The Power of Housing – Transforming a City Martin Armstrong Group Chief Executive Date: November 2013

What do you know about Glasgow?  Commonwealth Games  Shipbuilding  Celtic and Rangers  Poor health and life expectancy  History of poor housing

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homes transferred – Europe’s largest transfer 85,000 employees at transfer operating from over 60 outlets 2200 Investment to homes in the first 10 years alone £1.2bn higher than the average rent in the city 21% of public debt write-off or grants £1.6bn of private finance levered in £725m £180m What could go wrong? Operating turnover – bigger than Celtic, Rangers and Irn-Bru; City Council spending £120m servicing debt The New Dawn

5 ‘GHA in disarray’ / 5 CEOs in 6 years Shattered stakeholder relationships 63 separate organisations, brands, cultures, agendas No clear purpose or direction as a temporary organisation set up to dismantle itself SST programme stalled / no new homes built / regeneration halted / poor business performance Scottish Housing Regulator’s comments in 2009 Review: “We see a real dichotomy between GHA’s improvement of services on one hand, and the review of its purpose on the other” “The weaknesses in the review of its purpose mean that GHA does not have a sound base from which to progress” False dawn: a six-year meltdown

Clear and visible leadership, new board and executive team Re-building organisation from the ‘ground up’ Creating a new vision Restoring trust and confidence of customers, staff, stakeholders New structure / customer focus Using our scale to go beyond ‘bricks and mortar’ Solid foundations for a bright future

homes in most deprived areas of Scotland 70.4% customers with a mental-health illness 3400 drug users in social rent sector 72% of households in Glasgow have no-one in work 1/3 of homeless applications give alcohol as a reason 12% of customers aged over 60 1/3 Nine times more deaths due to alcohol-related problems than in least deprived areas tenants have dementia Huge challenges remain

Indeed challenges are increasing… of our customers have access to a bank account 37% of customers have an active bank account 36% 6385 of our homes are under occupied and facing ‘Bedroom Tax’ charges Indeed challenges are increasing…

Training places created, 2300 people secure jobs 4650 Jobs / apprenticeships also created through Wheatley Pledge 300 Fire deaths in our homes over last two and a half years Zero Older tenants in arts / exercise classes 3000 Bursaries to help tenants go to university / college 600 Older people helped through our Winter Ready campaign Teenagers in youth diversionary projects PLUS 80 new children’s play parks Landed a job through a clause in our contracts More than ‘bricks and mortar’

Tenant satisfaction – up from 67% 92% Rent arrears – down from £10.4m £4.6m Average days to let – down from 56 Staff sickness absence from a peak of almost 10% 2.5% Units on site or approved in this year alone 1400 staff satisfaction 94% Powerhouse of Wheatley House Group GHA today…

11 “We are very impressed with you as an organisation. We saw strong leadership at every level, right down to your front-line staff – and this is something you don’t see very often” “GHA is a credit to Glasgow and Scotland.” “We have never been into an organisation that has transformed itself so fundamentally, so quickly, so positively.” What people say now

12 I regard GHA as a friend Glasgow City Council Leader Gordon Matheson

17 More than ‘bricks and mortar’ Glasgow MSP Nicola Sturgeon, Deputy First Minister

The legacy of stock transfer?

19 GHA’s legacy - Wheatley Group

20 New Dawn False Dawn Bright Future