Why we are engaging with New Gorbals Housing Association Ltd (New Gorbals)
We are engaging with New Gorbals about tenant and resident safety.
New Gorbals notified us in October 2019 of a potential tenant and resident safety issue relating to fire safety at two high rise blocks on Caledonia Road. New Gorbals has identified that this issue stems from works completed by another landlord prior to the transfer to New Gorbals. New Gorbals engaged specialists to better understand the fire safety issues and in particular the implications of timber framing connections between balconies which are a possible route for external fire spread.
After considering the options to address the issues, New Gorbals decided that the best long-term solution would be to demolish the two blocks. New Gorbals is implementing a development programme of new homes for social rent to replace the two blocks and will receive significant public subsidy to help achieve this.
New Gorbals has rehoused the majority of Caledonia Road tenants with the remaining tenants due to be rehoused during April 2023. It has provided assurance that it has assessed the risks for remaining tenants and has put in place a range of actions to mitigate these. New Gorbals continues to provide assurance that safety measures are in place and are being adapted as more tenants are rehoused. It has engaged openly and constructively with us during this time.
What New Gorbals must do
New Gorbals must:
- provide regular updates on its risk assessment and the safety measures for remaining tenants, and progress in rehousing tenants at its Caledonia Road high rise blocks.
What we will do
We will:
- review New Gorbals’ progress with its actions to address the tenant and resident safety issues and rehouse tenants at its Caledonia Road high rise blocks; and
- update our published engagement plan in the light of any material change to our planned engagement with New Gorbals.
Regulatory returns
New Gorbals 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.