Large Scale Voluntary Transfer

Last updated

A Large Scale Voluntary Transfer (LSVT) is a term used in the United Kingdom to refer to the transfer of council housing to a housing association. For a Large Scale Voluntary Transfer to occur residents must be balloted. Supporters argue that transfer allows for greater investment to build more housing but critics argue that voluntary transfer amounts to back-door privatisation. [1]

LSVT policies arose in the 1980s as part of the Conservative Government's programme of 'demunicipalisation', whereby the ownership, management, and repair of public housing was transferred from local government (or municipalities) to private contractors and landlords. Tenants of various council-housing blocks and estates had opposed the Government's attempts to impose a number of estate privatisations and in 1988 the law was changed to ensure that council estates could not be sold without a 'yes' vote from tenants in a ballot. Subsequently, a number of Conservative-led rural authorities started to circumvent these restrictions by creating private housing associations, since they could more easily win the assent of tenants to sell estates to these than to more obviously profit-driven owners. This strategy became the basis for the national LSVT scheme, and by 1997 LSVT had seen the sale of over 300,000 publicly owned dwellings to housing associations. [2]

Related Research Articles

Privatization transferring something from the public sphere to the private

Privatization can mean different things including moving something from the public sector into the private sector. It is also sometimes used as a synonym for deregulation when a heavily regulated private company or industry becomes less regulated. Government functions and services may also be privatized ; in this case, private entities are tasked with the implementation of government programs or performance of government services that had previously been the purview of state-run agencies. Some examples include revenue collection, law enforcement, water supply, and prison management.

Public housing Residential properties owned by a government

Public housing is a form of housing tenure in which the property is owned by a government authority, which may be central or local.

Housing association type of organization

In Ireland and the United Kingdom, housing associations are private, non-profit making organisations that provide low-cost "social housing" for people in need of a home. Any budget surplus is used to maintain existing housing and to help finance new homes and it cannot be used for personal benefit of directors or shareholders. Although independent, they are regulated by the state and commonly receive public funding. They are now the United Kingdom's major providers of new housing for rent, while many also run shared ownership schemes to help those who cannot afford to buy a home outright.

In the United States, a homeowner association is a private association often formed by a real estate developer for the purpose of marketing, managing, and selling homes and lots in a residential subdivision. Typically the developer will transfer control of the association to the homeowners after selling a predetermined number of lots. Generally any person who wants to buy a residence within the area of a homeowners association must become a member, and therefore must obey the governing documents including Articles of Incorporation, CC&Rs and By-Laws, which may limit the owner's choices. Homeowner associations are especially active in urban planning, zoning and land use, decisions that affect the pace of growth, the quality of life, the level of taxation and the value of land in the community. Most homeowner associations are incorporated, and are subject to state statutes that govern non-profit corporations and homeowner associations. State oversight of homeowner associations is minimal, and it varies from state to state. Some states, such as Florida and California, have a large body of HOA law. Other states, such as Massachusetts, have virtually no HOA law. Homeowners associations are commonly found in residential developments since the passage of the Davis–Stirling Common Interest Development Act in 1985.

Chiltern District Non-metropolitan district in England

Chiltern is one of four local government districts of Buckinghamshire in south central England. It is named after the Chiltern Hills on which the region sits.

Hattersley human settlement in United Kingdom

Hattersley is an area of Tameside, Greater Manchester, England, 4 miles (6.4 km) west of Glossop and 10 miles (16 km) east of Manchester city centre at the eastern terminus of the M67. Historically part of Tintwistle Rural District in Cheshire until 1974, it is the site of an overspill estate built by Manchester City Council in the 1960s.

The Right to Buy scheme is a policy in the United Kingdom which gives secure tenants of councils and some housing associations the legal right to buy, at a large discount, the council house they are living in. There is also a Right to Acquire for assured tenants of housing association homes built with public subsidy after 1997, at a smaller discount. About 1,500,000 homes in the UK have been sold in this manner since the introduction of the scheme in 1980, with the scheme being cited as one of the major factors in the drastic reduction in the amount of social housing in the UK, falling from nearly 6.5 million units in 1979 to roughly 2 million units in 2017, while also being credited as the main driver of the 15% rise in home ownership, which rose from 55% of householders in 1979 to a peak of 71% in 2003.

Aylesbury Estate

The Aylesbury Estate is a large housing estate located in Walworth, South East London.

In the United Kingdom, an arms-length management organisation (ALMO) is a not-for-profit company that provides housing services on behalf of a local authority. Usually an ALMO is set up by the authority to manage and improve all or part of its housing stock. Ownership of the housing stock itself normally stays with the local authority. As of July 2008, seventy ALMOs were managing over half of all UK council housing, consisting of more than a million properties. This number has since reduced as local authorities have taken services back in-house or stock has been transferred, of 2016 there are 37 ALMOs who manage nearly a third of local authority housing, approximately half a million council and ALMO homes.

Eveline Hill British politician

Eveline Hill, JP was a British catering business manager and Conservative Party politician. She served for fourteen years as the Member of Parliament (MP) for Manchester Wythenshawe.

Public housing in Australia

Public housing in Australia is provided by departments of state governments. Australian public housing operates within the framework of the Commonwealth-State Housing Agreement, by which funding for public housing is provided by both federal and state governments. According to the 2006 census, Australia's public housing stock consisted of some 304,000 dwellings out of a total housing stock of more than 7.1 million dwellings, or 4.2% of all housing stock

Orbit Group is a group of housing associations providing affordable housing to around 40,000 households in England, mainly in the Midlands, East Anglia and the south east.

United Kingdom government austerity programme

The United Kingdom government austerity programme is a fiscal policy adopted in the early 21st century following the Great Recession. It is a deficit reduction programme consisting of sustained reductions in public spending and tax rises, intended to reduce the government budget deficit and the role of the welfare state in the United Kingdom. The National Health Service and education have been "ringfenced" and protected from direct spending cuts, but between 2010 and 2019 more than £30 billion in spending reductions have been made to welfare payments, housing subsidies and social services. The effects of United Kingdom austerity policies have proved controversial and the policies have received criticism from a variety of politicians and economists. Anti-austerity movements have been formed among citizens more generally.

Hulme Crescents was a large housing development in the Hulme district of Manchester, England. It was the largest public housing development in Europe, encompassing 3,284 deck-access homes and capacity for over 13,000 people, but was marred by serious construction and design errors. Demolition of The Crescents began in 1993, 21 years after it was constructed in 1972.

The under-occupancy penalty results from a reform contained in the British Welfare Reform Act 2012 whereby tenants living in public housing with rooms deemed "spare" face a reduction in Housing Benefit, resulting in them being obliged to fund this reduction from their incomes or to face rent arrears and potential eviction by their landlord. The under-occupancy penalty is more commonly referred to as the Bedroom Tax; especially by critics of the changes who argue that they amount to a tax because of the lack of social housing for affected tenants to downsize to. The penalties are also criticised as having a disproportionate impact on disabled people.

Stock transfer is a process whereby the ownership of council housing is transferred to a housing association. The term was first used in the United Kingdom. Here 1.3 million dwellings were transferred between 1998 and 2008.

The Housing Act 1988 is an Act of Parliament in the United Kingdom. It governs the law between landlords and tenants. The Act introduced the concepts of assured tenancy and assured shorthold tenancy. It also facilitated the transfer of council housing to not-for-profit housing associations, which was then carried out partly through the system of Large Scale Voluntary Transfer.

Public housing in the United Kingdom

Public housing provided the majority of rented accommodation in the United Kingdom until 2011 when the number of households in private rental housing surpassed the number in social housing. Houses and flats built for public or social housing use are built by or for local authorities and known as council houses, though since the 1980s the role of non-profit housing associations became more important and subsequently the term "social housing" became more widely used, as technically council housing only refers to housing owned by a local authority, though the terms are largely used interchangeably. Before 1865, housing for the poor was provided solely by the private sector. Council houses were built on council estates, where other amenities, like schools and shops, were often also provided. From the 1950s, blocks of flats and three- or four-storey blocks of maisonettes were widely built, alongside large developments of terraced housing, while the 1960s and the 1970s saw construction of many high-rise tower blocks. Flats and houses were also built in mixed estates.

Council house Form of public or social housing in the UK and Ireland

A council house is a form of British public housing built by local authorities. A council estate is a building complex containing a number of council houses and other amenities like schools and shops. Construction took place mainly from 1919 after the Housing Act 1919 to the 1980s, with much less council housing built since then. There were local design variations, but they all adhered to local authority building standards.

The Scottish Special Housing Association was established in 1937 to provide good-quality social housing. It had headquarters in Edinburgh's West End, Palmerston Place and Manor Place.Edinburgh, where it employed a large team of architects, engineers and quantity surveyors. It was responsible for the construction of many social housing estates. It was an early adopter of Computer Aided Architectural Design.

References

  1. https://www.theguardian.com/society/2008/dec/10/housing-voluntary-transfer
  2. Hodkinson, Stuart (2019). Safe as Houses: Private Greed, Political Negligence and Housing Policy after Grenfell. Manchester: Manchester University Press. p. 31. ISBN   9781526141866.