successful places with homes and jobs a national agency working locally hca partner meeting...
TRANSCRIPT
Successful places with homes and jobs
A NATIONAL AGENCYWORKING LOCALLY
HCA Partner Meeting Birmingham
12 February 2014
@HCA_UK#HCAmeets
Agenda Performance and delivery update
(10 mins)
Affordable Homes Programme 2015-18 (1 hour) – Overview – Q&A / discussion
Other HCA news and updates (10 mins)
Future communications and engagement (10 mins)
Performance on Completions
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar0
1,000
2,000
3,000
4,000
5,000
6,000
7,000 Completions Delivery to 31st March 2014
AHP & NAHP AHP & NAHP TargetTotal Completions Total Completions Target
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar0
50
100
150
200
250
300
Delivery of Completions on the Specialist Programmes to 31st March 2014
Empty Homes Empty Homes TargetTraveller Pitch Funding Traveller Pitch Funding TargetHomelessness Change Programme Homelessness Change Programme Target
Performance on Completions
Performance on Starts
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar -
1,000
2,000
3,000
4,000
5,000
6,000
7,000
Start on Site Delivery to 31st March 2014
Total Starts Total Starts Target
AHP & NAHP AHP & NAHP Target
Performance on Starts
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar0
50
100
150
200
250
300
350
Delivery of Starts on Site on Specialist Programmes to 31st March 2014
Empty Homes Empty Homes TargetHomelessness Change Programme Homelessness Change Programme TargetTraveller Pitch Funding Traveller Pitch Funding Target
Affordable Homes Programme 2015-18
Delivery context
Builds on current programme – Midlands £294m for 16,000 homes
£1.7bn budget outside London for new programme
‘Something for something’: efficient use of assets
Scheme by scheme payment
Two routes for delivery: Mixed and Firm Scheme Only
Up to 75% allocated via initial bid round, then continuous market engagement
Focus on new supply to meet local needs including one and two beds
Driving efficient procurement and construction innovation
Funding model Providers should look to use seven sources of
cost contribution:
1. Borrowing against new Affordable Rent properties
2. Borrowing against conversions
3. Disposals (asset management)
4. Cross subsidy, such as Recycled Capital Grant Fund and Disposal Proceeds Fund
5. Providers’ own resources
6. Free or discounted land
7. Access to guarantees
Grant as a balancing sum
Bidding requirements: two routes
Route 1 - mixed:
For existing partners who have met delivery expectations in
2013/14 and have a programme of >£5m
Partners can submit bids for firm and indicative proposals
Bid minimum of 50% firm / 50% indicative with an overall
programme aim of 70% firm / 30% indicative
All indicative schemes must be firm by 30 May 2016
Bidding requirements: two routes
Route 2 - firm schemes only:
Any bidder may bid under this route
All firm schemes must include:
– Name of the scheme and X/Y
coordinates
– Details of land ownership
– Planning status
– Tender stage
Live tweeting:@HCA_UK
#HCAmeets
Bidding - summary Payment on start and on completion (50/50) for RPs only
Unregistered bodies 100% at practical completion
Providers must demonstrate commitment to achieve construction and
procurement efficiencies
No funding for Section 106 unless (by absolute exception) via assessment
Value for money assessment for grant schemes only (nil grant schemes set
to one side). But welcome bids with nil grant units
No pre-set split of funding across areas
Demolition: Ministers have expressed strong preference for refurbishment
Design and quality outcome of the Technical Standards review not known,
but providers should form their own view
Assessing bids
Fit with local need (local authority role)
Value for money 50% weighting
Deliverability 50% weighting (by March
2018)
Meet the regulator’s viability and
governance standard
Assessment – the role of local authorities
Critical in assessing ‘fit with local need’
Working with local teams through established partnerships to support
in the assessment
Firm and indicative proposals will be verified
Discussions will also include alignment with strategic economic
priorities of LEPs
Accommodation sizes and role of local authority land and land costs
will be considerations
“Strong evidence, including from the current Programme, that a local authority and local providers have been able to work well together to support delivery of new affordable housing within the parameters of the programme, will be considered to offer particularly strong local fit.” Live tweeting:
@HCA_UK#HCAmeets
Products Affordable Rent
Social Rent only in exceptional
circumstances
Affordable Home Ownership (shared
ownership only)
Supported and rural housing
encouraged
Bids for Affordable Rent can include:
– Hostel accommodation
– Travellers’ pitches
– Former empty properties brought back into
use as affordable housing
Provider and programme requirements Who can bid?
– Private Registered Providers
– Local authorities and ALMOs
– Community groups strongly encouraged to work in partnership
– Developers
Bidders who intend to be the landlord must have achieved Registered
Provider status before completed homes are made available or transfer
All successful bidders must have Investment Partner status and be an
RP if they want start on site tranche before any payments are made
(PQQ for new bidders only)
Provider and programme requirements
All providers must have a working IMS
account - we recommend this is set up in
advance of the deadline
Further information on our website:
– Equality and diversity
– Procurement efficiency
– Employment and skills
www.homesandcommunities.co.uk/ourwork/affordable-h
omes-programme-2015-18
Timetable
Bid round launched: 27 January
Close of bid round: 30 April
Deadline for submission of supporting
information (via IMS): 7 May
Assessment of bids: beginning of May to 20
June
Moderation of bids: 23–30 June
Clearance of recommendations for allocation:
beginning of July
Announcement of successful allocations: late
July
Other HCA opportunities – Local Infrastructure Fund 2
A further £1bn announced in Autumn Statement over 6 years
Focus on ‘scale’ and deliverability to unlock 250,000 homes
Prospectus expected over next few months
By way of infrastructure loan focussed on private sector partner
LIF investment to date has supported infrastructure for Enterprise Zones and accelerated locally-supported large scale housing
Priors Hall, North East Corby
1000 acres with capacity to deliver 5100 homes
63,000sqm commercial space
3 primary and 1 secondary school
500acres of parkland
Has received Kickstart, GBB and ATLAS support
Future communications and engagement
The challenge…
Midlands operating context
78 Local Authorities– 14 Unitary– 56 District – 8 County
11 LEPs 6 EZ’s 3 HCA offices Major Cities Economic growth Significant rural area 10.8m people
A complex business
Market Interventions
Affordable homes
2,452ha Land portfolio
Economic growth
Relationship management
Delivery pressures
A renewed focus on engagement
Improved segmentation and targeting – more opportunities with
more focus (AHP, land, construction…)
Backed-up by structured, regular communication – HCA national
enews, Midlands bulletin, trade media, Twitter
LinkedIn – forum for discussion on delivery, sector news and short-
cut to useful information
Annual Midlands event – overview of business, priorities and
opportunities, and networking (September)
Overall – move to engagement, dialogue and focus on relationships
Keep in touch
www.homesandcommunities.co.uk
www.homesandcommunities.co.uk/midlands
// @HCA_UK #HCAMids #HCAmeets
/homes-&-communities-agency
0121 234 9916 / 07760 342 819