Dan’s thoughts on section 20 consultations
Argh, Section 20 consultations. Why do housing providers seem to struggle so much with getting them right?
I have a theory, and it comes back to purpose.
Often in organisations, purpose is misunderstood. There's a high degree of understanding of an individual’s role, but not necessarily how that feeds into the wider organisation. The consequence? Silo working, missed opportunities and poor customer experience.
Section 20 seems to personify this. Often in the business of delivering to role, the idea of waiting to deliver a compliant S20 process is a blocker. If you work in repairs, I’m sure that fixing a repair in a timely manner is a priority - your performance is probably measured on it.
However, if you take the wider purpose of your organisation, the money you will have lost in failing to perform a compliant S20 process directly impacts you delivering the reason why your organisation exists. And guess who picks up the tab?
You don’t charge the variable service charge payers the full amount, who in this case are the people who should foot the bill for the work. Instead, you have to use the money you make from rent. That’s right, it’s the tenants who effectively pay.
Compliant recovery of works and contracts that fall under Section 20 is essential to the delivery of your aims as an organisation, even if in the moment it feels like a blocker. With below inflation rent increases now confirmed, it’s time to get this process right and recover what you need to.