Why we are engaging with Glasgow West
We are engaging with Glasgow West about governance and tenant and resident safety.
COVID-19 has significantly impacted the services provided by social landlords in 2020 and will continue to influence how services are provided in 2021. We will continue to monitor, assess and report upon how each landlord is responding and we will keep our regulatory engagement under review so that we can continue to respond to the challenges of COVID-19.
In late February 2021, Glasgow West notified us of a potentially serious tenant and resident safety matter relating to glass on public walkways within some of its high rise buildings. It has also subsequently identified a potential fire safety issue in the public walkways in these buildings. We have been engaging with Glasgow West about the immediate and long-term steps it is taking to address these issues and to ensure that it is complying with the Regulatory Standards of Governance and Financial Management (the Regulatory Standards) as well as its tenant and resident safety requirements.
Glasgow West has put in place a number of temporary safety measures to mitigate the risks to tenants and others and is developing a plan for delivering a long-term solution to these matters. Glasgow West has been proactive in its decision to also commission an independent assessment of its compliance with its other health and safety obligations.
We are also seeking assurance from Glasgow West regarding its compliance with regulatory guidance on Notifiable Events and its governance arrangements in response to the tenant and resident safety matters. It has been proactive in its decision to commission an independent review into its handling of the Notifiable Event.
Glasgow West is engaging openly and constructively with us as it develops and implements its plans to address the tenant and resident safety matters.
What Glasgow West must do
In order to allow us to complete our review of its regulatory status Glasgow West must:
- provide us with assurance that it is continuing to address the tenant and resident safety matters; and
- provide us with assurance about its compliance with regulatory guidance on Notifiable Events and its governance arrangements in response to the tenant and resident safety matters, following the independent review.
Glasgow West must also:
- provide regular updates on progress with the development and implementation of comprehensive immediate and long-term plans to address these issues; and
- update us on its progress with the wider review it has commissioned to assure itself about its compliance with its health and safety obligations.
What we will do
We will:
- engage with Glasgow West to monitor progress with its immediate and long-term plans in response to the tenant and resident safety matters;
- consider Glasgow West’s response to the issues we have raised regarding its compliance with regulatory guidance on Notifiable Events and its governance arrangements around the tenant and resident safety matters; and
- update Glasgow West’s regulatory status when we have completed our inquiries.
Regulatory returns
Glasgow West must provide us with the following annual regulatory returns and alert us to notifiable events as appropriate:
- Annual Assurance Statement;
- audited financial statements and external auditor’s management letter;
- loan portfolio return;
- five year financial projections; and
- Annual Return on the Charter.
It should also notify us of any material changes to its Annual Assurance Statement, and any tenant and resident safety matter which has been reported to or is being investigated by the Health and Safety Executive or reports from regulatory or statutory authorities or insurance providers, relating to safety concerns.