this section, “common parts”, in relation to a building, includes the structure and exterior of that building and any common facilities provided (whether or not in the building) for persons who occupy the building.

199B Survey: power to enter with warrant¶

1 This section applies where a justice of the peace is satisfied, on sworn information in writing by an authorised person, that entry to premises specified in the information is reasonably required to carry out a survey under section 199.

2 The justice may issue a warrant authorising the authorised person who is named in it to enter the premises to carry out the survey where the justice is satisfied that—

a entry to the premises has been sought under section 199A but has been refused,

b the premises are unoccupied or that the occupier is temporarily absent, or

c there are reasonable grounds to believe that the authorised person will not be able to obtain entry to the premises without a warrant.

3 A warrant under this section authorises the authorised person to enter the premises at any reasonable time, or times, using reasonable force if necessary.

4 A warrant under this section authorises an authorised person entering premises to take onto the premises such equipment or materials as the authorised person thinks necessary for the purposes of carrying out the survey.

5 Equipment or materials taken onto premises by virtue of subsection (4) may be left in a place on the premises until the survey has been carried out provided that—

a leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

6 Where the premises include common parts of a building (as defined in section 199A), references in subsection (5) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.

7 A warrant under this section may authorise persons (“accompanying persons”) to accompany the authorised person.

8 Accompanying persons—

a have the same powers as the authorised person in respect of execution of the warrant, but

b must exercise those powers only in the company, and under the supervision, of the authorised person.

9 An authorised person who has entered, or who is seeking to enter, premises under a warrant under this section must produce on request by any person—

a a copy of the warrant;

b a copy of the authorisation mentioned in section 199(3).

10 A warrant under this section continues in force until the survey is carried out.

11 If the premises are unoccupied or the occupier is temporarily absent, the authorised person who has entered the premises under a warrant under this section must leave the premises as effectively secured against trespassers as the authorised person found them.

^I566200 Survey: supplemental¶

^F6931 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2 The regulator may require the registered provider to pay some or all of the costs of the survey and report.

^F6943 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4 A registered provider, or an officer of a registered provider, commits an offence if the provider or officer obstructs an authorised person—

a in exercising a power under section 199A, or

b in exercising a power under section 199, where the authorised person has entered the premises to carry out the survey under the power in section 199A.

4A A person commits an offence if the person obstructs an authorised person—

a in exercising a power conferred by a warrant under section 199B, or

b in exercising a power under section 199, where the authorised person has entered the premises to carry out a survey under a warrant under section 199B.

5 A person guilty of an offence under this section is liable on summary conviction to a fine not exceeding level 3 on the standard scale.

6 Proceedings for an offence under this section may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

^I567201 Inspections¶

1 The regulator may arrange for a person to inspect—

a a registered provider's performance of its functions in relation to the provision of social housing, or

b the financial or other affairs of a registered provider.

^F6972 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F6982A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F1553 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4 The regulator may direct a person carrying out an inspection to discontinue it.

5 An inspection may be general or specific.

^F1566 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7 Arrangements for a person other than a member of the regulator's staff to carry out an inspection may include provision about payments.

^F4037A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F1578 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

201A Inspection plan¶

1 The regulator must make a plan as regards—

a the descriptions of registered provider that should be subject to regular inspection under section 201,

b the intervals at which regular inspections should be carried out under that section, and

c the circumstances in which registered providers should be subject to inspections under that section other than regular inspections.

2 The plan may make different provision for different cases, circumstances or areas.

3 The regulator must take appropriate steps to implement the plan.

4 The regulator must—

a keep the plan under review,

b when appropriate, revise or replace the plan, and

c publish the plan and any revised or replacement plan.

202 Inspections: supplemental¶

^F699^I5681 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F699^I5682 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F699^I5683 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F700^I56^I5694 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F700^I5685 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F700^I56^I5696 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F700^I56^I5697 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F3678 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I570203 Inspector's powers¶

1 An inspector may by notice require a person to provide specified documents or information.

2 The power under subsection (1) may be exercised only in relation to documents and information of a kind in respect of which the regulator can impose a requirement under section 107.

3 Sections 107(2A) to (4) and (5) to (7) and 108 apply for the purposes of subsection (1) (with any necessary modifications).

4 An inspector may at any reasonable time—

a enter premises occupied by the registered provider which is being inspected, and

b inspect, copy or take away documents found there.

5 The reference to documents found on premises includes—

a documents stored on computers or electronic storage devices on the premises, and

b documents stored elsewhere which can be accessed by computers on the premises.

6 The power to inspect documents includes the power to inspect any computer or electronic storage device on which they have been created or stored.

7 An inspector may require any person on the premises to provide such facilities or assistance as the inspector reasonably requests.

8 For the purposes of subsections (5) and (6) an inspector may require any person having charge of a computer to provide such assistance as the inspector reasonably requests.

9 It is an offence for a person without reasonable excuse to obstruct an inspector exercising the powers conferred by subsections (4) to (8).

10 A person guilty of an offence is liable on summary conviction to a fine not exceeding level 3 on the standard scale.

11 Proceedings for an offence may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

12 In this section “ inspector ” means a person authorised in writing by the regulator to exercise the powers under this section and section 203A for the purposes of an inspection under section 201.

203A Action after inspection¶

1 After an inspection of a registered provider is carried out by an inspector under section 201, the inspector must produce—

a a written summary of the inspector’s findings, and

b a written report about any matters specified by the regulator.

2 The summary and any report must be in the form specified by the regulator.

3 The regulator may specify matters, or the form of a summary or report, for the purposes of inspections generally or for the purposes of a particular inspection or description of inspection.

4 The regulator must give the registered provider a copy of the summary of the inspector’s findings.

5 The regulator must also give the registered provider—

a a copy of the inspector’s report, or

b a notice confirming that no matters were specified for the purposes of subsection (1)(b).

6 The regulator may publish—

a all or part of the summary of the inspector’s findings,

b (where relevant) all or part of the inspector’s report, and

c related information.

^F232204 Performance information¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F233205 Publication of performance information¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I571206 Inquiry¶

1 The regulator may hold an inquiry into the affairs of a registered provider if the regulator suspects that—

a the affairs of the registered provider may have been mismanaged,

b the registered provider has failed to meet a standard under section 193, 194 or 194C, or

c there is a risk that, if no action is taken by the regulator or the registered provider, the registered provider will fail to meet a standard under section 193, 194 or 194C.

2 The regulator shall appoint one or more individuals to conduct the inquiry.

3 An individual is eligible for appointment only if the individual is independent of the regulator.

4 Individuals are independent of the regulator if they and the members of their family—

a are not members or employees of the regulator, and

b have not been members or employees of the regulator within the previous five years.

^F7055 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I572207 Inquiry: supplemental¶

1 The individual or individuals conducting an inquiry (“the inquirer”) shall determine its procedure.

2 The inquirer may consider the affairs of the following categories of registered provider only so far as relating to social housing—

a profit-making organisations;

b local authorities.

3 The inquirer may consider affairs of a body which at the material time was a subsidiary or associate of the registered provider.

4 The inquirer may make interim reports.

5 The inquirer shall make a final report on matters specified by the regulator.

6 The regulator may arrange for the publication of all or part of an interim or final report.

7 A local authority may contribute to the regulator's expenses in connection with an inquiry.

^I573208 Inquiry: evidence¶

1 The inquirer may by notice require a person to provide specified documents or information.

2 The notice may, in particular, require evidence to be given on oath (and the inquirer may administer oaths for that purpose).

3 The power under subsection (1) may be exercised only in relation to documents and information of a kind in respect of which the regulator can impose a requirement under section 107.

4 Sections 107(2A) to (4) and (5) to (7) and 108 apply for the purposes of this section (with any necessary modifications).

^I574209 Inquiry: charities¶

^F5261 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2 An inquiry in relation to a registered charity may only relate to its activities relating to housing.

3 If an inquiry is held in relation to a registered charity the regulator shall notify the Charity Commission.

^I575210 Extraordinary audit¶

1 Where an inquiry in respect of a private registered provider is being held, or has been held, under section 206, the regulator may require the registered provider to allow its accounts and balance sheet to be audited by a qualified auditor appointed by the regulator.

2 “Qualified auditor” means a person eligible for appointment as auditor of the registered provider's ordinary accounts.

3 On completion of the audit, the auditor shall report to the regulator about such matters and in such form as the regulator determines.

4 The revenue accounts of a registered charity may be audited under this section only insofar as they relate to its housing activities.

5 The registered provider shall pay the costs of the audit (including the auditor's remuneration).

210A Extraordinary audit: local authorities¶

1 Where an inquiry in respect of a local authority is being held, or has been held, under section 206, the regulator may require the local authority to allow its accounts, so far as they relate to the provision of social housing, to be audited by a local auditor appointed by the regulator.

1A The regulator may not appoint a local auditor to audit the accounts of a local authority if that person—

a is the person (or one of the persons) appointed under or by virtue of the Local Audit and Accountability Act 2014 to audit the authority's accounts, or

b was the person (or one of the persons) who carried out the most recent completed audit of the authority's accounts under or by virtue of that Act.

1B Sections 20(1), (2), (5) and (6), 22 and 23 of the Local Audit and Accountability Act 2014 (local auditors' general duties and right to documents etc) apply in relation to an audit under this section as they apply in relation to an audit of the local authority under or by virtue of that Act.

1C On completion of the audit under this section, the local auditor must report to the regulator about such matters and in such form as the regulator determines.

^F4152 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F4153 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4 The local authority shall pay the costs of the audit (including the local auditor's remuneration).

5 In this section—

“accounts” has the meaning given by section 4 of the Local Audit and Accountability Act 2014;
“local auditor” means a person who is eligible for appointment under or by virtue of the Local Audit and Accountability Act 2014 as an auditor of the local authority's accounts.

^F320. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .¶

^F320211 Non-profit providers only¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F320212 Registered society: change of rules¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F320213 Charity: change of objects¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F320214 Companies: change of articles¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Guidance¶

215 Use of intervention powers¶

1^I57 The regulator shall publish—

^F524a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b guidance about how it uses and intends to use powers under this Chapter and Chapter 7.

1A In determining whether the regulator has complied with subsection (1) in relation to its power to arrange for inspections under section 201(1), a plan published under section 201A may be taken into account.

^F5252 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F7082A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I5763 The regulator shall have regard to guidance under this section.

216^I58 Consultation¶

Before giving guidance under section 215 the regulator must consult—

za the Secretary of State,

a one or more bodies appearing to it to represent the interests of registered providers,

aa any body for the time being nominated under section 278A,

b one or moreother bodies appearing to it to represent the interests of tenants of social housing,

ba the Greater London Authority,

c one or more bodies appearing to it to represent the interests of local housing authorities,

^F176d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F177e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

f the HCA.

Chapter 7 Enforcement powers¶

General¶

^I578218 Exercise of enforcement powers¶

1 This section applies where the regulator is deciding—

a whether to exercise a power under this Chapter,

b which power under this Chapter to exercise, or

c how to exercise a power under this Chapter.

2 The regulator shall consider—

a the desirability of registered providers being free to choose how to provide services and conduct business;

^F180b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F180c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

d the speed with which the failure or other problem needs to be addressed;

e whether the failure or other problem is serious or trivial.

^F7113 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^F7124 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Performance improvement plans¶

218A Performance improvement plan notice¶

1 The regulator may give a registered provider a notice (a “performance improvement plan notice”) if the regulator is satisfied that—

a the registered provider has failed to meet a standard under section 193, 194, 194A or 194C,

b there is a risk that, if no action is taken by the regulator or the registered provider, the registered provider will fail to meet a standard under section 193, 194, 194A or 194C,

c the registered provider has failed to comply with directions or a request under section 198C,

d the interests of the tenants of social housing of the registered provider require protection, or

e the registered provider has given an undertaking under section 125 and failed to comply with it.

2 A performance improvement plan notice must—

a specify on which of the grounds mentioned in subsection (1) it is given,

b identify the issues which led the regulator to be satisfied of those grounds,

c require the registered provider to prepare and submit to the regulator a plan (a “performance improvement plan”) setting out the action the provider will take to address the issues identified,

d specify the date by which the performance improvement plan must be submitted to the regulator,

e require the registered provider to publish a performance improvement plan if it is approved by the regulator and specify the manner of such publication, and

f explain the effect of subsections (3) and (4) and sections 218B to 218D.

3 The regulator may withdraw a performance improvement plan notice by notice to the registered provider.

4 If a registered provider fails to comply with a performance improvement plan notice the regulator must consider exercising another power under this Chapter or Chapter 6.

218B Performance improvement plans¶

1 The regulator must—

a approve a performance improvement plan submitted in accordance with section 218A(2)(c) and (d), or

b reject it, giving reasons for doing so.

2 A registered provider must implement in full a performance improvement plan that has been approved by the regulator.

3 If a performance improvement plan is rejected, the registered provider will be taken to have failed to comply with the performance improvement plan notice.

4 If a tenant of social housing of a registered provider makes a written request to the provider for a copy of the provider’s performance improvement plan which has been approved by the regulator, the registered provider must provide the tenant with a copy as soon as reasonably practicable.

218C Cancellation of performance improvement plan¶

1 The regulator may, by notice to a registered provider, cancel a performance improvement plan which it has approved.

2 Notice under subsection (1) must specify the date (the “cancellation date”) on which the cancellation takes effect (which may be a date before the notice is given).

3 If a performance improvement plan is cancelled in accordance with subsection (1) the duties mentioned in subsection (4) cease to apply (or are treated as having ceased to apply) from the cancellation date.But this does not affect any action taken (or being taken) by the regulator in relation to a breach of such a duty before the cancellation date.

4 The duties are—

a the duty to publish a performance improvement plan which has been approved (see section 218A(2)(e));

b the duty in section 218B(2) (duty to implement a plan);

c the duty in section 218B(4) (duty to provide copy of plan).

218D Appeals¶

1 A registered provider may appeal to the High Court against a decision of the regulator to give the provider a performance improvement plan notice.

2 An appeal under this section must be brought within the period of 28 days beginning with the day on which the registered provider is given the notice.

3 The requirement to prepare and submit a performance improvement plan is suspended during the appeal period.

4 The “appeal period” means—

a where an appeal is brought, the period beginning with the day on which the performance improvement plan notice is given and ending with the day on which the appeal is finally determined or withdrawn, and

b otherwise, the period during which an appeal could be brought.

5 But where a performance improvement plan has been approved under section 218B an appeal under this section does not suspend—

a the duty to publish a performance improvement plan which has been approved (see section 218A(2)(e));

b the duty in section 218B(2) (duty to implement a plan);

c the duty in section 218B(4) (duty to provide copy of plan).

Enforcement notice¶

^I579219 Overview¶

This group of sections allows the regulator to require a registered provider to take specified action to resolve a specified failure or other problem.

^I580220 Grounds for giving notice¶

1 The regulator may give an enforcement notice to a registered provider if the regulator is satisfied that—

a any of the following cases applies, and

b giving an enforcement notice is appropriate (whether it is likely to be sufficient in itself or a prelude to further action).

2 Case 1 is where the registered provider has failed to meet a standard ^F457... under section 193, 194 or 194C.

3 Case 2 is where the affairs of the registered provider have been mismanaged.

4 Case 3 is where the registered provider has failed to comply with an earlier enforcement notice.

5 Case 4 is where the registered provider has failed to publish information in accordance with a requirement under section 228(3) or 240(3).

6 Case 5 is where the interests of tenants of the registered provider require protection.

7 Case 6 is where the registered provider is a private registered provider and its assets require protection.

8 Case 7 is where the registered provider has given an undertaking under section 125 and failed to comply with it.

9 Case 8 is where the registered provider has failed to pay an annual fee under section 117(1)(b).

10 Case 9 is where an offence under this Part has been committed by the registered provider.

11 Case 10 is where the registered provider has failed to comply with an order made by a housing ombudsman.

^F45811A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

11B Case 12 is where—

a the registered provider—

i does not have a health and safety lead designated under section 126A, or

ii has failed to meet a requirement under section 126C, or

b the functions of the health and safety lead are not being carried out.

11C Case 13 is where the registered provider has failed to comply with directions or a request under section 198C.

11D Case 14 is where the registered provider has failed to comply with a performance improvement plan notice.

11E Case 15 is where the registered provider has a performance improvement plan which has been approved by the regulator and has failed to implement it in full.

12 Where the regulator is satisfied that an offence under this Part has been committed in respect of a registered provider but by another person (such as a member, employee or agent of the registered provider)—

a Case 9 applies,

b the regulator may give an enforcement notice to the other person, and

c this Chapter applies with the substitution of references to that other person for references to the registered provider.

^I581221 Content¶

1 An enforcement notice must—

a specify the grounds on which it is given,

b specify the action the regulator wants the registered provider to take in response to the notice,

c specify when the action is to be taken (which may be immediately on receipt of the notice), and

d explain the effect of sections 223 to 225.

2 The action specified in an enforcement notice may include publishing the notice in a specified manner.

^I582 222 Notifying HCA etc ¶

If the regulator gives an enforcement notice it must send a copy—

^F195a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za to the HCA,

aa in the case of an enforcement notice given to a registered provider who owns land in Greater London, the Greater London Authority, and

b in the case of an enforcement notice given to a local authority, to the Secretary of State.

^I583223 Appeal¶

1 A registered provider who is given an enforcement notice may appeal to the High Court.

2 An appeal under this section must be brought within the period of 28 days beginning with the day on which the registered provider is given the enforcement notice.

^I584224 Withdrawal¶

The regulator may withdraw an enforcement notice by notice to the registered provider.

^I585225 Sanction¶

1 If a registered provider does not comply with an enforcement notice the regulator shall consider exercising another power under Chapter 6 or this Chapter.

2 In the case of an enforcement notice given to a person other than the registered provider by virtue of section 220(12), the regulator may only—

a exercise the power to issue a penalty notice to the person in accordance with sections 226 to 235, or

b take steps to have the person prosecuted for the offence by reference to which the enforcement notice was given.

3 A person to whom an enforcement notice is given on the ground in Case 9 of section 220 may not be prosecuted for the offence by reference to which the enforcement notice was given unless the person fails to comply with the enforcement notice.

Emergency remedial action¶

225A Overview¶

This group of sections gives the regulator power to authorise persons to enter premises to take specified action to remedy specified failures on the part of registered providers.

225B Power to take emergency remedial action¶

1 If the conditions in subsections (2) to (4) are met, the regulator may arrange for an authorised person to take emergency remedial action in respect of premises.

2 Condition 1 is that a survey of the condition of the premises has been carried out under section 199.

3 Condition 2 is that the regulator is satisfied that—

a the registered provider has failed to maintain the premises in accordance with standards under section 193, and

b that failure has caused an imminent risk of serious harm to the health or safety of the occupiers of those or other premises.

4 Condition 3 is that the registered provider has failed to comply with an enforcement notice requiring it to take action to address the failure mentioned in subsection (3)(a).

5 In this section and in sections 225C to 225G, “emergency remedial action”, in relation to premises, is carrying out such works to the premises as the authorised person considers immediately necessary to remove the imminent risk of serious harm mentioned in subsection (3)(b).

6 In this section and in sections 225C to 225G, “authorised person” means a member of the regulator’s staff, or another person, authorised in writing by the regulator for the purposes of the section concerned.

7 Arrangements for a person other than a member of the regulator’s staff to take emergency remedial action may include provision about payments.

225C Emergency remedial action: power to enter without warrant¶

1 An authorised person may enter premises at any reasonable time, or times, to take emergency remedial action.

2 The power in subsection (1) may only be exercised if an authorised person has given a pre-entry notice to—

a if the premises are occupied, the occupier (or any one of the occupiers),

b if the premises include common parts of a building and there are occupied dwellings in the building that have use of those common parts, the occupier (or any one of the occupiers) of each of those dwellings,

c the registered provider whose failure to maintain the premises has caused the imminent risk of serious harm, and

d each person registered in the register kept under section 1 of the Land Registration Act 2002 as the proprietor of a registered estate (within the meaning of that Act) in the premises.

3 A pre-entry notice required by subsection (2) need only be given once in respect of emergency remedial action in relation to premises, even if an authorised person enters the premises on more than one occasion in order to take the emergency remedial action.

4 A “pre-entry notice” is a notice which—

a identifies the premises to be entered;

b identifies the failure to maintain the premises which has caused the imminent risk of serious harm;

c states that a person authorised by the regulator intends to enter the premises;

d specifies the date (or the first date) that the authorised person proposes to enter the premises to take emergency remedial action;

e specifies the power under this section as the power under which the authorised person intends to enter the premises;

f explains the effect of section 225H.

5 A pre-entry notice may state that, if entry to the premises were to be refused, an authorised person would propose to apply for a warrant under section 225E.

6 An authorised person may not enter premises in reliance on a pre-entry notice—

a before the date (or the first date) specified in the notice, or

b within 24 hours of giving the notice,

except where the relevant person in respect of the notice consents.

7 In subsection (6), “the relevant person” in respect of the pre-entry notice means—

a in the case of a pre-entry notice required by subsection (2)(a) or (b), the occupier (or any one of the occupiers) of the premises or dwelling;

b in the case of a pre-entry notice required by subsection (2)(c) or (d), the person (or each person) to whom a pre-entry notice is required to be given.

8 In this section, “common parts”, in relation to a building, includes the structure and exterior of that building and any common facilities provided (whether or not in the building) for persons who occupy the building.

225D Power under section 225C: supplementary¶

1 A pre-entry notice required by section 225C(2)(a) or (b) may be given by fixing it to some conspicuous part of the premises.

2 A pre-entry notice required by section 225C(2)(d) may be given by sending it to an address supplied for the purpose of service of notice under the Land Registration Act 2002 (see paragraph 5 of Schedule 10 to that Act).

3 An authorised person who under section 225C has entered, or who is seeking to enter, premises to take emergency remedial action must produce a copy of the authorisation mentioned in 225B(6) on request by an occupier.

4 An authorised person entering premises to take emergency remedial action may—

a be accompanied by such other persons, and

b take onto the premises such equipment or materials,

as the authorised person thinks necessary for the purposes of taking the emergency remedial action.

5 Equipment or materials taken onto premises by virtue of subsection (4)(b) may be left in a place on the premises until the emergency remedial action has been taken provided that—

a leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

b leaving the equipment or the materials on the premises is necessary for the purposes of taking the emergency remedial action and it is not possible to leave it or them in a place that does not significantly impair the ability of an occupier to use the premises.

6 Where the premises include common parts of a building (as defined in section 225C), references in subsection (5) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.

225E Emergency remedial action: power to enter with warrant¶

2 The justice may issue a warrant authorising the authorised person who is named in it to enter the premises to take emergency remedial action where the justice is satisfied that—

a entry to the premises has been sought under section 225C but has been refused,

b the premises are unoccupied or that the occupier is temporarily absent, or

c there are reasonable grounds to believe that the authorised person will not be able to obtain entry to the premises without a warrant.

3 A warrant under this section authorises the authorised person to enter the premises at any reasonable time, or times, using reasonable force if necessary.

5 Equipment or materials taken onto premises by virtue of subsection (4) may be left in a place on the premises until the emergency remedial action has been taken provided that—

a leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

7 A warrant under this section may authorise persons (“accompanying persons”) to accompany the authorised person.

8 Accompanying persons—

a have the same powers as the authorised person in respect of execution of the warrant, but

b must exercise those powers only in the company, and under the supervision, of the authorised person.

9 An authorised person who has entered, or who is seeking to enter, premises under a warrant under this section must produce on request by any person—

a a copy of the warrant;

b a copy of the authorisation mentioned in 225B(6).

10 A warrant under this section continues in force until the emergency remedial action has been taken.

225F Offences¶

1 A registered provider, or an officer of a registered provider, commits an offence if the provider or officer obstructs an authorised person—

a in exercising a power under section 225C or 225D, or

b in exercising a power under section 225B, where the authorised person has entered the premises to take emergency remedial action under the power in section 225C.

2 A person commits an offence if the person obstructs an authorised person—

a in exercising a power conferred by a warrant under section 225E, or

b in exercising a power under section 225B, where the authorised person has entered the premises to take emergency remedial action under a warrant under section 225E.

3 A person guilty of an offence under this section is liable on summary conviction to a fine not exceeding level 4 on the standard scale.

4 Proceedings for an offence under this section may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

225G Reclaiming expenses¶

1 Where the regulator makes arrangements under section 225B, the regulator may by notice require the registered provider concerned to pay to the regulator—

a such relevant expenses as are specified in the notice;

b interest on those expenses (see subsection (4)).

2 “Relevant expenses” are—

a expenses reasonably incurred by the regulator—

i in deciding whether to make arrangements under section 225B;

ii in making those arrangements;

iii in the authorised person taking emergency remedial action;

b any costs reasonably incurred by the regulator related to the action in paragraph (a)(iii).

3 Sums mentioned in subsection (1)(a) are payable at the end of the period of 28 days beginning with the day on which the notice is given.

4 Interest may be charged on any sums not paid by the end of the period mentioned in subsection (3) at such reasonable rate as the regulator may determine.

225H Appeals¶

1 A registered provider may appeal to the High Court against—

a a decision of the regulator to make arrangements under section 225B(1);

b a decision of the regulator to give a notice under section 225G(1).

2 An appeal under subsection (1)(a) must be brought within the period of 28 days beginning—

a with the day on which the registered provider is given the pre-entry notice under section 225C(2), or

b with the day on which the premises were first entered under a warrant obtained under section 225E on the grounds in subsection (2)(b) or (c) of that section.

3 An appeal under subsection (1)(b) must be brought within the period of 28 days beginning with the day on which the registered provider is given the notice under section 225G(1).

4 No question may be raised on an appeal under subsection (1)(b) which might have been raised on an appeal under subsection (1)(a).

5 Where an appeal under subsection (1)(b) is brought—

a the requirement to pay the sums described in section 225G(1)(a) is suspended during the period beginning with the day on which the notice under section 225G(1) is given and ending with the day on which the appeal is finally determined or withdrawn, and

b no interest is payable by virtue of section 225G(1)(b) in respect of that period.

Penalty¶

^I586226 Overview¶

This group of sections allows the regulator to penalise failures on the part of ^F717... registered providers by the imposition of fines.

^I587227 Grounds for imposition¶

1 The regulator may require a ^F720... registered provider to pay a penalty if the regulator is satisfied that—

a any of the following cases applies, and

b the imposition of a penalty is appropriate (whether or not as part of a response including other action).

2 Case 1 is where the registered provider has failed to meet a standard under section 193, 194 or 194C.

3 Case 2 is where the affairs of the registered provider have been mismanaged.

4 Case 3 is where the registered provider has failed to comply with an enforcement notice.

5 Case 4 is where the registered provider has given an undertaking under section 125 and failed to comply with it.

6 Case 5 is where the registered provider has failed to pay an annual fee under section 117(1)(b).

7 Case 6 is where an offence under this Part has been committed by the registered provider.

^F5027A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7B Case 8 is where—

a the registered provider—

i does not have a health and safety lead designated under section 126A, or

ii has failed to meet a requirement under section 126C, or

b the functions of the health and safety lead are not being carried out.

7C Case 9 is where the registered provider has failed to comply with directions or a request under section 198C.

7D Case 10 is where the registered provider has failed to comply with a performance improvement plan notice.

7E Case 11 is where the registered provider has failed to comply with the duty in section 218B(4) (duty to provide copy of performance improvement plan).

8 Where the regulator is satisfied that an offence under this Part has been committed in respect of a registered provider but by another person (such as a member, employee or agent of the registered provider)—

a Case 6 applies,

b the regulator may require the other person to pay a penalty, and

c this Chapter applies with the substitution of references to that other person for references to the registered provider.

9 In order to rely on Case 6 the regulator must be satisfied beyond reasonable doubt that it applies.

228 Imposition¶

^I5881 A penalty is imposed by the regulator giving notice (a “penalty notice”) to the registered provider.

^I5882 The notice must specify—

a the grounds on which the penalty is imposed,

b the amount of the penalty,

c how the penalty must be paid,

d a period within which it must be paid, and

e any interest or additional penalty which, by virtue of section 234(2), is payable in the event of late payment.

^I5883 The notice may require the registered provider to publish information about the penalty in a specified manner.

^I5884 The notice must explain the effect of sections 234(1), (3) and (6) and 235.

^I417^I5895 The Secretary of State—

a shall make regulations about the period under subsection (2)(d),

b may make other regulations about the form and content of a penalty notice, and

c may make regulations about the manner in which a penalty notice is given.

^I590229 Amount¶

1 The amount of a penalty imposed on the ground specified in Case 6 of section 227 may not exceed the maximum amount (if any) of fine that a magistrates' court could impose for the relevant offence.

2 The amount of a penalty that may be imposed on the ground specified in any other Case of that section is unlimited.

^F7233 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I591230 Warning¶

1 Before giving a penalty notice to a registered provider the regulator must give the provider a notice (a “pre-penalty warning”)—

a specifying grounds on which the regulator thinks a penalty could be imposed,

b warning the provider that the regulator is considering imposing a penalty,

c including any indication that the regulator is able to give of the likely amount of any penalty, and

d explaining the effect of sections 231, 234(1), (3) and (6) and 235.

2 If the regulator gives a pre-penalty warning it must send a copy to—

^F201a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa the Greater London Authority (if the pre-penalty warning is given to a registered provider who owns land in Greater London), and

b any other persons it thinks appropriate.

3 For the purposes of subsection (2)(b) the regulator shall consider, in particular, any person who provided information as a result of which the pre-penalty warning is given.

4 A pre-penalty warning must—

a refer to section 125 (voluntary undertaking), and

b indicate whether or to what extent the regulator would accept a voluntary undertaking instead of, or in mitigation of, a penalty.

5 A pre-penalty warning may be combined with notice under one or more of sections 242, 248, 250 and 252.

^I592231 Representations¶

1 A pre-penalty warning must specify a period during which the registered provider may make representations to the regulator.

2 The period must—

a be a period of at least 28 days, and

b begin with the date on which the registered provider receives the pre-penalty warning.

3 Representations may concern—

a whether a penalty should be imposed;

b the amount of any penalty that may be imposed.

4 After the end of the period specified under subsection (1) the regulator shall—

a consider any representations made, and

b decide whether to impose a penalty.

231A Notifying the HCA¶

If the regulator imposes a penalty on a registered provider it must send a copy of the penalty notice to the HCA.

^F230232 Notifying HCA¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

232A Notifying the Greater London Authority¶

If the regulator imposes a penalty on a registered provider who owns land in Greater London, it must send a copy of the penalty notice to the Greater London Authority.

^I593233 Destination¶

1 This section applies where the regulator receives money by way of penalty.

2 The regulator may deduct a sum which represents—

a the direct costs to the regulator of imposing and enforcing the penalty, and

b a reasonable share of expenditure by the regulator which is indirectly referable to the imposition and enforcement of the penalty.

3 Any excess shall be paid to the HCA, to be used for purposes which appear to it to amount to investment in social housing.

234 Enforcement¶

^I5941 A penalty shall be treated as a debt owed to the regulator.

^I419^I5952 The Treasury may make regulations authorising the regulator—

a to charge interest on penalty not paid during the period specified under section 228(2)(d);

b to impose one or more additional penalties where a penalty is not paid during that period.

^I5943 Interest and additional penalty shall be treated as penalty (and may have the effect of increasing the penalty above a limit set by section 229).

^I419^I5954 Regulations under subsection (2)(a) may provide for an interest rate to be—

a set by a specified person, or

b determined in accordance with the regulations.

^I5945 A penalty notice may include provision allowing a discount if the penalty is paid on or before a date specified in the notice (falling within the period specified under section 228(2)(d)).

^I5946 A person to whom a penalty notice is given on the ground in Case 6 of section 227 may not be prosecuted for the offence by reference to which the penalty notice was given.

^I596235 Appeal¶

1 A registered provider who is given a penalty notice may appeal to the High Court against—

a the imposition of the penalty,

b its amount, or

c both.

2 An appeal under this section must be brought within the period of 28 days beginning with the day on which the registered provider is given the penalty notice.

3 The requirement to pay the penalty is suspended during the appeal period.

4 Regulations under section 234(2) may not authorise the regulator to—

a charge interest in respect of the appeal period, or

b impose additional penalties during that period.

5 The “appeal period” means—

a where an appeal is brought, the period beginning with the day on which the penalty notice is given and ending with the day on which the appeal is finally determined or withdrawn, and

b otherwise, the period during which an appeal could be brought.

Compensation¶

^I597236 Overview¶

This group of sections allows the regulator to award compensation to a victim of a failure on the part of a private registered provider.

^I598237 Grounds for award¶

1 The regulator may require a private registered provider to pay compensation if the regulator is satisfied that—

a any of the following cases applies, and

b the award of compensation is appropriate (whether or not as part of a response including other action).

2 Case 1 is where the registered provider has failed to meet a standard under section 193, 194 or 194C.

3 Case 2 is where the registered provider has given an undertaking under section 125 and failed to comply with it.

^F5354 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5 Case 4 is where the registered provider has failed to comply with a performance improvement plan notice.

6 Case 5 is where the registered provider has failed to comply with the duty in section 218B(4) (duty to provide copy of performance improvement plan).

^I599238 Nature¶

1 Compensation in respect of a failure may be awarded to one or more persons who have suffered as a result of the failure.

2 But an award may be made only to—

a a specified tenant of social housing provided by the registered provider,

b each member of a specified class of tenants of social housing provided by the registered provider, or

c each member of the class of tenants of social housing provided by the registered provider.

^I600239 Housing ombudsman compensation¶

1 The regulator may not award compensation to a person in respect of a matter if a housing ombudsman has awarded compensation to the person in respect of the matter.

^F2462 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

240 Award¶

^I6011 Compensation is awarded by the regulator giving notice (a “compensation notice”) to—

a the registered provider, and

b the person to be compensated.

^I6012 The notice must specify—

a the grounds on which the compensation is awarded,

b the amount of the compensation,

c the person to be compensated,

d any interest or additional compensation which, by virtue of section 244(2), is payable in the event of late payment, and

e a period within which it must be paid.

^I6013 The notice may require the registered provider to publish information about the compensation award in a specified manner.

^I6014 The notice must explain the effect of sections 244(1) and (3) and 245.

^I418^I6025 The Secretary of State—

a shall make regulations about the period under subsection (2)(e),

b may make other regulations about the form and content of a compensation notice, and

c may make regulations about the manner in which a compensation notice is given.

^I603241 Impact¶

1 This section applies when the regulator is considering—

a whether to award compensation, or

b the amount of compensation to award.

2 The regulator must take account of any information available to it about the financial situation of the registered provider.

3 The regulator must consider the likely impact of the compensation on the registered provider's ability to provide services.

4 In particular, the regulator must aim to avoid—

a jeopardising the financial viability of the registered provider,

b preventing the registered provider from honouring financial commitments, or

c preventing the registered provider from taking action to remedy the matters on the grounds of which the compensation might be awarded.

^I604242 Warning¶

1 Before giving a compensation notice to a private registered provider the regulator must give the provider a notice (a “pre-compensation warning”)—

a specifying grounds on which the regulator thinks compensation could be awarded,

b warning the provider that the regulator is considering awarding compensation to a specified person,

c including any indication that the regulator is able to give of the likely amount of any compensation, and

d explaining the effect of sections 243, 244(1) and (3) and 245.

2 Before giving a pre-compensation warning the regulator must consult the housing ombudsman for the scheme of which the registered provider is a member.

3 If the regulator gives a pre-compensation warning it must send a copy to—

^F197a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa the Greater London Authority (if the pre-compensation warning is given to a registered provider who owns land in Greater London), and

b any other persons it thinks appropriate.

4 For the purposes of subsection (3)(b) the regulator shall consider, in particular, any person who provided information as a result of which the pre-compensation warning is given.

5 A pre-compensation warning must—

a refer to section 125 (voluntary undertaking), and

b indicate whether or to what extent the regulator would accept a voluntary undertaking instead of, or in mitigation of, awarding compensation.

6 A pre-compensation warning may be combined with notice under one or more of sections 230, 248, 250 and 252.

^I605243 Representations¶

1 A pre-compensation warning must specify a period during which the registered provider may make representations to the regulator.

2 The period must—

a be a period of at least 28 days, and

b begin with the date on which the registered provider receives the pre-compensation warning.

3 Representations may address—

a whether compensation should be awarded;

b the amount of any compensation that may be awarded.

4 After the end of the period specified under subsection (1) the regulator shall—

a consider any representations made, and

b decide whether to award compensation.

244 Enforcement¶

^I6061 Compensation shall be treated as a debt owed to the person to whom it is awarded.

^I420^I6072 The Treasury may make regulations authorising the regulator—

a to award interest on compensation not paid during the period specified under section 240(2)(e);

b to award additional compensation where compensation is not paid during that period.

^I6063 Interest and additional compensation shall be treated as compensation.

^I420^I6074 Regulations under subsection (2)(a) may provide for an interest rate to be—

a set by a specified person, or

b determined in accordance with the regulations.

^I608245 Appeal¶

1 A private registered provider who is given a compensation notice may appeal to the High Court against—

a the award of compensation,

b its amount, or

c both.

2 An appeal under this section must be brought within the period of 28 days beginning with the day on which the registered provider is given the compensation notice.

3 The requirement to pay the compensation is suspended during the appeal period.

4 Regulations under section 244(2) may not authorise the regulator to—

a award interest in respect of the appeal period, or

b award additional compensation during that period.

5 The “appeal period” means—

a where an appeal is brought, the period beginning with the day on which the compensation notice is given and ending with the day on which the appeal is finally determined or withdrawn, and

b otherwise, the period during which an appeal could be brought.

Management etc.¶

^I609246 Overview¶

This group of sections gives the regulator various powers in relation to the management and constitution of registered providers.

^I610247 Management tender¶

1 This section applies if the regulator is satisfied that—

a a registered provider has failed to meet a standard ^F505... under section 193, 194 or 194C,

^F506aa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

ab a registered provider—

i does not have a health and safety lead designated under section 126A, or

ii has failed to meet a requirement under section 126C(1),

ac the functions of the health and safety lead are not being carried out,

b the affairs of a registered provider have been mismanaged in relation to social housing , or

c a registered provider has failed to comply with a performance improvement plan notice.

2 The regulator may by notice require the registered provider to implement a process specified by the regulator for the purpose of—

a inviting persons to apply to undertake management functions of the registered provider, and

b selecting from the applications and making an appointment.

3 A requirement may relate to—

a the registered provider's affairs generally in so far as they relate to social housing, or

b specified affairs relating to social housing.

4 A requirement must include—

a provision about the constitution of a selection panel (which must include provision for ensuring representation of tenants' interests),

b provision for ensuring best procurement practice (and consistent with any applicable procurement law), and

c provision about the terms and conditions on which the manager is to be appointed (including provision about—

i setting, monitoring and enforcing performance standards, and

ii resources).

^I611248 Section 247: supplemental¶

1 Before acting under section 247(2) the regulator must give the registered provider a notice—

a specifying grounds on which action might be taken under that section,

b warning the provider that the regulator is considering action under that section, and

c explaining the effect of this section.

2 The notice must specify a period during which the registered provider may make representations to the regulator.

3 The period must—

a be a period of at least 28 days, and

b begin with the date on which the registered provider receives the notice.

4 The regulator must send a copy of a notice under subsection (1) to—

^F143a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa the Greater London Authority (if the notice is given to a registered provider who owns land in Greater London),

b the Secretary of State (if the notice is given to a local authority), and

c any other persons the regulator thinks appropriate.

5 A notice under subsection (1) must—

a refer to section 125 (voluntary undertaking), and

b indicate whether or to what extent the regulator would accept a voluntary undertaking instead of, or in mitigation of, action under section 247(2).

6 Notice under subsection (1) may be combined with notice under one or more of sections 230, 242, 250 and 252.

7 In imposing a requirement the regulator must have regard to views of—

a relevant tenants,

b the registered provider,

ba the HCA,

^F145c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

ca the Greater London Authority (if the notice is given to a registered provider who owns land in Greater London),

d the Secretary of State (if the registered provider is a local authority), and

e if the regulator thinks it appropriate, any relevant local housing authority.

8 If the regulator imposes a requirement it must send a copy—

^F148 a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa in the case of a requirement imposed on a registered provider who owns land in Greater London, to the Greater London Authority, and

b in the case of a requirement imposed on a local authority, to the Secretary of State.

9 A registered provider may appeal to the High Court against a requirement under section 247(2).

10 An appeal under this section must be brought within the period of 28 days beginning with the day on which the regulator notifies the registered provider of the imposition of a requirement on the provider under section 247(2).

^I612249 Management transfer¶

1 This section applies if as a result of an inquiry under section 206 or an audit under section 210 or 210A the regulator is satisfied that—

a the affairs of a registered provider have been mismanaged in relation to social housing, ^F728...

b a transfer of certain of a registered provider's management functions would be likely to improve the management of some or all of its social housing , or

c the registered provider has failed to meet a standard under section 193, 194 or 194C.

2 The regulator may by notice require the registered provider to transfer management functions to a specified person.

3 A requirement to transfer management functions may be imposed only with the Secretary of State's consent (both as to the transfer and the terms).

4 A requirement may relate to—

a the registered provider's affairs generally in so far as they relate to social housing, or

b specified affairs relating to social housing.

5 Transfer shall be on terms and conditions (including as to remuneration) specified in, or determined in accordance with, the requirement.

6 A transferee manager shall have—

a any power specified in the requirement, and

b any other power in relation to the registered provider's affairs required by the manager for the purposes specified in the requirement (including the power to enter into agreements and take other action on behalf of the registered provider).

^I613250 Section 249: supplemental¶

1 Before acting under section 249(2) the regulator must give the registered provider a notice—

a specifying grounds on which action might be taken under that section,

b warning the provider that the regulator is considering action under that section, and

c explaining the effect of this section.

2 The notice must specify a period during which the registered provider may make representations to the regulator.

3 The period must—

a be a period of at least 28 days, and

b begin with the date on which the registered provider receives the notice.

4 The regulator must send a copy of a notice under subsection (1) to—

^F149a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa in the case of a notice given to a registered provider who owns land in Greater London, the Greater London Authority,

b in the case of a notice given to a local authority, the Secretary of State, and

c any other persons the regulator thinks appropriate (having regard, in particular, to any person who provided information as a result of which the notice is given).

5 A notice under subsection (1) must—

a refer to section 125, and

b indicate whether or to what extent the regulator would accept a voluntary undertaking under that section instead of, or in mitigation of, action under section 249(2).

6 Notice under subsection (1) may be combined with notice under one or more of sections 230, 242, 248 and 252.

7 In imposing a requirement the regulator must have regard to views of—

a relevant tenants,

b the registered provider,

ba the HCA,

^F151c . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

ca if the requirement would be imposed on a registered provider who owns land in Greater London, the Greater London Authority,

d if the requirement would be imposed on a local authority, the Secretary of State, and

e if the regulator thinks it appropriate, any relevant local housing authority.

8 If the regulator imposes a requirement it must send a copy—

^F154 a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa in the case of a requirement imposed on a registered provider who owns land in Greater London, to the Greater London Authority, and

b in the case of a requirement imposed on a local authority, to the Secretary of State.

9 A registered provider may appeal to the High Court against a requirement under section 249(2).

250A Sections 247 and 249: local authorities¶

1 This section makes further provision about the application of sections 247 and 249 in a case where the registered provider is a local authority.

2 The regulator may act under those sections even if the local authority already has a management agreement in place.

3 But while a section 247 or 249 arrangement is in force, the local authority may not give effect to a management agreement as respects functions of the authority which are the subject of the arrangement.

4 Any duty the local authority may have to consult with respect to the exercise of its management functions (for example, a duty arising by virtue of section 27BA of the Housing Act 1985) does not apply so far as it is acting pursuant to a requirement imposed on it under section 247 or 249.

5 A section 247 or 249 arrangement—

a is not to be considered a management agreement, but

b subsections (13) and (15) of section 27 of the Housing Act 1985 apply to it as they apply to a management agreement.

6 In this section—

“management agreement” has the meaning given by section 27(2)(a) and 27B(4) of the Housing Act 1985;
“section 247 or 249 arrangement” means an arrangement which is entered into pursuant to a requirement imposed on a local authority under section 247 or 249 and by which functions of the authority are to be exercised by a manager on its behalf.

^I614251 Appointment of manager of private registered provider¶

1 This section applies if the regulator is satisfied that—

a a private registered provider has failed to meet a standard under section 193, 194 or 194C,

^F482aa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b the affairs of a private registered provider have been mismanaged in relation to social housing.

2 The regulator may by notice to the registered provider —

a appoint ^F730... a manager of the registered provider, or

b require the registered provider to appoint ^F730... a manager.

3 An appointment or requirement may relate to a manager—

a of the registered provider's affairs generally in so far as they relate to social housing, or

b of specified affairs relating to social housing.

4 Appointment shall be on terms and conditions (including as to remuneration) specified in, or determined in accordance with, the appointment or requirement.

5 A manager shall have—

a any power specified in the appointment or requirement, and

b any other power in relation to the registered provider's affairs required by the manager for the purposes specified in the appointment or requirement (including the power to enter into agreements and take other action on behalf of the registered provider).

^I615252 Section 251: supplemental¶

1 Before acting under section 251(2) the regulator must give the registered provider a notice—

a specifying grounds on which action might be taken under that section,

b warning the provider that the regulator is considering action under that section, and

c explaining the effect of this section.

2 The registered provider may make representations to the regulator about the notice within the period of 5 days beginning with the day on which the provider receives the notice.

2A Unless the registered provider consents, the regulator may not take action under section 251(2) before the expiry of the period within which the provider may make representations.

^F7333 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

4 The regulator must send a copy of a notice under subsection (1) to—

^F164a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

za the HCA,

aa the Greater London Authority (if the notice is given to a registered provider who owns land in Greater London), and

b any other persons it thinks appropriate (having regard, in particular, to any person who provided information as a result of which the notice is given).

5 A notice under subsection (1) must—

a refer to section 125 (voluntary undertaking), and

b indicate whether or to what extent the regulator would accept a voluntary undertaking instead of, or in mitigation of, action under section 251(2).

6 Notice under subsection (1) may be combined with notice under one or more of sections 230, 242, 248 and 250.

6A The regulator must notify the HCA of an appointment or requirement under section 251(2).

^F1657 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7A The regulator must notify the Greater London Authority of an appointment or requirement under section 251(2) in respect of a registered provider who owns land in Greater London.

8 The regulator may require a manager to report to the regulator on the affairs specified in the appointment or requirement under section 251(3).

9 A private registered provider may appeal to the High Court against an appointment or requirement under section 251(2).

10 An appeal under this section must be brought within the period of 28 days beginning with the day on which—

a the regulator notifies the registered provider of an appointment made under section 251(2)(a) (in the case of an appeal against an appointment), or

b the regulator notifies the registered provider of the imposition of a requirement on the provider under section 251(2)(b) (in the case of an appeal against a requirement).

252A Appointment of advisers to local authorities¶

1 This section applies to a registered provider which is a local authority.

2 The power in subsection (3) is exercisable if the regulator is satisfied—

a that it is necessary to exercise it for the proper management of the authority’s affairs so far as they relate to the provision of social housing (its “social housing affairs”), ^F734...

b that it is desirable to exercise it in the interests of securing better services for the authority’s tenants,

c that the authority—

i does not have a health and safety lead designated under section 126A, or

ii has failed to meet a requirement under section 126C(1),

d that the functions of the health and safety lead are not being carried out,

e that the authority has failed to meet a standard under section 193, 194 or 194C , or

f that the authority has failed to comply with a performance improvement plan notice.

3 The regulator may—

a appoint one or more advisers to assist the authority in relation to its social housing affairs (or a particular aspect of those affairs), or

b require the authority to appoint one or more advisers for that purpose.

4 Appointment shall be on terms and conditions (including as to remuneration) specified in, or determined in accordance with, the appointment or requirement.

5 A requirement under subsection (3)(b) may specify a process which the authority is required to implement for selecting and appointing advisers.

6 The authority must cooperate with any advisers appointed by virtue of this section.

^I616253 Transfer of land by private registered provider¶

1 This section applies if as a result of an inquiry under section 206 or an audit under section 210 the regulator is satisfied that—

a the affairs of a private registered provider have been mismanaged in relation to social housing, ^F739...

b a transfer of land by a private registered provider would be likely to improve the management of the land , or

c the registered provider has failed to meet a standard under section 193, 194 or 194C.

2 The regulator may require the registered provider to transfer specified land—

a to the regulator, or

b to another specified private registered provider.

3 A requirement may be imposed on a profit-making registered provider only in relation to its social housing and associated land.

4 For the purposes of subsection (3) land is associated with social housing if the regulator thinks that it is used in connection with the social housing or its management.

5 A requirement may not be imposed on a non-profit registered provider requiring it to transfer land to a profit-making registered provider.

6 A requirement may not be imposed on a registered charity.

7 A requirement may be imposed on a charity which is not registered (C1), but only for transfer to another charity (C2) whose objects the regulator thinks are similar to those of C1.

^I617254 Section 253: supplemental¶

1 A transfer under section 253 shall be on terms specified in, or determined in accordance with, the requirement.

2 The price shall be not less than an amount certified by the district valuer as the amount the property would fetch if sold by a willing seller to another registered provider.

3 The terms shall include provision as to the payment of any debts or liabilities in respect of the land (whether or not secured on it).

4 A requirement to transfer land may be imposed only with the Secretary of State's consent (both as to the transfer and the terms).

5 Where land is transferred to the regulator under section 253(2)(a)—

a the regulator may dispose of it only to a registered provider, and

b if it is transferred by a non-profit registered provider, the regulator may dispose of it only to a non-profit registered provider.

^I618255 Amalgamation¶

1 This section applies if as a result of an inquiry under section 206 or an audit under section 210 the regulator is satisfied that—

a the affairs of a non-profit registered provider which is a registered society have been mismanaged in relation to social housing, ^F741...

b the management of social housing owned by a non-profit registered provider which is a registered society would be improved if the provider were amalgamated with another registered society , or

c the registered provider has failed to meet a standard under section 193, 194 or 194C.

2 The regulator may make and execute on behalf of the society an instrument providing for the amalgamation of the society with another registered society.

3 The regulator may act under subsection (2) only with the Secretary of State's consent.

4 An instrument providing for the amalgamation of a society (“S1”) with another has the same effect as a resolution by S1 under section 109 of the Co-operative and Community Benefit Societies Act 2014 (amalgamation of societies by special resolution).

5 A copy of an instrument shall be sent to and registered by the Financial Conduct Authority.

6 An instrument does not take effect until the copy is registered.

7 The copy must be sent for registration during the period of 14 days beginning with the date of execution; but a copy registered after that period is valid.

8 Any body created by virtue of an amalgamation—

a must be registered by the regulator and designated as a non-profit organisation, and

b pending registration shall be treated as registered and designated as a non-profit organisation.

Restrictions on dealings by ^F586... registered providers¶

^I619256 Restrictions on dealings during inquiry¶

1 The regulator may make an order under this section if—

a an inquiry under section 206 is in progress in respect of a private registered provider, and

b either of the following cases applies.

2 Case 1 applies if the regulator is satisfied—

a that the affairs of the registered provider have been mismanaged, and

b that the interests of tenants of the registered provider, or its assets, require protection.

3 Case 2 applies if as a result of an inquirer's interim report under section 207 the regulator is satisfied that—

a the affairs of the registered provider have been mismanaged, or

b the registered provider has failed to meet a standard under section 194.

4 The regulator may order a bank or other person who holds money or securities on behalf of the registered provider not to part with the money or securities without the regulator's consent.

5 The regulator may make an order restricting—

a the transactions that may be entered into by the registered provider, or

b the nature and amounts of payments that may be made by it.

6 An order under subsection (5) may in particular provide that transactions may not be entered into or payments made without the regulator's consent.

6A If the registered provider is a registered charity, the regulator must notify the Charity Commission if it makes an order under this section.

^F5407 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

8 An order ceases to have effect at the end of the period of 6 months beginning with the day on which the inquirer's final report under section 207 is made.

9 But the regulator—

a may revoke the order before that time;

b may by order extend it for a specified period of up to 6 months.

^I620257 Restrictions on dealings following inquiry¶

1 This section applies if as a result of an inquiry under section 206 or an audit under section 210 the regulator is satisfied that—

a the affairs of a private registered provider have been mismanaged, or

b a private registered provider has failed to meet a standard under section 194.

2 The regulator may order a bank or other person who holds money or securities on behalf of the registered provider not to part with the money or securities without the regulator's consent.

3 The regulator may make an order restricting—

a the transactions that may be entered into by the registered provider, or

b the nature and amounts of payments that may be made by it.

4 An order under subsection (3) may in particular provide that transactions may not be entered into or payments made without the regulator's consent.

4A If the registered provider is a registered charity, the regulator must notify the Charity Commission if it makes an order under this section.

^F5445 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

6 An order under this section has effect until revoked by the regulator.

^I621258 Restrictions on dealings: supplemental¶

1 Before making an order under section 256 or 257 the regulator must take all reasonable steps to give notice to—

a the registered provider, and

b in the case of an order under section 256(4) or 257(2), the person to whom the order is directed.

2 Contravention of an order under section 256(4) or 257(2) is an offence.

3 A person guilty of an offence is liable on summary conviction to a fine ^F570....

4 Proceedings for an offence may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

Suspension and removal of officers of ^F587... registered providers¶

^I622259 Suspension during inquiry¶

1 The regulator may make an order under this section if—

a an inquiry under section 206 is in progress in respect of a private registered provider, and

b any of the following cases applies.

2 Case 1 applies if the regulator is satisfied—

a that the affairs of the registered provider have been mismanaged, and

b that the interests of tenants of the registered provider, or its assets, require protection.

3 Case 2 applies if as a result of an inquirer's interim report under section 207 the regulator is satisfied that—

a the affairs of the registered provider have been mismanaged, or

b the registered provider has failed to meet a standard under section 193, 194 or 194C.

3A Case 3 applies if the regulator is satisfied that an officer, employee or agent of the registered provider is obstructing, or failing to co-operate with, the inquiry.

4 The regulator may by order—

a where Case 1 or Case 2 applies, suspend any officer, employee or agent of the registered provider who it thinks has contributed to the mismanagement or failure, or

b where Case 3 applies, suspend the officer, employee or agent who it thinks is obstructing, or failing to co-operate with, the inquiry.

^F5495 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

6 An order ceases to have effect at the end of the period of 6 months beginning with the day on which the inquirer's final report under section 207 is made.

7 But the regulator may revoke an order before the end of that period.

7A If the regulator makes an order, the regulator must—

a take all reasonable steps to notify the person suspended, and

b notify the registered provider.

8 The regulator shall notify the Charity Commission if it suspends an officer, employee or agent of a registered charity.

^I623260 Removal or suspension following inquiry¶

1 This section applies if as a result of an inquiry under section 206 or an audit under section 210 the regulator is satisfied that—

a the affairs of a private registered provider have been mismanaged, or

b a private registered provider has failed to meet a standard under section 193, 194 or 194C.

2 The regulator may by order remove any officer, employee or agent of the registered provider who—

a it thinks has contributed to the mismanagement or failure, or

b it thinks obstructed, or failed to co-operate with, the inquiry under section 206.

3 Pending a decision whether to remove an officer, employee or agent, the regulator may by order suspend the person for a specified period of up to 6 months.

^F5464 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5 Before making an order the regulator must take all reasonable steps to give at least 14 days' notice to—

a the person, and

b the registered provider.

5A If the regulator makes an order, the regulator must—

a take all reasonable steps to notify the person removed or suspended, and

b notify the registered provider.

6 The regulator shall notify the Charity Commission if it removes or suspends an officer, employee or agent of a registered charity.

^I624261 Suspension under section 259 or 260: supplemental¶

1 This section applies where the regulator suspends an officer, employee or agent of a registered provider under section 259 or 260.

2 The regulator may give directions to the registered provider about—

a the performance of the suspended person's functions, and

b any other matter arising from the suspension.

3 The regulator may appoint a person to perform the suspended person's functions.

^I625262 Disqualification of removed person¶

1 A person is disqualified from acting as an officer of a registered provider if the person has been removed under—

a section 260, or

b paragraph 24(2)(a) of Schedule 1 to the Housing Act 1996 (c. 52), section 30(1)(a) of the Housing Associations Act 1985 (c. 69) or section 20(1)(a) of the Housing Act 1974 (c. 44) (other similar provisions).

2 The regulator may waive a disqualification either generally or in relation to a particular registered provider or class of registered providers.

3 A waiver may be granted only on an application by the disqualified person.

4 The regulator shall notify a person whose disqualification is waived.

5 If a disqualified person acts as an officer of a registered provider, the person's acts are not invalid by reason only of the disqualification.

^I626263 Register of disqualified persons¶

1 The regulator shall maintain a register of persons disqualified under section 262.

2 The register must show details of any waivers.

3 The regulator shall make the register available for inspection by the public.

^I627264 Acting while disqualified: offence¶

1 It is an offence for a person to act as an officer of a registered provider in respect of which the person is disqualified under section 262.

2 A person guilty of an offence is liable—

a on summary conviction, to imprisonment for a term not exceeding the general limit in a magistrates’ court or a fine ^F568... or both;

b on conviction on indictment, to imprisonment for a term not exceeding two years or a fine or both.

3 Proceedings for an offence may be brought only by or with the consent of—

a the regulator, or

b the Director of Public Prosecutions.

4 In relation to an offence committed before 2 May 2022 the reference in subsection (2)(a) to the general limit in a magistrates’ court shall have effect as if it were a reference to 6 months.

^I628265 Acting while disqualified: other consequences¶

1 This section applies where the regulator is satisfied that a person—

a has acted as an officer of a registered provider in respect of which the person is disqualified under section 262, and

b in doing so, has received payments or other benefits from the registered provider.

2 The regulator may require the person to repay the sum or, as the case may be, a specified amount representing the whole or part of the value of the benefit.

3 If a person fails to comply with a requirement the registered provider may recover the sum or specified amount as a debt.

^I629266 Removal of officers¶

1 The regulator may by order remove an officer of a private registered provider if a Case listed in this section applies to the officer.

2 Case 1 applies to a person who has been made bankrupt.

3 Case 2 applies to a person who has made an arrangement with creditors.

4 Case 3 applies to a person who is subject to a disqualification order or a disqualification undertaking under the Company Directors Disqualification Act 1986 (c. 46) or equivalent legislation in Northern Ireland.

5 Case 4 applies to a person who is subject to an order under section 429(2) of the Insolvency Act 1986 (c. 45) (disabilities on revocation of county court administration order).

6 Case 5 applies to a person who is disqualified under section 178 of the Charities Act 2011 from being a charity trustee.

7 Case 6 applies to a person who is incapable of acting by reason of mental disorder.

8 Case 7 applies to a person who is impeding the proper management of the registered provider by reason of absence or failure to act.

9 Case 8 applies to a person who is obstructing the regulator, or failing to co-operate with the regulator, in the performance of the regulator’s functions under this Part.

^I630267 Section 266: supplemental¶

1 Before making an order under section 266 in respect of an officer the regulator must take all reasonable steps to give at least 14 days' notice to—

a the officer, and

b the registered provider.

1A If the regulator makes an order, the regulator must—

a take all reasonable steps to notify the person removed, and

b notify the registered provider.

1B The regulator must notify the Charity Commission if it makes an order removing an officer of a registered charity.

^F5102 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I631268 Appeal against removal or suspension¶

1 A person removed or suspended under section 259, 260 or 266 may appeal to the High Court.

2 An appeal under this section must be brought within the period of 28 days beginning with the day on which the registered provider concerned is notified of the removal or suspension.

^I632269 Appointment of new officers¶

1 The regulator may by order appoint a person as an officer of a private registered provider—

a to replace an officer removed by order under section 266,

b where there are no officers, ^F758...

ba in the case of a registered provider which is a registered charity, registered society or registered company, if none of the officers is a board member,

bb if the regulator is satisfied that the registered provider has failed to meet a standard under section 193, 194 or 194C, or

c if the regulator is satisfied an additional officer is necessary to ensure that the registered provider's affairs are managed in accordance with legal requirements (imposed by or under an Act or otherwise).

1A In subsection (1)(ba), “board member” means—

a in the case of a registered charity which is not a registered company, a charity trustee within the meaning given by section 177 of the Charities Act 2011;

b in the case of a registered society, a member of its committee within the meaning given by section 149 of the Co-operative and Community Benefit Societies Act 2014;

c in the case of a registered company, a director within the meaning given by section 250 of the Companies Act 2006.

2 The regulator may appoint more than a minority of the officers of a registered provider only if—

a the provider has fewer officers than required by its constitution, or

b its constitution does not specify a minimum number of officers.

3 Subsection (1) overrides any restriction on eligibility or numbers of officers imposed by the body's constitution.

4 An order appointing an officer shall specify the period for which, and the terms on which, the office is to be held; but—

a ^F516... the regulator may by order renew the appointment (on any number of occasions), and

b the officer may resign or retire in accordance with the registered provider's constitution.

5 An officer appointed by order has the same rights, powers and obligations as an officer appointed under the registered provider's constitution.

6 The regulator may exercise the power in subsection (1) in respect of a registered charity only if—

^F518a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

b the regulator notified the Charity Commission of its intention to do so .

Censure of local authority employees¶

269A Local authorities: censure during or following inquiry¶

1 The regulator may give a censure notice to a local authority if—

a an inquiry under section 206 is in progress in respect of the authority, and

b either of the following cases applies.

2 Case 1 applies if the regulator is satisfied—

a that the affairs of the authority have been mismanaged, and

b that the interests of tenants of the authority, or its assets, require protection.

3 Case 2 applies if as a result of an inquirer’s interim report under section 207 the regulator is satisfied that—

a the affairs of the authority have been mismanaged, or

b the authority has failed to meet a standard under section 193, 194 or 194C.

4 The regulator may also give a censure notice to a local authority if, as a result of an inquiry under section 206, the regulator is satisfied that—

a the affairs of the authority have been mismanaged, or

b the authority has failed to meet a standard under section 193, 194 or 194C.

5 A censure notice is a notice identifying an employee or agent of the authority who the regulator thinks has contributed to the failure or mismanagement.

6 The notice must include the regulator’s reasons.

7 The regulator shall send a copy of the notice to the employee or agent concerned.

8 No more than one employee or agent may be identified in a censure notice (but this does not prevent several notices being given in respect of the same failure or mismanagement).

9 Members of local authorities may not be identified in censure notices.

269B Response to censure notice¶

1 A local authority to whom a censure notice is given under section 269A must respond to the regulator in writing within 28 days of receipt of the notice.

2 The response must—

a explain what action (if any) the authority has taken or proposes to take in relation to the employee or agent,

b explain why the authority does not think the employee or agent has contributed to the failure or mismanagement, or

c explain why the authority does not think its affairs have been mismanaged or it has failed to meet the standard (as the case may be).

Chapter 8 General¶

Interpretation¶

^I633270 Officer¶

The Table gives the meaning of “officer” in relation to registered providers.

private registered provider	Meaning of “officer”
Registered charity which is not a registered company	Trustee, secretary or treasurer
Registered society	“Officer” within the meaning given by section 149 of the Co-operative and Community Benefit Societies Act 2014 (including a person co-opted to serve on the society's committee)
Registered company	“Officer” within the meaning given by section 1173 of the Companies Act 2006
Limited liability partnership	A member of the limited liability partnership

^I634271 Subsidiary and associate¶

1 A person (“A”) is a subsidiary of another person (“B”) if—

a A is a subsidiary undertaking in relation to B for the purposes of the Companies Acts (see section 1162 of, and Schedule 7 to, the Companies Act 2006), or

b A would be a subsidiary undertaking in relation to B for those purposes if “undertaking” were defined for those purposes to mean any person.

6 “Associate” of a provider means—

a a body of which the provider is a subsidiary, and

b any other subsidiary of that body.

^I635272 Family¶

1 For the purposes of this Part one person is a member of the family of another if—

a they are, or live together as if they were, spouses or civil partners, or

b one is the parent, grandparent, child, grandchild, brother, sister, uncle, aunt, nephew or niece of the other.

2 For those purposes—

a a relationship by marriage or civil partnership shall be treated as a relationship by blood (and, in particular, P's stepchild shall be treated as P's child), and

b a relationship by half-blood shall be treated as a relationship by whole blood.

^I636273 Disposal¶

1 In this Part a reference to disposing of property is a reference to—

a selling it,

b leasing it,

c mortgaging it,

d making it subject to a charge, and

e disposing of it, or of any interest in it, in any other way.

2 Granting an option to require a disposal shall be treated as making a disposal.

^F571274 Charities that have “received public assistance”¶

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I59^I637^C117275 General¶

In this Part, except where the context requires otherwise—

“action” includes inaction, proposed action and decision,
“assured agricultural occupancy” has the same meaning as in Part 1 of the Housing Act 1988,
“assured tenancy” has the same meaning as in that Part,
“the Charity Commission” means the Charity Commission for England and Wales,
“committee”, in relation to a registered society, means the committee of management or other directing body of the society (including any person co-opted to serve on the committee, whether a member of the society or not),
“consent” means written consent,
“constitution” includes rules,
“contract-holder” has the meaning given in section 7 (see also section 48) of the Renting Homes (Wales) Act 2016 (anaw 1),
“conveyance” includes grant, assignment and any other instrument,
“district valuer” has the meaning given by section 622 of the Housing Act 1985 (c. 68),
“dwelling”—
1. means a house, flat or other building or part of a building occupied or intended to be occupied as a separate dwelling, and
2. includes any garden, yard, outhouse or other appurtenance belonging to, or usually enjoyed with, the dwelling,
“the HCA” means the Homes and Communities Agency,
“housing ombudsman” means a housing ombudsman appointed in accordance with a scheme approved under Schedule 2 to the Housing Act 1996,
^F261. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
“local authority” means—
1. the council of a county in England,
2. a district council,
3. a London borough council,
4. the Common Council of the City of London, or
5. the Council of the Isles of Scilly;
“local housing authority” has the same meaning as in the Housing Act 1985,
“maintenance” includes repair,
“mismanagement”, in relation to the affairs of a registered provider, means managed in breach of any legal requirements (imposed by or under an Act or otherwise);
“non-registrable charity” means a charity which is not required to be registered, in accordance with section 30 of the Charities Act 2011,
“notice” means written notice (and to “notify” means to give written notice),
“occupation contract” has the meaning given in section 7 of the Renting Homes (Wales) Act 2016,
"preferential creditor", "preferential debt”, “ordinary preferential debt”, “ordinary non-preferential debt”, “secondary preferential debt”, “secondary non-preferential debt”, “tertiary non-preferential debt” and “relevant financial institution” have the same meaning as in the Insolvency Act 1986 (c. 45),
“price” includes premium,
“registered charity” means a charity registered under the Charities Act 2011,
“registered company” means a company within the meaning of the Companies Act 2006 (c. 46),
“registered society” has the same meaning as in the Co-operative and Community Benefit Societies Act 2014,
“rent” includes payments under a licence to occupy accommodation,
“representations” means written representations,
“secure tenancy” has the same meaning as in Part 4 of the Housing Act 1985 (c. 68),
“secured creditor” means a creditor who holds a mortgage or charge (including a floating charge) over—
1. land held by a registered provider, or
2. a present or future interest of a registered provider in rents or other receipts from land,
“tenant” in relation to social housing includes other occupiers, and
^F335. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

^I60^I638^C118276 Index of defined terms¶

The Table lists expressions defined in this Part.

Expression	Section
^F184. . .	^F184. . .
Appointed member	Section 80B
Associate	Section 271
Assured agricultural occupancy	Section 275
Assured tenancy	Section 275
Censure notice	Section 269A
The chair	Section 80B
Charity Commission	Section 275
Committee (registered society)	Section 275
Compensation notice	Section 240
Consent	Section 275
Constitution	Section 275
Contract-holder	Section 275
Conveyance	Section 275
Disposal	Section 273
District valuer	Section 275
Dwelling	Section 275
Emergency remedial action	section 225B
Enforcement notice	Sections 219 to 225
English body	section 79
Equity percentage arrangements	Section 70(5)
^F385. . .	^F385. . .
Family	Section 272
Financial year	Section 104
Financial Year	Section 100E
Fundamental objectives	Section 92K
The HCA	Section 275
health and safety lead	section 126A(2)
health and safety requirement	section 126B(2)
Housing ombudsman	section 275
^F263. . .	^F263. . .
^F385. . .	^F385. . .
Local authority	Section 275
Local housing authority	Section 275
Low cost home ownership accommodation	Section 70
Low cost rental accommodation	Section 69
Maintenance	Section 275
Mismanagement	Section 275
Non-profit organisation	Section 115
Non-registrable charity	Section 275
Notice	Section 275
Occupation contract	Section 275
Officer	Section 270
Ordinary non-preferential debt	Section 275
Ordinary preferential debt	Section 275
Penalty notice	Section 228
Performance improvement plan	Section 218A
Performance improvement plan notice	Section 218A
Pre-compensation warning	Section 242
Pre-penalty warning	Section 230
Preferential creditor	Section 275
Preferential debt	Section 275
Price	Section 275
Private registered provider (of social housing)	Section 80
Profit-making organisation	Section 115
Provider (of social housing)	Section 80
^F572. . .	^F572. . .
Registered charity	Section 275
Registered company	Section 275
Registered provider (of social housing)	Section 80
Registered society	Section 275
The regulator	Section 80A
The Regulator of Social Housing	Section 80A
Relevant financial institution	Section 275
Rent	Section 275
Representations	Section 275
Secondary non-preferential debt	Section 275
Secondary preferential debt	Section 275
Secure tenancy	Section 275
Secured creditor	Section 275
Shared ownership arrangements	Section 70(4)
Shared ownership trust	Section 70(6)
Social housing	Section 68
Subsidiary	Section 271
Tenant	Section 275
Tertiary non-preferential debt	Section 275
^F336. . .	^F336. . .

Miscellaneous¶

276A Exercise of powers: land with a Crown or Duchy interest¶

1 The powers in Chapters 6 and 7 are exercisable in relation to premises which are on land in which there is a Crown interest or a Duchy interest.

2 A “Crown interest” means—

a an interest belonging to His Majesty in right of the Crown, or

b an interest belonging to a government department or held in trust for His Majesty for the purposes of a government department.

3 A “Duchy interest” means an interest belonging to His Majesty in right of the Duchy of Lancaster or belonging to the Duchy of Cornwall.

276B Data protection¶

1 This section applies to a duty or power to process information where the duty or power is imposed or conferred by or by virtue of any provision of this Part.

2 A duty or power to which this section applies does not operate to require or authorise the processing of information which would contravene the data protection legislation (but the duty or power is to be taken into account in determining whether the processing would contravene that legislation).

3 In this section “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act).

^I61^I301^I423^I639277 Consequential amendments¶

Schedule 9 (which contains amendments of enactments) has effect.

^I640278 Transitional¶

1 The regulator shall include in the register under section 111 on its establishment anyone—

a who was registered under section 1 of the Housing Act 1996 (c. 52) (register of social landlords) immediately before section 61 came into force, and

b in relation to whom the Relevant Authority was the Housing Corporation (in accordance with section 56 of that Act).

2 A person registered under this section shall be designated as a non-profit organisation.

278A Power to nominate for consultation purposes¶

1 The Secretary of State may for the purposes of the following provisions of this Part nominate a body appearing to the Secretary of State to represent the interests of tenants of social housing in England—

a section 112(4);

^F573b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

c section 196(1);

d section 197(4);

e section 216.

2 The Secretary of State must notify the regulator of any nomination (or withdrawal of any nomination) under this section.

Part 3 Other provisions¶

Chapter 1 Sustainability certificates¶

General¶

279 Certificates for new homes¶

1 A person who is selling a residential property as a new property must supply the purchaser with—

a a sustainability certificate, or

b a written statement to the effect that there is no sustainability certificate for the property.

2 If the seller is to supply a sustainability certificate, the seller must supply it before the sale is agreed if it is reasonably practicable to do so.

3 If it is not reasonably practicable to do so, the seller must—

a supply an interim certificate before the sale is agreed, and

b supply the sustainability certificate at such time, or within such period, as may be prescribed.

4 If the seller is to supply a statement, the seller must supply it before the sale is agreed.

5 The appropriate national authority may by regulations require sellers to supply certificates or statements to purchasers earlier than required by subsection (2), (3)(a) or (4).

6 The appropriate national authority may by regulations provide for exceptions from any duty imposed by virtue of subsections (1) to (5) in such cases and circumstances, and to such extent, as may be specified in the regulations.

7 Regulations under subsection (6) may impose alternative duties in relation to the supply of certificates or statements.

8 The seller is not required to comply with a requirement imposed by virtue of this section if the seller has a reasonable excuse for not complying with the requirement.

9 The seller may not charge for supplying a certificate or statement by virtue of this section.

10 The power conferred by subsection (3)(b) may, in particular, be exercised so as to prescribe a time, or a period which ends, after the completion of the sale.

11 In this Chapter—

“interim certificate” means a document which—
1. contains an interim assessment of the sustainability of a residential property, and
2. complies with the requirements of regulations under this Chapter,
“sustainability certificate” means a document which—
1. contains a final assessment of the sustainability of a residential property, and
2. complies with the requirements of regulations under this Chapter.

280 Meaning of sustainability¶

1 For the purposes of this Chapter the sustainability of a residential property relates to the extent to which—

a the materials used in the property,

b other aspects of the design and construction of the property, and

c any services, fittings and equipment provided in, or in connection with, the property,

meet any sustainability standards.

2 Sustainability standards are standards prescribed by the appropriate national authority for any of the following purposes—

a ensuring the health, safety, welfare and convenience of persons in or about the property and of others who may be affected by the property or matters connected with it,

b furthering the efficient management of the property and of its construction,

c furthering energy efficiency,

d furthering the efficient use of water and minimising flood risk,

e furthering efficient waste management,

f furthering the protection or enhancement of the environment, and

g furthering the prevention or detection of crime.

3 The appropriate national authority may by regulations amend subsection (2) so as to add, remove or alter purposes for the time being contained there.

4 The references in this section to the construction of the property include references to any related demolition and any off-site activities relating to the construction or demolition.

281 Authorised assessors¶

1 The assessment of the sustainability of a residential property is to be carried out for the purposes of this Chapter by an authorised assessor.

2 The appropriate national authority may by regulations make provision about authorised assessors.

3 The regulations must specify the persons or descriptions of persons who are to be authorised assessors.

4 Subsections (5) to (9) apply if regulations under subsection (2) provide for authorised assessors to be persons accredited under an approved accreditation scheme.

5 The regulations may make provision about accreditation schemes.

6 The regulations may, in particular, provide for—

a the approval by the appropriate national authority of one or more accreditation schemes (whether established by the appropriate national authority or another person),

b the withdrawal by the appropriate national authority of any such approval,

c the charging of fees under accreditation schemes.

7 Any regulations of the kind mentioned in subsection (6)(a) must require the appropriate national authority to be satisfied, before approving an accreditation scheme, that the scheme contains appropriate provision—

a for ensuring that members of the scheme are fit and proper persons who are qualified (by their education, training and experience) to carry out assessments,

b for ensuring that a code of conduct for members of the scheme is maintained and published,

c for ensuring that members of the scheme have in force suitable indemnity insurance,

d for facilitating the resolution of complaints against members of the scheme,

e for requiring certificates or other documents given by members of the scheme to be entered on a register under section 282,

f for the keeping of a public register of the members of the scheme, and

g for such other purposes as may be specified in the regulations.

8 Subsection (7) does not limit the matters which the regulations may require the appropriate national authority to be satisfied about before approving an accreditation scheme.

9 Regulations under subsection (5) may, in particular, require or authorise an approved accreditation scheme to contain provision about any matter relating to sustainability certificates or other documents with which the scheme is concerned (including the terms on which members of the scheme may undertake to produce such documents).

282 Register of certificates¶

1 The appropriate national authority may by regulations make provision about a register of sustainability certificates.

2 The regulations may, in particular, make provision of the kind mentioned in subsections (3) to (7).

3 The regulations may provide for a register to be kept—

a by (or on behalf of) the appropriate national authority, or

b by such other person as the regulations may specify or describe.

4 The regulations may require a person wishing to enter a document onto a register to pay such fee as may be prescribed.

5 No person may disclose—

a a register or any document (or part of a document) contained in it, or

b any information contained in, or derived from, a register,

except in accordance with any provision of the regulations which authorises or requires such a disclosure to be made.

6 The regulations may make provision as to circumstances in which, or purposes for which, a person or a person of a prescribed description—

a may (on payment of such fee, if any, as may be prescribed)—

i inspect a register or any document (or part of a document) contained in it,

ii take or be given copies of a register or any document (or part of a document) contained in it, or

iii be given information contained in, or derived from, a register, or

b may disclose anything obtained by virtue of provision made under paragraph (a).

7 The purposes which may be so prescribed may be public purposes or purposes of private undertakings or other persons.

8 A person who contravenes subsection (5) is guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale.

9 The appropriate national authority may by regulations provide for interim certificates or other documents to be included on a register.

10 In such a case, subsections (1) to (8) apply in relation to the interim certificates or other documents concerned as they apply in relation to sustainability certificates.

Enforcement¶

283 Enforcement authorities¶

1 Every local weights and measures authority is an enforcement authority for the purposes of this Chapter.

2 It is the duty of each enforcement authority to enforce in its area the duties imposed by virtue of section 279.

284 Power to require production of certificates or statements¶

1 Subsection (2) applies if an authorised officer of an enforcement authority believes that a person is, or has been, subject to a duty imposed by virtue of section 279 to supply a certificate or statement in relation to a particular property.

2 The officer may require the person to produce for inspection a copy of the certificate or statement.

3 The power conferred by subsection (2) includes power—

a to require the production of a legible hard copy of any certificate or statement which is held in electronic form, and

b to take copies of any hard copy produced for inspection.

4 A requirement under this section may not be imposed more than 6 months after the last day for supplying the certificate or statement concerned in pursuance of the duty imposed by virtue of section 279.

5 A person is not required to comply with a requirement under this section if the person has a reasonable excuse for not complying with the requirement.

6 Subject to this, a person subject to such a requirement must comply with it within the period of 7 days beginning with the day after that on which it is imposed.

285 Penalty charge notices¶

1 An authorised officer of an enforcement authority may give a penalty charge notice to a person if the officer believes that the person has committed a breach of—

a any duty imposed by virtue of section 279, or

b any duty under section 284.

2 A penalty charge notice may not be given after the end of the period of 6 months beginning with the day (or, in the case of a continuing breach, the last day) on which the breach of duty was committed.

3 Schedule 10 (which makes further provision about penalty charge notices) has effect.

286 Offences relating to enforcement officers¶

1 A person who, without reasonable excuse, obstructs an officer of an enforcement authority who is acting in pursuance of duties imposed by virtue of this Chapter is guilty of an offence.

2 A person who, not being an authorised officer of an enforcement authority, purports to act as such in pursuance of section 284 or 285 is guilty of an offence.

3 A person guilty of an offence under this section is liable on summary conviction to a fine not exceeding level 5 on the standard scale.

Supplementary¶

287 Grants¶

1 The appropriate national authority may make grants towards expenditure incurred by any person in connection with the development of proposals for, or the operation of—

a a register under section 282, or

b accreditation schemes or any other provision which may be made by regulations under this Chapter.

2 A grant under this section may be made on conditions, which may include (among other things)—

a conditions as to the purposes for which the grant or any part of it may be used, and

b conditions requiring the repayment (with or without interest) of the grant or any part of it in such circumstances as may be specified in the conditions.

288 Suspension of duties¶

1 The appropriate national authority may by regulations suspend (or later revive) the operation of any duty imposed by virtue of section 279.

2 Such regulations may provide for the suspension of a duty to take effect only for a period specified in the regulations.

3 A duty which is (or is to any extent) revived after being suspended may be suspended again.

289 Disclosure of certificates etc.¶

1 The appropriate national authority may by regulations make provision about the disclosure of—

a sustainability certificates, interim certificates or statements of the kind mentioned in section 279(1)(b),

b copies of any such documents,

c any information contained in, or derived from, any such documents or copies, or

d any information collected by an authorised assessor for the purposes of preparing a sustainability certificate or an interim certificate.

2 A person who, without reasonable excuse, discloses anything whose disclosure is prohibited by regulations under subsection (1) is guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale.

290 General powers to make regulations¶

1 The appropriate national authority may by regulations make such provision as the authority considers appropriate—

a for the general purposes, or any particular purpose, of this Chapter,

b in consequence of any provision made by virtue of this Chapter or for giving full effect to it.

2 Such regulations may, in particular, provide for—

a the form and content of sustainability certificates and interim certificates,

b the form and content of written statements of the kind mentioned in section 279(1)(b),

c ways in which sustainability standards may be met,

d the issue of guidance for the purposes of this Chapter,

e the relationship between any provision made by virtue of this Chapter and any provision ^F114... in relation to energy performance certificates.

3 Regulations made by virtue of subsection (2)(a) or (b) may, in particular, provide for the form or content of the documents concerned to be such as may be approved by the appropriate national authority.

4 In subsection (2)(e) “energy performance certificate” has the same meaning as in the Energy Performance of Buildings (Certificates and Inspections) (England and Wales) Regulations 2007 (S.I. 2007/991) (see regulation 2(1)) or any corresponding subsequent regulations.

291 Powers to extend Chapter¶

1 The appropriate national authority may by regulations provide for this Chapter to apply, with or without prescribed modifications, to—

a buildings which are not residential properties, or

b prescribed descriptions of buildings falling within paragraph (a),

as it applies to residential properties.

2 The appropriate national authority may by regulations provide for this Chapter to apply, with or without prescribed modifications, to—

a newly converted residential properties,

b newly converted buildings which are not residential properties, or

c prescribed descriptions of residential properties falling within paragraph (a) or buildings falling within paragraph (b),

as it applies to new residential properties.

3 For the purposes of this Chapter a residential property or other building is newly converted if—

a it has been converted but has never been used for its intended purpose,

b it is being converted, or

c its conversion is being designed.

4 The appropriate national authority may by regulations provide for circumstances in which a residential property or other building is to be treated as having been converted.

5 The references in subsections (1)(a) and (b), (2)(b) and (c) and (3) and (4) to buildings include references to—

a ancillary land, and

b buildings and ancillary land which are being designed or constructed or are to be constructed.

6 The appropriate national authority may by regulations amend the definition of “purchaser” in section 292(1).

7 Regulations under subsection (6)—

a must ensure that the descriptions of persons falling within the definition on the passing of this Act continue to fall within the definition (but this is without prejudice to the power to amend the text of the definition), and

b may, in particular, ensure that descriptions of persons who are taking steps with a view to deciding whether to purchase residential properties are included within the definition.

292 Chapter 1: interpretation etc.¶

1 In this Chapter—

“ancillary land”, in relation to a building, means any land intended to be occupied and enjoyed together with the building,
“appropriate national authority” means—
1. in relation to England, the Secretary of State, and
2. in relation to Wales, the Welsh Ministers,
“building” includes part of a building,
“modifications” includes omissions,
“prescribed” means prescribed by regulations made by the appropriate national authority,
“purchase”, in relation to a residential property, means acquire, or agree to acquire, by way of purchase a relevant interest in the property,
“purchaser”, in relation to a residential property, means a person who has—
1. made an offer to purchase it, or
2. purchased it,
“relevant interest”, in relation to a residential property, means—
1. the freehold interest in the property,
2. such leasehold interests as may be prescribed, or
3. an option to acquire the freehold interest or any such prescribed leasehold interest,
“residential property” means a building which is, or is intended to be, occupied as a separate dwelling (including one that is being designed or constructed or is to be constructed) and includes any ancillary land, but it does not include a newly converted residential property,
“sell”, in relation to a residential property, means—
1. dispose, or agree to dispose, by way of sale of a relevant interest in the property, or
2. offer such an interest for sale,
“sustainability”, in relation to residential properties, is to be read in accordance with section 280.

2 Any reference in subsection (1) or (5) to the disposal of a relevant interest includes a reference to the creation of such an interest.

3 For the purposes of this Chapter a person who is selling a residential property is to be treated as selling it as a new property if, at the time in question—

a the property is being designed,

b the property is being constructed, or

c the construction of the property has been finished but the property has never been occupied as a dwelling.

4 For the purposes of this Chapter, the construction of a residential property is to be treated as finished if the property—

a is wind and weather proof,

b is safe and sanitary for any occupiers or visitors,

c has facilities for the supply of space heating, hot and cold water and electricity,

d has washing and drainage facilities, and

e meets any other prescribed requirements.

5 For the purposes of this Chapter a sale is agreed—

a in the case of a legally binding agreement to dispose by way of sale, when the agreement is entered into, and

b in the absence of such an agreement, when the disposal is made.

6 Any requirement imposed by virtue of section 279 to supply a certificate or statement—

a may be met by supplying a copy of the certificate or statement, and

b may be met by supplying the certificate or statement (or copy) in electronic form if the intended recipient consents to receiving it in that form.

7 For the purposes of this Chapter a certificate, statement or copy supplied in electronic form is only to be treated as being received if the recipient is readily able (using equipment available to the recipient)—

a to view the document in a form that is legible, and

b to produce hard copies of it in a legible form.

8 The sale or purchase of a residential property is not invalid merely because of a failure to comply with any requirement imposed by virtue of this Chapter.

293 Index of defined expressions: Chapter 1¶

In this Chapter, the expressions listed in the left-hand column have the meaning given by, or are to be interpreted in accordance with, the provisions listed in the right-hand column.

Expression	Provision
Agreed (in relation to a sale)	Section 292(5)
Ancillary land	Section 292(1)
Appropriate national authority	Section 292(1)
Building	Section 292(1)
Enforcement authority	Section 283(1)
Finished (in relation to construction of residential property)	Section 292(4)
Interim certificate	Section 279(11)
Modifications	Section 292(1)
Newly converted	Section 291(3)
Prescribed	Section 292(1)
Purchase	Section 292(1)
Purchaser	Section 292(1)
Relevant interest	Section 292(1)
Residential property	Section 292(1)
Sell	Section 292(1)
Sell as new property	Section 292(3)
Supply (in relation to certificates or statements)	Section 292(6) and (7)
Sustainability	Section 280
Sustainability certificate	Section 279(11)

Chapter 2 Landlord and tenant matters¶

Tenant empowerment¶

294 Ballots before certain disposals to private landlords¶

1 Schedule 3A to the Housing Act 1985 (c. 68) (consultation before disposal to private sector landlord) is amended as follows.

2 After paragraph 3(3) insert—

3 In paragraph 5(1)—

a for “it appears to him” substitute “ the result of a ballot arranged under paragraph 3(4) shows ”, and

b after “relates” insert “ who voted in the ballot ”.

4 After paragraph 5 insert—

5 Subsections (2) to (4) do not apply to consultations begun before the coming into force of those subsections.

6 For the purposes of subsection (5) a consultation has begun when a notice has been served under paragraph 3(2) of Schedule 3A to the Act of 1985.

^I304295 Management agreements: extending requirements to co-operate¶

1 Section 27AB of the Housing Act 1985 (c. 68) (management agreements with tenant management organisations) is amended as follows.

2 In subsection (2), after paragraph (b), insert—

3 In subsection (4)—

a in paragraph (a) after “authority” insert “ or the person making the regulations ”,

b after paragraph (b), insert—

, and

c in paragraph (c) after “guidance” insert “ or directions ”.

^I305296 Requirements to co-operate in relation to certain disposals of land¶

After section 34 of the Housing Act 1985 (c. 68) (consents in relation to disposals of land held for housing purposes) insert—

34A Requirements to co-operate in relation to certain disposals

1 The appropriate person may make regulations for imposing requirements on a local housing authority in any case where a tenant group serves written notice on the authority proposing that the authority should dispose of particular land held by them for the purposes of this Part, or a particular description of such land, to a relevant housing provider.

2 The regulations may make provision requiring the authority—

a to provide, or finance the provision of, such office accommodation and facilities, and such training, as the tenant group reasonably requires for the purpose of pursuing the proposal;

b to arrange for such feasibility studies with respect to the proposal as may be determined by or under the regulations to be conducted by such persons as may be so determined;

c to provide to the tenant group such information or descriptions of information, in connection with the proposal, as may be prescribed in the regulations;

d to take, in circumstances prescribed in the regulations, such other steps as may be so prescribed to co-operate with the tenant group in connection with the proposal;

e to arrange for such ballots or polls with respect to the proposal as may be determined by or under the regulations to be conducted by such persons as may be so determined; and

f in such circumstances as may be prescribed by the regulations, to enter into an agreement for the disposal.

3 The regulations may make provision—

a for determining the houses and other land to which the disposal should relate, and the amounts which should be paid in respect of the disposal;

b requiring the agreement for the disposal to be in such form as may be approved by the appropriate person and to contain such provisions as may be prescribed by the regulations.

4 The regulations may make such procedural, incidental, supplementary and transitional provisions as may appear to the appropriate person necessary or expedient, and may in particular make provision—

a for particular questions arising under the regulations to be determined by the authority or the appropriate person;

b setting time-limits for the carrying out of requirements under the regulations;

c requiring any person exercising functions under the regulations to act in accordance with any guidance or directions given by the appropriate person.

5 Nothing in subsections (2) to (4) is to be taken as prejudicing the generality of subsection (1).

6 Any regulations which provide for the appropriate person to approve a proposal for a local housing authority to dispose of land must ensure that the authority has the opportunity to make representations to the appropriate person before the appropriate person decides whether or not to approve the proposal.

7 This section does not affect any requirement under section 32 or 33 for the consent of the Secretary of State or the Welsh Ministers.

8 Regulations under this section—

a may make different provision with respect to different cases or descriptions of case, including different provision for different areas; and

b are to be made by statutory instrument which—

i in the case of an instrument made by the Secretary of State, is subject to annulment in pursuance of a resolution of either House of Parliament; and

ii in the case of an instrument made by the Welsh Ministers, is subject to annulment in pursuance of a resolution of the National Assembly for Wales.

9 In this section—

“appropriate person” means—
1. in relation to England, the Secretary of State; and
2. in relation to Wales, the Welsh Ministers;
“relevant housing provider” means—
1. in relation to England, a registered provider of social housing; and
2. in relation to Wales, a registered social landlord; and
“tenant group” means a body or other person which satisfies such conditions as may be determined by or under the regulations.

Family intervention tenancies¶

^I346297 Family intervention tenancies: general¶

1 In Schedule 1 to the Housing Act 1985 (c. 68) (tenancies which are not secure tenancies) after paragraph 4 insert—

4ZA Family intervention tenancies

1 A tenancy is not a secure tenancy if it is a family intervention tenancy.

2 But a tenancy mentioned in sub-paragraph (1) becomes a secure tenancy if the landlord notifies the tenant that it is to be regarded as a secure tenancy.

3 In this paragraph “a family intervention tenancy” means, subject to sub-paragraph (4), a tenancy granted by a local housing authority in respect of a dwelling-house—

a to a person (“the new tenant”) against whom a possession order under section 84 in respect of another dwelling-house—

i has been made, in relation to a secure tenancy, on ground 2 or 2A of Part 1 of Schedule 2;

ii could, in the opinion of the authority, have been so made in relation to such a tenancy; or

iii could, in the opinion of the authority, have been so made if the person had had such a tenancy; and

b for the purposes of the provision of behaviour support services.

4 A tenancy is not a family intervention tenancy for the purposes of this paragraph if the local housing authority has failed to serve a notice under sub-paragraph (5) on the new tenant before the new tenant entered into the tenancy.

5 A notice under this sub-paragraph is a notice stating—

a the reasons for offering the tenancy to the new tenant;

b the dwelling-house in respect of which the tenancy is to be granted;

c the other main terms of the tenancy (including any requirements on the new tenant in respect of behaviour support services);

d the security of tenure available under the tenancy and any loss of security of tenure which is likely to result from the new tenant agreeing to enter into the tenancy;

e that the new tenant is not obliged to enter into the tenancy or (unless otherwise required to do so) to surrender any existing tenancy or possession of a dwelling-house;

f any likely action by the local housing authority if the new tenant does not enter into the tenancy or surrender any existing tenancy or possession of a dwelling-house.

6 The appropriate national authority may by regulations made by statutory instrument amend sub-paragraph (5).

7 A notice under sub-paragraph (5) must contain advice to the new tenant as to how the new tenant may be able to obtain assistance in relation to the notice.

8 The appropriate national authority may by regulations made by statutory instrument make provision about the type of advice to be provided in such notices.

9 Regulations under this paragraph may contain such transitional, transitory or saving provision as the appropriate national authority considers appropriate.

10 A statutory instrument containing (whether alone or with other provision) regulations under this paragraph which amend or repeal any of paragraphs (a) to (f) of sub-paragraph (5) may not be made—

a by the Secretary of State unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament; and

b by the Welsh Ministers unless a draft of the instrument has been laid before, and approved by a resolution of, the National Assembly for Wales.

11 Subject to this, a statutory instrument containing regulations made under this paragraph—

a by the Secretary of State is subject to annulment in pursuance of a resolution of either House of Parliament; and

b by the Welsh Ministers is subject to annulment in pursuance of a resolution of the National Assembly for Wales.

12 In this paragraph—

“appropriate national authority”—
1. in relation to England, means the Secretary of State; and
2. in relation to Wales, means the Welsh Ministers;
“behaviour support agreement” means an agreement in writing about behaviour and the provision of support services made between the new tenant and the local housing authority concerned (or between persons who include those persons);
“behaviour support services” means relevant support services to be provided by any person to—
1. the new tenant; or
2. any person who is to reside with the new tenant;
for the purpose of addressing the kind of behaviour which led to the new tenant falling within sub-paragraph (3)(a);
“family intervention tenancy” has the meaning given by sub-paragraph (3);
“the new tenant” has the meaning given by sub-paragraph (3)(a);
“relevant support services” means support services of a kind identified in a behaviour support agreement and designed to meet such needs of the recipient as are identified in the agreement.

2 In Part 1 of Schedule 1 to the Housing Act 1988 (c. 50) (tenancies which cannot be assured tenancies) after paragraph 12 insert—

12ZA Family intervention tenancies

1 A family intervention tenancy.

2 But a family intervention tenancy becomes an assured tenancy if the landlord notifies the tenant that it is to be regarded as an assured tenancy.

3 In this paragraph “a family intervention tenancy” means, subject to sub-paragraph (4), a tenancy granted by a registered provider of social housing or a registered social landlord (“the landlord”) in respect of a dwelling-house—

a to a person (“the new tenant”) against whom a possession order under section 7 in respect of another dwelling-house—

i has been made, in relation to an assured tenancy, on ground 14 or 14A of Part 2 of Schedule 2;

ii could, in the opinion of the landlord, have been so made in relation to such a tenancy; or

iii could, in the opinion of the landlord, have been so made if the person had had such a tenancy; and

b for the purposes of the provision of behaviour support services.

4 A tenancy is not a family intervention tenancy for the purposes of this paragraph if the landlord has failed to serve a notice under sub-paragraph (5) on the new tenant before the new tenant entered into the tenancy.

5 A notice under this sub-paragraph is a notice stating—

a the reasons for offering the tenancy to the new tenant;

b the dwelling-house in respect of which the tenancy is to be granted;

c the other main terms of the tenancy (including any requirements on the new tenant in respect of behaviour support services);

d the security of tenure available under the tenancy and any loss of security of tenure which is likely to result from the new tenant agreeing to enter into the tenancy;

e that the new tenant is not obliged to enter into the tenancy or (unless otherwise required to do so) to surrender any existing tenancy or possession of a dwelling-house;

f any likely action by the landlord if the new tenant does not enter into the tenancy or surrender any existing tenancy or possession of a dwelling-house.