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Residents’ petition seeks more detail and assurances over London landlord’s merger plans
Around 1,000 residents have petitioned their east London landlord about its plans to merge with another housing association.
Tenants on the Avebury East Estate in Bethnal Green sent the petition to 3,200-home Tower Hamlets Community Housing (THCH) demanding more information and the exploration of alternatives following news it has entered merger talks with 10,000-home Poplar Harca in June.
The petition said: “We want alternatives considered and presented to us that clearly detail both potential advantages and disadvantages (including costs) to tenants, residents and leaseholders in the immediate and long term, including an option of returning to Tower Hamlets Council.”
One month after the news of a tie-up was announced, dozens of residents staged a protest at THCH’s office, in frustration at feeling left out of the planned merger discussions.
Following the protest, this new petition pointed to hikes in service charges, “arduous” repairs processes and an alleged lack of engagement with residents from THCH.
It said: “We have had no formal assurances nor evidence during the consultation that Poplar Harca would be any improvement as a landlord.”
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Earlier this year, THCH was downgraded for its governance and financial viability to non-compliant grades of G3/V3.
The Regulator of Social Housing found that THCH was “unable to meet the costs of its day-to-day operating activities and repair liabilities”, and was looking at a covenant waiver from its funder.
THCH had failed to identify the “full accounting implications of the Building Safety Act”, while it faced a “substantial programme of fire remediation work”, the English regulator said.
Tower Hamlets mayor Lutfur Rahman told Inside Housing that he had met the chiefs of both housing associations to discuss the implications of a merger.
He said the council has sought legal advice to “ensure that residents have a voice throughout the process and aren’t disadvantaged in the services they receive”.
He added: “Irrespective of any potential merger, I have stressed the importance that landlords work with the council to improve housing services, stock condition and governance.
“I want to ensure that resident voices are paramount and they are heard throughout this process.”
The debate around the potential merger is likely to rumble on for several weeks.
This week, the council will give tenants and leaseholders the chance to put questions to housing ombudsman Richard Blakeway.
Poplar Harca is then expected to make a final decision on whether the deal will go ahead in November.
Some council members believe THCH should be brought back under local authority control.
Tower Hamlets councillor Marc Francis told Inside Housing: “It is tragic to see a housing association that was once renowned as being one of the best in London brought so low.
“The service tenants have been getting in recent years is completely unacceptable.
“A merger with Poplar HARCA might well end up being the best way forward, but we believe Tower Hamlets Council should be offering to bring THCH stock back into local authority ownership.”
In response to the petition, a spokesperson for Poplar Harca said the final decision “will be informed by extensive due diligence and the best interests of Poplar HARCA’s residents based on what they have told us”.
THCH said: “We understand that change can feel challenging, but it also presents opportunities for growth and improvement.
“Our commitment is to ensure meaningful, fair and effective engagement with our broader resident community.
“Our 12-week consultation gave all residents the opportunity to let us know their thoughts on the merger proposal.
“Our board will consider resident feedback and our in-depth due diligence evaluation before its final decision this autumn.”
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