Landlord sees 72% fall in reported repairs since 'tenant cashback'

Published by 24publishing for 24dash.com in Housing and also in Central Government, Communities, Local Government

A West Midlands-based housing association says it has seen a 72% fall in repairs reported by customers since they signed up to its version of Grant Shapps' tenant cashback scheme.

Around 130 customers are currently taking part in Bromford's 'tenant cashback' programme and it was one of the first landlords to take up the Government-backed initiative.

From April, the revised regulatory framework required landlords to ensure tenants have the opportunity to take control of their repairs budgets, carrying out minor repairs on their home, or commissioning it, through the scheme and pocketing any savings.

However, it has had a less than positive reaction from some landlords who believe the scheme is "ill-advised" and would actually "cost landlords more".

The scheme has also been reworked by the landlords piloting it in a bid to make it work.

However, 26,000-home social landlord Bromford has found some success, reporting a 72% fall in reported repairs.

Its 'Home Rewards Club' scheme is split into two parts – a repairs element and a housing management element - and customers can choose either or both options.

The repairs element is where customers carry out their own low-level day-to-day repairs with Bromford retaining responsibility for external repairs, work at height and any work to do with gas and electricity, asbestos and emergency repairs. For doing their own repairs, customers can be rewarded in to the value of £300 per annum.

For the housing management element, customers responsibilities include dealing with any low-level neighbour issues, not using Bromford’s contact centre (unless in an emergency) and not needing Bromford’s involvement to deal with matters such as arrears or anti-social behaviour. Customers who sign up to this option and successfully complete the year will be rewarded with £200 at the end of the 12 months.

Darrin Gamble, head of neighbourhoods (West Midlands), said: “The majority of our customers who have signed up to the Home Rewards Club have wanted both elements so will be entitled to claim £500 by the end of the year. It’s a win-win situation as it means that customers who have the ability and desire to do more in their homes can do so and we can pass on to them the savings that we would normally spend on repairs and contractors.”

Bromford said savings are made through reduced repair costs; reduced void costs; less customer recharges; less arrears and a reduction in administration. 

Gamble said: “We are pleased with how things are going and we have asked our customers to complete a repairs diary so we can monitor DIY being carried out and see how they are using their rewards. We are continually learning and hope that by 2013 we can roll this out across the group.”