SHR Board Minutes Minutes - 1 April 2025

Present

Welcome and meeting with Tenant Information Service

GW welcomed all present, especially guest speakers IC and PC from the Tenant Information Service (TIS).  

IC and PC presented to the Board on the work of TIS.  They highlighted the legal framework for tenant participation in Scotland and the Scottish Social Housing Charter, as well as changes in involvement since the Covid 19 Pandemic, the role of tenant led scrutiny and the Tenants’ movement.   TIS and the Board discussed:

• the importance of meaningful rent consultations, noting TIS is embarking on some work around this and has concerns around the sustainability of increases.  They also noted that tenants tend to support increases that will fund things that are important to them;
• Annual Assurance Statements and the role of tenants, including how this and tenant scrutiny could be embedded;
• involving younger people, acknowledging that this is not one homogenous group, which can bring challenges, that traditional structures and participation methods don’t necessarily fit and exploring other targeted options can be resource intensive.  It noted all these challenges are not exclusive to housing, but agreed that is still very worthwhile to try to engage;
• homelessness, prevention work and the importance of early engagement with young people around housing options;
• engagement with young people to highlight housing as a career;
• the place of arts, music, video  and social media in helping to gather views and reach tenants, noting some innovative project examples, such as a youth thematic study that TIS did for the Scottish Government;
• when to involve tenants, noting that interest normally peeks when there is a problem to solve or reason to get involved, and change is demonstrated, but it is challenging to sustain involvement interest; and
• listening to tenants, the requirements in the legal framework and the role for the Annual Assurance Statement. 

IC and the Board also discussed the work TIS has done on transfers of engagement.  They discussed:

• the importance of professional, independent and honest advice for tenants on the ballot proposals, including around the financial aspects;
• communications with tenants around transfers of engagement;
• the role of the tenant ballots and how that relates to Special General Meetings;
• considerations for organisations that may be involved in potential future transfers to ensure that the communities involved have confidence; and
• the tenants of a receiving organisation and their understanding, noting there is no regulatory requirement to ballot these tenants and it is for their landlord to keep them updated.

GW thanked IC and PC for making time to meet with SHR.  The Board, IC and PC welcomed the opportunity for the discussion.  The Board noted that IC will be moving on from TIS over the summer and wished her well. 

Apologies & declarations

GW welcomed all present.  The Board noted apologies from SHR Board members: Siobhan White (SW), Marieke Dwarshuis (MD), Dr Abhishek Agarwal(AA) and Andrew Watson (AW).  GW reported that AW shared some comments on the papers with him and he will input these into the Board’s discussions. 

There were no new or general declarations of interest made.

Lynn Sweeney

GW reported that Lynn Sweeney, a long-standing Regulation Manager recently passed away.  The Board discussed Lynn’s work, and recognised her contribution over many years.  It also noted her particular passion for good services for people who are experiencing homelessness. 

Consent Agenda

The Board noted and approved the consent agenda including:

• the Chair and Member activity report (noting LP was unable to attend the Chartered Institute of Housing conference);
• 25 February Board minutes;
• the matters arising report; and
• the ARAC update.

Local Government, Housing and Planning Committee

GW and MC updated the Board on recent correspondence from the Scottish Parliament’s Local Government, Housing and Planning Committee.   They explained this was in follow up to the evidence sessions and call for views provided to Committee in late 2024. 

GW reported that he has sent an acknowledgement, welcoming the Committee’s scrutiny and that MC will now work to develop a full response, involving the wider SHR team as well as GW and EF.  The Board noted that it will consider this for approval when it meets on 27 May 2025.   The Board reflected on the letter from the Committee and also noted comments AW provided to GW.  

Action: MC to work with GW and EF to develop a draft response to the Local Government, Housing and Planning Committee for the Board to consider on 27 May 2025.

CEO report

MC presented on issues and developments that impact regulated bodies, the wider housing environment and SHR.  He highlighted briefing commissioned by SHR in following up to the Grenfell Phase two report, explaining that this does not highlight specific new actions for SHR, but could help inform Scottish Government’s response and other stakeholders.  

The Board considered the report and discussed:

• the Housing to 2040 Strategic Board and feedback from stakeholders who attend around actions and progress to address the key issues;
• the outcome of the data collection that SHR carried out on behalf of Scottish Government around voids, noting this has been shared with Scottish Government and published; and
• RAAC in social housing, noting only one landlord is still investigating, and there is continued media coverage.

The Board also considered the Grenfell Phase Two briefing note that SHR commissioned from its legal advisors.  It discussed:

• stakeholders that may welcome access to the briefing including tenant representatives;
• CIH’s work to promote seeking professional qualifications for types of staff in the social housing sector, noting that in Scotland, there is no legislative basis unlike in England and that SHR’s focus is on Governing Bodies who are responsible for ensuring appropriately qualified staff are appointed.  It also noted the challenges in defining qualifications; and
• SHR’s expectations around notifiable events regarding health and safety, noting these will be publicly set out in engagement plans and it is for landlords to communicate directly with tenants.

The Board agreed that SHR should share the briefing note with key stakeholders in the first instance and seek to publish it shortly afterwards. 

Finally, the Board welcomed work with SHR’s Tenant Advisors, noting reappointments for some as well as use of the reserve list.  It also noted a positive meeting reflecting on approaches to date and ongoing work to improve participation and develop a programme of work that the Assistant Directors will consider next week.  

The Board noted the CEO report.

Action: MC to share the Grenfell Phase Two briefing note with key stakeholders and seek to publish it afterwards.

Budget

CN presented SHR’s draft budget proposals for 2025/26. She reported that SHR’s revenue budget is £5.343m and that while this represented a cash increase, was still challenging for SHR.  CN explained it does not meet budgeted requirements when SHR is fully staffed so it will need to manage vacancies to balance the budget.  She highlighted savings achieved around office costs and uncertainties remaining around pay increases and funding of National Insurance (NI) increases.  The Board considered the budget proposals and discussed:

• budget planning challenges around salary and NI uncertainties;
• the approach of managing vacancies to balance the budget, agreeing SHR should keep this under review and consider further how it sets itself for the longer term when it receives more clarity; 
• the importance of ensuring that SHR’s operating plan is deliverable, given the pressure on resources; and
• potential future considerations for resourcing, including the skills needed to reflect the regulatory operating context and how technology can be utilised.

The Board approved the revenue and capital budget proposals.  It asked MC to return to considerations when there is further clarity around pay increases and NI contributions.

Action: MC to facilitate a further discussion with SHR Board on the budget when there is clarification from Scottish Government on pay increase and NI costs.

Operating Plan

MC presented SHR’s draft operating plan for 2025/26.  He explained how this was developed in the context of the budget position, with work identified that SHR must carry out as well as other tasks that could be considered if resources become available.   MC also explained the importance of retaining capacity to respond to circumstances such as serious casework or legislative change reflecting in the Housing Bill currently at Parliament. Finally, MC explained how SHR uses the operating plan to manage risk and highlighted the appending risk mapping.  The Board considered the proposals and discussed:

• achievability, given the resource pressures, noting it is currently, but that unfilled vacancies will put aspects at risk.  The Board agreed it was ambitious;
• the importance of explaining SHR’s resource position to stakeholders, including the Scottish Parliament;
• choices around the approach to SHR’s annual risk assessment and how engagement is delivered, which could mean an increase in risk tolerance and conversely serious casework, which is resource intensive;
• the ongoing impact of implementing the new Scottish Government HR and Finance systems on resources;
• SHR’s approach to risk management and how that relates to the operating plan, noting recent discussions at ARAC; and
• plans to examine options around the risk assessment further with the Board at a workshop to inform development of the methodology.

The Board approved the operating plan, noting plans for further consideration of the approach to the risk assessment and resulting engagement.  It thanked the staff team for aiming to achieve as much as possible despite the challenging resource position.  

Annual Report narrative

RH presented the first draft of the annual report narrative for 2024/25, explaining how this follows the structure approved by the Board in February 2025.  The Board considered the draft and discussed:

• messaging around capacity of suitable temporary and permanent accommodation;
• the importance of legal obligations for landlords and robust regulation including clear messaging on the continued decline in performance around homelessness duties;
• involving Gypsy/Travellers and the importance of highlighting this; and
• feedback from the Local Government, Housing and Planning Committee on SHR’s annual report, noting that SHR is obliged to follow the format set out by Financial Reporting Manual, which includes a stand-alone overview section, but agreeing to also explore other additional communications such as videos or highlight reports.  It also noted when the report is published it is in webpage format so will be easier to navigate than the word document format used for drafting.

The Board noted development of the annual report narrative will continue ahead of audit in June and asked RH to take account of the feedback provided and any additional comments that members may share by email.  It noted a further draft will be circulated at the end of April to allow for final input ahead of audit.

Action: RH to take account of Board feedback in developing the annual report narrative and circulate a further draft by the end of April 2025.  

Regulatory Engagement – serious casework

HS presented a report for assurance on the most serious regulatory casework. She highlighted updates since the last report to the Board in February 2025 and format amendments in response to feedback.

GW reminded the Board of his previously declared a conflict of interest with Blackwood Homes and the Board noted he would not participate if it wished to discuss that case.  

HS explained that there is a new case where a landlord is under review and that two previous cases had completed engagement recently, so are now compliant and will be removed from future reports.  She updated the Board on some of the ongoing serious casework. The Board considered the assurance report and discussed:

• communications with tenants;
• the scale of homes impacted by some casework;
• if any of the cases may require statutory action, noting for now, engagement is ongoing;
• the importance of engaging with MSPs so they are sighted on local serious casework;
• business plans including future borrowing plans;
• the importance of health and safety for tenants, residents and landlord staff; and
• the role of local authorities in statutory repairs.

The Board thanked HS and her team, noted the report and agreed it provided useful insight.

Corporate Parenting and Children’s Rights Duties

LM presented to the Board on the work SHR is doing to meet Corporate Parenting duties under the Children and Young People (Scotland) Act 2014 and the new duties under the United Nations Convention on the Rights of the Child (Incorporation) (Scotland) Act 2024 (UNCRC).  She highlighted the requirements placed on SHR and the new UNCRC duties.  LM explained what the duties mean for SHR, the approach to meeting the duties and SHR’s plans to:

• implement the actions set out in SHR’s Corporate Parenting Plan and Children’s rights report and report by March 2026;
• consider how children can be meaningfully involved in the development of the report;
• develop and publish the next Corporate Parenting and Child Rights report which will be laid before Scottish Ministers; and
• develop and publish a Child Friendly Corporate Parenting and Child Rights Report.

The Board considered the update and discussed:

• links between breaches of the Unsuitable Accommodation Order and the Rights of the Child, noting this is highlighted in SHR’s report and also through structured conversations with local authorities, which cover under eighteen year olds and care leavers;
• work SHR had done to support it in engaging with young people with Who Cares Scotland;
• work of to consider further that some advice agencies do as well as Housing First examples;
• incorporation of the UNCRC at local authority level, noting the importance of case law and the legal proofing that Scottish Government did for legislation and SHR’s role to regulate the discharge of duties such as the those relating to the Unsuitable Accommodation Order and the Scottish Social Housing Chater;
• how SHR’s approach to Corporate Parenting has evolved since 2014; and
• the Care Inspectorate Thematic, noting SHR’s contribution, and that the Inspectorate did not identify any specific actions for SHR. 

The Board thanked LK, welcomed all the work going on and noted the update. 

Update on the Regulatory Risk Assessment

HS and JJ presented an update to the Board on the outcome of the Regulatory Risk assessment.  JJ reported that the outcome report and engagement plans were published on 31 March 2025 and explained he will provide a more detailed overview to the Board in May 2025.   He set out the context for the assessment and updated the Board on the outcomes and resulting engagement plans.  The Board considered the update and discussed:

• changes in homelessness performance at a local level;
• structured conversations SHR has with local authorities, noting plans to continue these will all thirty-two authorities; and
• the potential impact on social housing as rent controls end in the private sector. 

The Board thanked JJ and the team for their work on the risk assessment.  It noted the update and welcomed that it will receive a more detailed overview when it meets in May 2025.  

AOB, Agenda Planner, Effectiveness & DONM

GW updated the Board on recruitment work by Scottish Ministers to appoint a new Chair and member to the Board. The Board noted progress and welcomed that induction planning has commenced.

GW reported that end of year review meetings with Board members will commence shortly and he will aim to have these completed by the end of June 2025.  

The Board considered the agenda planner.   GW highlighted that the Board will consider proposals for a governance survey in May, which will also inform the new Chair, explaining the Board will discuss the outcome at the June workshop.  He also explained that all staff will be invited to attend part of the workshop. 

Finally, GW explained that an item around SHR’s use of statutory powers has been moved from May to June to allow for adequate discussion time.  

The Board noted the updates and agenda planner.  It also noted that it will meet next on 27 May 2025. 

The Board considered the effectiveness of the meeting and papers.  It agreed that it was content. It welcomed LK was able to observe some of the meeting and she reported back on her observations.  

Briefings

Between the 2 April 2025 and 27 May

• SHR publications
• Media updates
• Landlord Groups, Advice Agency and Tenants Together Scotland SHR Liaison Group meeting preparation
• 2025/26 Annual report narrative