Robbing Peter to pay Paul - The Scottish Housing Regulator and the Mid-Market Rent Sector Scandal
Scotland's Registered Social Landlords (RSL) are in goldrush to diversify their incomes and investments into the unregulated mid-market rent sector, using their social tenants rental income and financial leverage. This is contrary to RSL Standards of Governance and Financial Management, enforced by the Scottish Housing Regulator (SHR).
E.G. A Glasgow based RSL currently operates circa 1,600 properties, of which only 59% meet the Scottish Housing Quality Standard. The tenants living in the substandard properties, paying full rent, are funding and underwriting the build of 200 new mid-market rent properties. The tenants do not qualify to move to the new homes, they are trapped in poverty in their substandard properties.
The RSL is required to setup a private limited company to operate the 200 new mid-market rent properties (paid for by current tenants) New company will operate beyond the purview of the SHR
Lots more to share but out of space - #governance #scrutiny #probity #poverty