London Borough of Tower Hamlets (00BG) - Regulatory Judgement: 30 April 2025
Published 30 April 2025
Applies to England
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Our Judgement
| Grade/Judgement | Change | Date of assessment | |
|---|---|---|---|
| Consumer | C3 Our judgement is that there are serious failings in the landlord delivering the outcomes of the consumer standards and significant improvement is needed. |
First grading | April 2025 |
Reason for publication
We are publishing a regulatory judgement for the London Borough of Tower Hamlets (LB Tower Hamlets) following an inspection completed in April 2025.
The regulatory judgement confirms a consumer grading of C3. This is the first time we have issued a consumer grade in relation to this landlord.
Summary of the decision
From the evidence and assurance gained during the inspection, it is our judgement that there are serious failings in how LB Tower Hamlets is delivering the outcomes of the consumer standards and significant improvement is needed, specifically in relation to outcomes in our Safety and Quality Standard. Weaknesses are also apparent, and improvement is needed in relation to some elements of the Transparency, Influence and Accountability Standard and the Neighbourhood and Community Standard. Based on this assessment, we have concluded a C3 grade for LB Tower Hamlets.
How we reached our judgement
In October 2024 we received a self-referral from LB Tower Hamlets which identified concerns regarding their delivery of the outcomes of the consumer standards, and we brought forward a planned inspection. During the inspection we considered all four of the consumer standards: Neighbourhood and Community Standard, Safety and Quality Standard, Tenancy Standard, and the Transparency, Influence and Accountability Standard. We also considered the Rent Standard, as this was referenced as a potential concern in LB Tower Hamlets’ self-referral.
During the inspection we observed meetings of the Cabinet, the Housing and Regeneration Scrutiny Sub-Committee, the Housing Management (Cabinet) Sub-Committee, the Housing Performance, Improvement and Compliance Group, and a Tenant Voice meeting. As part of the inspection, we met with engaged tenants, officers, the Mayor, and the Cabinet Member for Regeneration, Inclusive Development and Housebuilding. We also reviewed a wide range of documents provided by LB Tower Hamlets.
Our regulatory judgement is based on a review of all of the information we obtained during the inspection, as well as analysis of data received through our planned landlord information submissions and other regulatory activity.
Summary of findings
Consumer – C3 – April 2025
LB Tower Hamlets brought its arm’s-length management organisation, Tower Hamlets Homes, in-house in November 2023. Following this re-organisation, LB Tower Hamlets commissioned two independent reviews against the consumer standards, which identified gaps in delivery of outcomes across all the standards and led to a self-referral to us in October 2024.
Through our meeting observations and other inspection activities, we found serious failings in LB Tower Hamlets meeting the requirements of the Safety and Quality Standard, and evidence that these failings have impacted negatively on service outcomes for tenants. We also found weaknesses in respect of some of the outcomes in the Transparency, Influence and Accountability Standard, and the Neighbourhood and Community Standard.
The Safety and Quality Standard requires landlords to have an accurate, up to date and evidenced understanding of the condition of their homes that reliably informs the provision of good quality, well maintained and safe homes for tenants, and to ensure that tenants’ homes meet the requirements of the Decent Homes Standard (DHS).
LB Tower Hamlets does not have an accurate, up to date and evidenced understanding of the condition of its homes. At present, only 47% of individual property surveys have been carried out within the last five years, and 29% of homes have surveys older than ten years. Furthermore, LB Tower Hamlets reported to us that 23% of homes do not meet the DHS and the council does not anticipate achieving full compliance until 2030. LB Tower Hamlets is undertaking a full stock condition survey of all its homes and has set out plans to invest in its homes to reduce non-decency.
The Safety and Quality Standard also requires landlords to identify and meet all legal requirements that relate to the health and safety of tenants in their homes and communal areas and ensure that all required actions arising from legally required health and safety assessments are carried out within appropriate timescales.
Whilst headline compliance performance for most areas was satisfactory, the inspection found that there are serious failings in how LB Tower Hamlets is managing remedial actions identified in relation to electrical safety, fire safety and water hygiene, which are exposing tenants to risk. At the time of the inspection, there were around 2,500 overdue fire safety actions (including around 1,700 high-risk actions), around 750 overdue water safety remedial actions (including more than 400 longstanding high-risk actions), and over 1,400 overdue communal electrical safety remedials. There is also limited reporting and oversight on completion of domestic electrical safety actions. LB Tower Hamlets has recently strengthened its approach to managing remedial actions, and during the inspection we saw some evidence of improving performance. Whilst LB Tower Hamlets has provided assurance that it has mitigations in place to manage the associated risks of these overdue actions, the number of overdue actions remains a regulatory concern and will be a key part of our engagement with LB Tower Hamlets going forward.
The Safety and Quality Standard also requires landlords to provide an effective, efficient and timely repairs service for the homes and communal areas for which they are responsible. Through the inspection we saw that improving the repairs service has been a focus for LB Tower Hamlets since the service was brought back in-house from Tower Hamlets Homes, and whilst we saw evidence of improved outcomes, weaknesses remain in terms of missed appointments and timeliness of repairs. LB Tower Hamlets is undertaking a review of its repairs service to inform future improvements.
The Neighbourhood and Community Standard states that landlords must work in partnership with appropriate local authority departments, the police and other relevant organisations to deter and tackle anti-social behaviour (ASB) and hate incidents in the neighbourhoods where they provide social housing. Through the inspection, LB Tower Hamlets has provided assurance that it is working in partnership to address ASB and hate crime, and that it is using the full range of tools available. However, there are some weaknesses in the delivery of service relating to monitoring and reporting. LB Tower Hamlets is reviewing the service and planning improvements to address this.
The Neighbourhood and Community Standard also states that landlords must work co-operatively with other agencies tackling domestic abuse and enable tenants to access appropriate support and advice. In addition, it states that landlords must co-operate with relevant partners to promote social, environmental and economic wellbeing in the areas where they provide social housing. During the inspection, LB Tower Hamlets provided assurance that it is meeting these expectations.
In relation to the Tenancy Standard, we saw evidence that LB Tower Hamlets allocates and lets its homes in a fair and transparent way that takes the needs of tenants and prospective tenants into account. It offers tenancies or terms of occupation which are compatible with the purpose of the accommodation, the needs of individual households, the sustainability of the community, and the efficient use of the housing stock, and meets all applicable statutory and legal requirements in relation to the form and use of tenancy agreements or terms of occupation.
The Transparency, Influence and Accountability Standard sets out the outcomes landlords must deliver about being open with tenants and treating them with fairness and respect so that tenants can access services, raise complaints, influence decision making and hold their landlord to account. We saw evidence that LB Tower Hamlets is treating tenants fairly and with respect. However, there are some weaknesses around the consistency of service that tenants receive– specifically call abandonment rates and missed repairs appointments. LB Tower Hamlets has plans in place to address these issues with, as noted above, a review of the repairs service and its call centre that is currently underway.
The Transparency, Influence and Accountability Standard states that landlords must take action to deliver fair and equitable outcomes for tenants and, where relevant, prospective tenants. We saw evidence that LB Tower Hamlets has information about its tenants and their needs, and uses this to inform service delivery, is responsive to new residents moving into the borough, and understands and takes into account the diverse needs of tenants.
The Transparency, Influence and Accountability Standard also includes the expectation that landlords take tenants’ views into account in their decision-making about how landlord services are delivered and communicate how tenants’ views have been considered. During the inspection, we saw evidence of consultation with tenants and some tenant influence on service delivery. However, the council is not able to evidence that it clearly communicates to tenants how their views have been taken into account.
The Transparency, Influence and Accountability Standard sets out that landlords must provide information so that tenants can use landlord services, understand what to expect from their landlord, and hold their landlord to account. The inspection found that LB Tower Hamlets provides some of the required information, but there are weaknesses in its approach. In particular, there is a reliance on the website, which was unclear and confusing in places. There is also a Customer Promise outlining standards of service delivery, but LB Tower Hamlets has not been able to evidence that these standards are delivered in practice or shared with tenants.
In respect of performance information, landlords must collect and provide information to support effective scrutiny by tenants of their landlord’s performance. We saw evidence that LB Tower Hamlets makes detailed performance information available online in an annual report. Information is also regularly discussed in public committee meetings and included in committee papers. However, there are some weaknesses in this approach as the length and complexity of committee papers can make them difficult to access and understand.
The Transparency, Influence and Accountability Standard states that landlords must ensure complaints are addressed fairly, effectively, and promptly. We saw evidence that LB Tower Hamlets recognises and uses the insight that complaints can provide to shape its services, and that it has taken actions to improve service delivery and seen some improvement in outcomes. However, information about complaints provided online is difficult to access and contradictory in places, and there are weaknesses in complaints handling performance. The council is aware of the current weaknesses and has begun implementing improvements.
The Rent Standard sets out that landlords must set rents in accordance with the
Rent Policy Statement. LB Tower Hamlets commissioned an external review of rent setting which identified some minor discrepancies, but no material issues suggesting a failure to meet the Rent Standard. LB Tower Hamlets has provided assurance that it is responding appropriately to the findings of the review with all actions arising due to be completed by the end of June 2025. We have not seen evidence of negative outcomes for tenants as a result of the discrepancies identified.
LB Tower Hamlets has engaged constructively with us by providing a detailed self-referral, and throughout the subsequent inspection. Since identifying the failures in outcomes, LB Tower Hamlets has provided evidence that it has understood the issues it needs to address and is putting in place appropriate and resourced plans to rectify them. Whilst early in the delivery of these plans, there is positive evidence of progress being made in some areas and we have assurance that there is strong corporate commitment to ensuring improved outcomes for tenants. Plans are in place to complete the full stock condition survey that is underway, invest in homes to ensure that they are decent, and address the outstanding health and safety remedial actions.
We will continue to engage with LB Tower Hamlets as it seeks to address the issues that have led to this judgement. Our engagement will be intensive, and we will seek evidence that gives us the assurance that sufficient change and progress is being made. Our priority will be that it is taking reasonable steps to mitigate risks to tenants as it delivers its improvement plan. We are not proposing to use our enforcement powers at this stage but will keep this under review as LB Tower Hamlets seeks to resolve these issues.
Background to the judgement
About the landlord
LB Tower Hamlets owns around 11,000 social housing homes in east London. Most homes are under direct management with a small number managed through tenant management arrangements, although LB Tower Hamlets remains ultimately responsible for its social housing homes that are managed in this way.
Our role and regulatory approach
We regulate for a viable, efficient, and well governed social housing sector able to deliver quality homes and services for current and future tenants.
We regulate at the landlord level to drive improvement in how landlords operate. By landlord we mean a registered provider of social housing. These can either be local authorities, or private registered providers (other organisations registered with us such as non-profit housing associations, co-operatives, or profit-making organisations).
We set standards which state outcomes that landlords must deliver. The outcomes of our standards include both the required outcomes and specific expectations we set. Where we find there are significant failures in landlords which we consider to be material to the landlord’s delivery of those outcomes, we hold them to account. Ultimately this provides protection for tenants’ homes and services and achieves better outcomes for current and future tenants. It also contributes to a sustainable sector which can attract strong investment.
We have a different role for regulating local authorities than for other landlords. This is because we have a narrower role for local authorities and the Governance and Financial Viability Standard, and Value for Money Standard do not apply. Further detail on which standards apply to different landlords can be found on our standards page.
We assess the performance of landlords through inspections and by reviewing data that landlords are required to submit to us. In Depth Assessments (IDAs) were one of our previous assessment processes, which are now replaced by our new inspections programme from 1 April 2024. We also respond where there is an issue or a potential issue that may be material to a landlord’s delivery of the outcomes of our standards. We publish regulatory judgements that describe our view of landlords’ performance with our standards. We also publish grades for landlords with more than 1,000 social housing homes.
The Housing Ombudsman deals with individual complaints. When individual complaints are referred to us, we investigate if we consider that the issue may be material to a landlord’s delivery of the outcomes of our standards.
For more information about our approach to regulation, please see Regulating the standards.