Council backs plan for housing provider to become mutual landlord

Salford Council has backed plans for the creation of one of the first employee co-owned mutual housing providers in the country.

The local authority last year selected Salix Homes as its chosen landlord to take ownership of 8,500 council homes in a stock transfer.

Should tenants vote in favour of the transfer in a ballot to be held later this year, Salix plans to become a mutual landlord along the lines first adopted by Rochdale Boroughwide Housing in 2012.

The new mutual would be owned by its members, made up of its tenants and employees.

Salford said the move stemmed from government changes to social housing funding that it claimed meant it could not access the money to bring properties up to modern standards.

The council said £700m could be invested over the next 30 years should the transfer win tenants’ backing.

Salix Homes' chief executive, Joe Willis, said: "A new mutual Salix Homes would be based on the longstanding principles of co-operation and mutuality providing a bright future for social housing tenants in Salford who, in partnership with Salix Homes' employees, will be in charge of the future of their homes. However, this bold vision can only become a reality if tenants vote for transfer."

Barbara Harper, a tenant and chair of the Salix Homes Customer Senate, said: "This is a very exciting time for tenants and employees at Salix Homes. Becoming a ‘mutual' would bring together those that provide services - employees - with those that receive services - residents - as owners of a new type of registered provider of social housing.”