Minister visits Rochdale to learn more about housing mutual plans

Francis Maude MP, Mary Tomlinson (tenant), Andrew Johnson (tenant), Alison Gregory (employee), Alwyn Smith (tenant), Lynne Brosnan (tenant) and Tony Dempsey (employee

The Rt. Hon. Francis Maude MP, Minister for the Cabinet Office, has met with Rochdale Boroughwide Housing (RBH) tenants and employees to discuss the organisation’s forthcoming plans to become the largest housing mutual in the country.

The Cabinet Office is supporting mutual public service through its Mutuals Taskforce.

On his visit, the Minister heard how RBH had developed its unique tenant and employee mutual ownership model and how, from the start, the Council and local MPs supported the mutual transfer process.

Mr Maude met with the elected tenant and employee members of a Constitutional Commission, established to develop the rules for the new mutual RBH. They were among the first tenants and employees to sign up as members of the new mutual.

The Commission representatives explained how they had worked with RBH’s legal advisors to draft the mutual rules for RBH in readiness for registration with the Financial Services Authority and the housing regulator. It also had to deal with issues raised by stakeholders including the lenders who are providing over £100m funding for the new mutual RBH’s transfer business plan.

Lynne Brosnan, tenant and chair of the Constitutional Commission said: “The Minister was very keen to learn from our work and particularly interested in how and why we had brought tenants and employees together to give them genuine mutual ownership of RBH.”

The Minister then had a discussion with a group of employees who have acted as internal champions for the mutual transition.

The Minister also heard RBH’s ambitious plans to use the mutual model as a way of supporting older people in local communities, assisting tenants and their families into training and employment and developing community owned local energy production schemes.

Mr Maude said: “It’s particularly pleasing to see Rochdale – the historic home of co-operatives – still at the forefront of the movement.

“Rochdale Boroughwide Housing’s plan to form an employee and resident owned mutual is truly ambitious and demonstrates the benefits in this way of doing things.”

Tony Dempsey, RBH Senior Technical Officer and elected employee member of the Constitutional Commission said: “We were really pleased to have a government minister in Rochdale learning more about the unique mutual model we have developed for the forthcoming housing stock transfer.

“It was apparent from his questions and our discussions that Mr Maude is a keen supporter of what we are seeking to achieve.”