Local authorities could be stuck with an £18m bill to implement new government housing standards, the Local Government Association (LGA) has warned.
Under the Social Housing (Regulation) Act, senior housing management staff will be required to complete qualifications up to a certain level as part of the Government’s drive to improve housing standards.
While voicing support for the move to improve standards, the LGA said that the changes are likely to cost councils £17.9m in the first two years and then £3.7m a year after that.
The association said that these additional costs need to be fully funded by Government to prevent costs falling on over-stretched Housing Revenue Accounts (HRAs).
Cllr Linda Taylor, LGA housing spokesperson, said that local authorities were ‘fully committed’ to improving the quality of social housing available, including ensuring housing staff were fully trained. However, she said that the new requirements should be ‘fully funded.’
‘Councils’ Housing Revenue Accounts are already facing unsustainable financial pressures, and this would be an additional burden which risks impacting on councils’ ability to fulfil their roles effectively as housing authorities.’
Cllr Taylor also added that councils need more time to plan and implement the new requirements under the Social Housing (Regulation) Act.
