Annex: Correspondence with the Secretary
of State
Letter to the Secretary of State for Communities
and Local Government from the Chair of the Committee
Julian Ashby, chair of the Regulation Committee of
the Homes and Communities Agency appeared before the Committee
on 15 July. His evidence gave me a number of concerns not least
his answers on financial viability. I am therefore drawing the
transcript of the evidence session to your attention. A copy is
attached.
18 July 2013
Letter to the Chair of the Committee from
the Secretary of State for Communities and Local Government
Thank you for your letter of 18 July about the evidence
session the Committee held with Julian Ashby, Chairman of the
Homes and Communities Agency's Regulation Committee on 15 July.
Thank you also for enclosing the transcript of the session.
I have read the transcript and particularly the line
of questioning around the use of the financial viability ratings
by the Regulator. I take your concerns very seriously and am grateful
to you for drawing it to my attention.
As a next step, I have asked Peter Schofield, the
Director General responsible for regulatory policy on social housing,
to write to Julian Ashby asking him to clarify certain points
from his evidence and provide assurance that these important regulatory
powers are being used effectively. Once we have considered his
response, I will write to you again.
A buoyant and financially stable housing association
sector is essential if we are going to continue to deliver much
needed affordable homes. An effective and robust system of regulation
underpins this stability and I will ensure that this remains in
place.
25 July 2013
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