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   Web Issue 3198 July 20 2008   
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Landlord’s break-up under threat over contract breaches
GERRY BRAIDENMay 12 2008

The Scottish Government could be summoned to appear before the European Court of Justice in a move which also threatens the break-up of the country's biggest social landlord.

After two years of investigations, the European Commission has now issued a "letter of formal notice" to the government stating that contracts awarded to dozens of tenant-led housing organisations in Glasgow to manage their properties appear to have breached public procurement laws - despite the previous executive passing legislation in 2005 to prevent this.

The government has two months to respond, after which the EC may issue a legal "reasoned opinion" followed by an appearance at the Court of Justice.

Any breach could put the issue of the sale of thousands of Glasgow Housing Association homes to smaller, localised bodies in jeopardy, although some believe the threat may add urgency to the government's efforts to get to grips with the GHA break-up.

The move comes as the government confirms it is considering a new report which claims GHA could benefit by up to £500m if it sells its stock to local housing associations and downsizes.

GHA insists devolution to smaller associations, known as second stage transfer, must be financially neutral with some claiming it could cost £500m.

Scotland's housing regulator is now considering the report, by consultants Mazars and receiving cross-party support from Glasgow's MSPs, and an assessment will be published by the end of the month.

The EC's actions follow the decision in 2005 to hand over much of the control for the day-to-day running of housing to community-based associations.

At the time, GHA warned European rules were potentially being breached but were accused by many of concocting an excuse to take services back in-house.


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Posted by: Astonished, Inverclyde on 10:07pm Sun 11 May 08
The Scottish government are having to deal with another London labour daft decision - Couldn't this have been made clear in the headline ?

Alf - Do you ever wonder why your losing thousands of readers ?
Posted by: Wardog, Buckie on 10:17pm Sun 11 May 08

Isn't this a Wendy Alexander mess?

What are her views on this EU Formal Notice?

What are Wendy's views on the attendance allowance?

The 'people' want to know!

Posted by: Wardog, Buckie on 10:22pm Sun 11 May 08

Wendy Alexander was Communities Minister and the key 'architect' at the time for the failed blueprint for the future of Glasgow's housing stock.

A published Communities Scotland report concluded that the Glasgow Housing Association had ‘no clear operational policy or timescale for delivering second stage transfer at the time of the transfer’.

And now we have the EU issuing a "letter of formal notice" to the government stating that contracts awarded to dozens of tenant-led housing organisations in Glasgow to manage their properties appear to have breached public procurement laws - despite the previous executive passing legislation in 2005 to prevent this!!!!!

Shambles?

Why aren't we surprised anymore.

And Wendy thought she was resting the agenda from the Scottish Government this weekend....... events dear boy events....



Posted by: Duns Scotus, The Borders on 10:23pm Sun 11 May 08
Astonished wrote:
The Scottish government are having to deal with another London labour daft decision - Couldn't this have been made clear in the headline ? Alf - Do you ever wonder why your losing thousands of readers ?
And advertising revenue. Timesonline has a story on impending redundancies at The Herald. When will they wake up?
Posted by: Duns Scotus, The Borders on 10:42pm Sun 11 May 08
Link to story on plummeting advertising revenues at The Herald and Hootsmon:
tinyurl.com/5y5smb
Posted by: Peter Thomson, Labour for the Perrier Award on 11:39pm Sun 11 May 08
That's another fine mess you've gotten Labour into Wendy.

Purcell is going to be pleased with this........honest!

Bye, bye to lots of wee sinecures and brown envelopes in Glasgow when the SNP ditch this on advice from the Lord Advocate in line with their keeping to EU rules - e.g. the Lewis Wind Farm.

I can't wait to hear Wendy in Holyrood wiggling out of this Labour inspired piece of ineptitude - ye but, no but, see you, your claimed so ye are - bring it oan pal.....
Posted by: wisnaeme, wisnae there on 3:21am Mon 12 May 08

Ah kin jist imagine twa Glasga wifie's frae hard working families stanin ain ra stairheid.

"Oor Wendy widnae be awa wae oor twa year auld wean's roof oer thur heids, wid she. Naw wur Labour wur is. Naw gonnae dae that, wud she?

Ah think Wendy doll and others responsible for this shambles should be dragged before the European court of justice to explain their decision making processes and lack of savy. under oath and caged behind iron bars being preferable. be-nice to see her in least one dock by kind invitation.. The commission might well be extremely confused by her facial expressions of desperate convoluted nods and contortions of eye watering winks, common practice in other places , ah believe.

...erm Wendy doll, the old pals act doesn't quite work this way in euro land. Save yon convolutions and contortions till after they've placed the noose round yer neck, there's a good dear.
.
Posted by: David B, Larkhall on 7:57am Mon 12 May 08
An article in the Economist last week told a similar tale of falling advertising and newspaper circulation in the USA. It is not a uniquely Scottish phenomenon. So don't rush in and blame the clear pro Labour bias of the editorial on both newspapers. Besides the Times is in competition with both the Herald and the Scotsman in Scotland.

Online they have all become free sheets, but its possible to block the adverts which supposedly fund that model. The Economist business model might be better. You get audio downloads, full content access and the right to comment on their website as part of a subscription ( which itself discounts the cover price ).

In the future I doubt we will have printed newspapers at all, though it may not matter as most chipshops dont use them for wrapping any more.

Though what any of this has to do with council houses in Glasgow escapes me any way...
Posted by: fatzdomingo, Glasgow on 8:16am Mon 12 May 08
Who are the Legal Eagles at Glasgow District Council who advised on this transfer debacle? Are they still there, and if so, why are they not currently being sacked for incompetence?
Posted by: GlasgowJim, Glasgow on 9:41am Mon 12 May 08
fatzdomingo wrote:
Who are the Legal Eagles at Glasgow District Council who advised on this transfer debacle? Are they still there, and if so, why are they not currently being sacked for incompetence?
It's possible some of them are now in much better paid positions at GHA.
Posted by: Allan, glasgow on 10:11am Mon 12 May 08
This has been going for years and Glasgow City Council were warned years ago- GHA awarded contracts to Glasgow City Council to the tune of 15 MILLION pounds without tendering.

This is the tip of the iceberg- This is the most corrupt Council in the whole of the UK- Been caught so many times, it beggars belief.

We need these idiots out and we need them out now.
Posted by: Observer, Glasgow on 12:52pm Mon 12 May 08
GlasgowJim wrote:
fatzdomingo wrote: Who are the Legal Eagles at Glasgow District Council who advised on this transfer debacle? Are they still there, and if so, why are they not currently being sacked for incompetence?
It's possible some of them are now in much better paid positions at GHA.
Nope, you are both wrong, although I can't blame you for thinking what you do.

Glasgow City Council were dead opposed to the GHA - who were the absolute and entire creation of Wendy Alexander. She dreamt up the second stage transfer strategy, the ultra complicated LHO network, and brought on board community based Housing Associations to cherry pick what they wanted.

The whole thing was never workable - and GCC knew it.

Unfortunately the resultant mess has dropped into the lap of the SNP. They really need to intervene.
Posted by: Observer, Glasgow on 12:59pm Mon 12 May 08
What a lot of peo[ple don't know is that the transfer from GCC to GHA had to be approved by Communities Scotland, the housing regulator. The first Chief Executive of GHA Bob Allen resigned, and a temporary replacement was appointed - Angelina Foster, who was the chief Executive of - Communities Scotland.

Posted by: Douglas Walker, Glasgow on 1:54pm Mon 12 May 08
This has always been an area tainted by sleeze and corruption. Council land and housing given to the GHA - a private bu supposed not for profit organisation - yeah, right, have you seen the top salaries?
Posted by: Toophingers, Bellshill. on 10:52am Tue 13 May 08
Your chickens coming home to roost, wee yin.
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