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Housing (Amendment) (Scotland) Act 2018

Current text a fecha 2018-09-06

Regulatory intervention by Scottish Housing Regulator

Managers appointed by, or on the requirement of, the Scottish Housing Regulator

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(1) This section applies where the Regulator, having made inquiries or otherwise, considers— (a) that a registered social landlord has failed, or is failing, to comply with— (i) a duty imposed by this Act or by any other enactment, or (ii) a requirement imposed on the landlord by the Regulator under this Act or any other enactment, and (b) that a person needs to be appointed in order to ensure that the landlord manages its financial or other affairs in a way that will rectify the failure.

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(1A) The appointment is to be only for so long as is necessary to rectify the failure which gave rise to the manager's appointment.

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(4) The Regulator may give a manager directions about the rectification of the failure which gave rise to the manager's appointment. (4A) The manager— (a) must comply with such directions, (b) may be removed by the Regulator on failure to so comply.

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Registered social landlords: removal, suspension and appointment of officers etc.

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(e) is, because of absence or other failure to act, failing to ensure that the registered social landlord is complying with— (i) a duty imposed by this Act or by any other enactment, (ii) a requirement imposed on the landlord by the Regulator under this Act or any other enactment.

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(a) that the registered social landlord has failed, or is failing, to comply with— (i) a duty imposed by this Act or by any other enactment, or (ii) a requirement imposed on the landlord by the Regulator under this Act or any other enactment, relating to its housing activities or its financial or other affairs,

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(a) that the registered social landlord has failed, or is failing, to comply with— (i) a duty imposed by this Act or by any other enactment, or (ii) a requirement imposed on the landlord by the Regulator under this Act or any other enactment, relating to its housing activities or its financial or other affairs,

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to rectify a failure by the registered social landlord to comply with— (i) a duty imposed by this Act or by any other enactment, or (ii) a requirement imposed on the landlord by the Regulator under this Act or any other enactment, relating to its

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(2A) Where the officer is appointed by virtue of subsection (1)(d) to rectify a failure to comply with a duty or requirement, the appointment is to be only for so long as is necessary to so rectify the failure.

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(4A) Where the officer was appointed by virtue of subsection (1)(d), subsection (2A) applies to the renewal of the appointment as it applies to the appointment.

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Disposal of land etc. by registered social landlords

Disposal of land or other assets by registered social landlord

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(107) (1) A registered social landlord may make a disposal of land to which subsection (2) applies only if the landlord complies with section 110 in relation to the disposal. (2) This subsection applies to a disposal of land, other than a disposal by way of granting security over the land or any interest in it, which will not result in a tenant under a Scottish secure tenancy ceasing to be a tenant of the landlord making the disposal. (3) A registered social landlord may make a disposal of land to which subsection (4) applies only if–– (a) the landlord complies with sections 115 to 120 in relation to the disposal, and (b) a majority of tenants— (i) voting in a ballot in relation to the disposal under section 115A(1)(a) wish the disposal to proceed, or, as the case may be, (ii) whose written agreement to the disposal was sought under section 115A(1)(b) have given that agreement. (4) This subsection applies to a disposal of land which will result in a tenant under a Scottish secure tenancy ceasing to be a tenant of the landlord making the disposal. (5) This section does not apply where section 108 applies to the disposal.

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(1) A registered social landlord must notify the Regulator of any disposal of land or any other asset as soon as reasonably practicable (and, where section 107(4) applies, no later than 28 days) after the disposal is made. (2) The Regulator may make a determination— (a) dispensing with the notification requirement in subsection (1), (b) where section 107(4) applies, extending the period mentioned in that subsection.

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(1) This section applies in relation to disposals of land by registered social landlords to which section 107(2) applies.

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(3) The Regulator must issue guidance in relation to consultation under subsection (2). (4) A registered social landlord must, in consulting tenants or other persons under subsection (2)(a), have regard to guidance issued by the Regulator under subsection (3).

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(111) (1) A disposal of land by a registered social landlord to which section 107(2) applies is void if the landlord did not comply with section 110(2)(a). (2) A disposal of land by a registered social landlord to which section 107(4) applies is void if— (a) the landlord did not comply with section 115 or 115A(1), or (b) a majority of tenants— (i) voting in a ballot in relation to the disposal under section 115A(1)(a) did not wish the disposal to proceed, or, as the case may be, (ii) whose written agreement to the disposal was sought under section 115A(1)(b) did not give that agreement.

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Special procedure where disposal results in change of landlord

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(115A) (1) A registered social landlord must, in relation to a proposed disposal— (a) conduct a ballot of tenants of houses included in the proposed disposal on the question of whether the tenants wish the disposal to proceed, or (b) seek the written agreement of the tenants of houses included in the proposed disposal to the disposal. (2) The registered social landlord must— (a) as soon as reasonably practicable after the ballot is completed or, as the case may be, the period for the giving of written agreement has expired, and (b) before making the disposal, notify the Regulator of the results of the ballot or, as the case may be, the number of written agreements sought and the number given. (115B) (1) The Regulator must issue guidance in relation to tenant consultation and approval under sections 115 and 115A. (2) Guidance issued under subsection (1) may in particular include guidance as to— (a) how notices under section 115(1) and (2) are to be served and the information to be contained in such notices, (b) the consideration to be given to timeous representations made in pursuance of a notice served under section 115(1), (c) the circumstances in which the approval of tenants under section 115A is to be sought by way of— (i) ballot, (ii) written agreement, (d) how such ballots are to be conducted and how such written agreements are to be sought and given. (3) A registered social landlord must, in complying with sections 115 and 115A, have regard to guidance issued by the Regulator under subsection (1).

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(c) need not seek the agreement of an unaffected tenant when seeking written agreement under section 115A(1)(b).

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Organisational changes affecting registered social landlords

Change of name, office or constitution by registered social landlord

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(92) A registered social landlord must give the Regulator notice of— (a) any change to— (i) its name, or (ii) its registered or principal office, (b) any amendment to its constitution (other than a change of name or office), within 28 days of the change or amendment being made.

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Restructuring, winding up and dissolution of registered social landlord

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(96A) (1) This section applies where the society proposes to pass a special resolution for the purposes of a restructuring provision where the restructuring— (a) will result in a tenant under a Scottish secure tenancy ceasing to be a tenant of the society proposing the restructuring, and (b) is a restructuring other than the conversion of the society into a company in accordance with section 112 of the Co-operative and Community Benefit Societies Act 2014. (2) The society must comply with sections 115 to 120 (as applied by subsection (3)) in relation to the proposed restructuring. (3) Sections 115 to 120 apply in relation to a proposed restructuring to which this section applies as they apply in relation to a proposed disposal to which section 107(4) applies, subject to the modification that section 115A(2) has effect as if, for paragraph (b), there were substituted—“(b)before notice of a meeting at which the special resolution is intended to be proposed is given under section 111 or, as the case may be, 113 of the Co-operative and Community Benefit Societies Act 2014,”. (4) In this section and section 97, “restructuring provision” means any of the following provisions of the Co-operative and Community Benefit Societies Act 2014— (a) section 109 (amalgamation), (b) section 110 (transfer of engagements), (c) section 112 (conversion into or amalgamation with registered company).

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(97) (1) This section applies in relation to a special resolution passed by the society for the purposes of a restructuring provision. (2) Where the restructuring to which the special resolution relates is one to which section 96A applies, the Financial Conduct Authority may register the special resolution only if— (a) the society confirms the matters mentioned in subsection (3), and (b) a copy of the confirmation accompanies the copy special resolution sent to the Financial Conduct Authority for the purposes of the Co-operative and Community Benefit Societies Act 2014. (3) Those matters are that, before the special resolution was passed— (a) the society complied with sections 115 and 115A(1) (as applied by section 96A(3)), and (b) a majority of tenants— (i) voting in a ballot conducted under section 115A(1)(a) wish the restructuring to proceed, or, as the case may be, (ii) whose written agreement to the restructuring was sought under section 115A(1)(b) have given that agreement. (4) The society must, as soon as reasonably practicable after sending the copy special resolution to the Financial Conduct Authority (and, in a case to which subsection (2) applies, no later than 28 days after doing so), give notice of the restructuring to the Regulator. (5) Any new body created, or to whom engagements are transferred, in pursuance of such a special resolution is to be included in the register (and is to be treated as so included pending such inclusion).

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(98) (1) This section applies in relation to the voluntary winding up of the society under the Insolvency Act 1986. (2) The society must consult its tenants in relation to the proposed voluntary winding up before passing a resolution for the winding up of the society. (3) Such a resolution is valid only if— (a) the society confirms that it consulted its tenants as mentioned in subsection (2), and (b) a copy of the confirmation accompanies the copy resolution sent to the Financial Conduct Authority for the purposes of section 30 of the Companies Act 2006 (as applied by virtue of section 123 of the Co-operative and Community Benefit Societies Act 2014 and section 84(3) of the Insolvency Act 1986). (4) The society must, as soon as reasonably practicable after sending the copy resolution to the Financial Conduct Authority, give notice of the voluntary winding up to the Regulator. (5) The Regulator must issue guidance in relation to consultation for the purpose of subsection (2). (6) A society must, in consulting tenants for that purpose, have regard to guidance issued under subsection (5).

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(99) (1) This section applies where the society proposes an instrument of dissolution of the society (within the meaning of section 119 of the Co-operative and Community Benefit Societies Act 2014). (2) The society must consult its tenants in relation to the proposed dissolution before seeking the approval of the instrument for the purposes of section 119 of that Act. (3) The Financial Conduct Authority may register an instrument of dissolution of the society under section 121 of the Co-operative and Community Benefit Societies Act 2014, or cause notice of the dissolution to be advertised under section 122 of that Act, only if— (a) the society confirms that it consulted its tenants as mentioned in subsection (2), and (b) a copy of the confirmation accompanies the instrument sent to the Financial Conduct Authority for the purposes of section 121 of that Act. (4) The society must, as soon as reasonably practicable after sending the instrument to the Financial Conduct Authority, give notice of the dissolution to the Regulator. (5) The Regulator must issue guidance in relation to consultation for the purpose of subsection (2). (6) A society must, in consulting tenants for that purpose, have regard to guidance issued under subsection (5).

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(100A) (1) This section applies where— (a) a court order is made in respect of the company under section 896 of the Companies Act 2006, (b) the meeting summoned by the court order is to agree a restructuring of a type mentioned in section 900(1) of that Act, and (c) the restructuring— (i) will result in a tenant under a Scottish secure tenancy ceasing to be a tenant of the company in respect of which the order is made, and (ii) that company is not being wound up and is not in administration. (2) The company must comply with sections 115 to 120 (as applied by subsection (3)) in relation to the proposed restructuring. (3) Sections 115 to 120 apply in relation to a proposed restructuring to which this section applies as they apply in relation to a proposed disposal to which section 107(4) applies, subject to the modification that section 115A(2) has effect as if, for paragraph (b), there were substituted— (b) before the meeting summoned by the court order under section 896 of the Companies Act 2006 takes place,

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(101) (1) This section applies where— (a) a court order is made in respect of a company under section 899 or 900 of the Companies Act 2006, and (b) the restructuring to which the order relates is of a type mentioned in section 900(1) of that Act. (2) Where section 100A applies in relation to a restructuring, a court order mentioned in subsection (1) in relation to the same restructuring has effect only if— (a) the company confirms the matters mentioned in subsection (3), and (b) a copy of the confirmation accompanies the copy of the order delivered to the registrar of companies in accordance with section 900(6) of the Companies Act 2006. (3) The matters are that, before the order was made— (a) the company complied with sections 115 and 115A(1) (as applied by section 100A(3)), and (b) a majority of tenants— (i) voting in a ballot conducted under section 115A(1)(a) wish the restructuring to proceed, or, as the case may be, (ii) whose written agreement to the restructuring was sought under section 115A(1)(b) have given that agreement. (4) The company must, as soon as reasonably practicable after the order is made (and, in a case to which subsection (2) applies, no later than 28 days after that event), give notice of the restructuring to the Regulator. (5) Where the whole or any part of the undertaking and property and liabilities of the company are transferred to another company in pursuance of an order under section 900 of the Companies Act 2006, that other company is to be included in the register (and is to be treated as so included pending such inclusion).

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(102) (1) This section applies in relation to the conversion of the company into a registered society under section 115 of the Co-operative and Community Benefit Societies Act 2014. (2) The company must consult its tenants on the proposed conversion before passing a special resolution for the conversion of the company into a registered society under section 115 of that Act. (3) Such a special resolution has effect only if— (a) the company confirms that it consulted its tenants as mentioned in subsection (2), and (b) a copy of the confirmation accompanies the resolution sent to the registrar of companies in accordance with section 115(5) of the Co-operative and Community Benefit Societies Act 2014. (4) The company must, as soon as reasonably practicable after sending the resolution to the registrar of companies, give notice of the conversion to the Regulator. (5) The new registered society created in pursuance of the resolution is to be included in the register (and is to be treated as so included pending such inclusion). (6) The Regulator must issue guidance in relation to consultation for the purpose of subsection (2). (7) A company must, in consulting tenants for that purpose, have regard to guidance issued under subsection (6).

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(103) (1) This section applies in relation to a voluntary arrangement under Part 1 of the Insolvency Act 1986 in relation to the company. (2) The company must consult its tenants about the voluntary arrangement before the arrangement is approved under section 4 of that Act. (3) Such a voluntary arrangement does not take effect under section 5 of the Insolvency Act 1986 unless the company has consulted its tenants as mentioned in subsection (2). (4) The company must, as soon as reasonably practicable after the voluntary arrangement takes effect, give notice of the arrangement to the Regulator. (5) The Regulator must issue guidance in relation to consultation for the purpose of subsection (2). (6) A company must, in consulting tenants for that purpose, have regard to guidance issued under subsection (5).

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(104) (1) This section applies in relation to the voluntary winding up of the company under the Insolvency Act 1986. (2) The company must consult its tenants on the proposed winding up before passing a special resolution for the winding up of the company under that Act. (3) Such a special resolution is valid only if— (a) the company confirms that it consulted its tenants as mentioned in subsection (2), and (b) a copy of the confirmation accompanies the copy resolution sent to the registrar of companies in accordance with section 30 of the Companies Act 2006. (4) The company must, as soon as reasonably practicable after sending the copy resolution to the registrar of companies, give notice of the voluntary winding up to the Regulator. (5) The Regulator must issue guidance in relation to consultation for the purpose of subsection (2). (6) A company must, in consulting tenants for that purpose, have regard to guidance issued under subsection (5).

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(a) the Co-operative and Community Benefit Societies Act 2014,

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Registered social landlord becoming a subsidiary of another body

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(104A) (1) This section applies where a registered social landlord which is a registered society or a registered company proposes to enter into an arrangement under which the landlord will become a subsidiary of a body of which it is not currently a subsidiary. (2) Subject to subsection (5)— (a) the registered social landlord must comply with sections 115 to 120 (as applied by subsection (3)) in relation to the arrangement, and (b) the arrangement has effect only if the conditions in subsection (4) are met. (3) Sections 115 to 120 apply in relation to a proposed arrangement to which this section applies as they apply in relation to a proposed disposal to which section 107(4) applies. (4) The conditions are that, before the arrangement was completed— (a) the registered social landlord complied with sections 115 and 115A(1) (as applied by subsection (3)), and (b) a majority of tenants— (i) voting in a ballot conducted under section 115(1)(a) wish the arrangement to proceed, or, as the case may be, (ii) whose written agreement to the arrangement was sought under section 115A(1)(b) have given that agreement. (5) The Regulator must determine that subsections (2) and (3) are not, or are to cease, to apply in relation to an arrangement where the Regulator considers that— (a) the registered social landlord's viability is in jeopardy for financial reasons, (b) a person could take a step in relation to the landlord which would require to be notified to the Regulator under section 73, and (c) the determination under this subsection would substantially reduce the likelihood of a person taking such a step. (6) The registered social landlord must, as soon as reasonably practicable after the arrangement takes effect (and no later than 28 days after that event), give notice of the arrangement to the Regulator.

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Further modification of regulation of social landlords

Power to modify functions of Scottish Housing Regulator

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Local authority influence over registered social landlords

Power to reduce local authority influence over registered social landlords

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Duration of regulation-making powers

Duration of powers conferred by sections 8(1) and 9(1)

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General provision

Commencement

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Short title

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The short title of this Act is the Housing (Amendment) (Scotland) Act 2018.

Managers appointed by, or on the requirement of, the Scottish Housing Regulator

Registered social landlords: removal, suspension and appointment of officers etc.

Disposal of land or other assets by registered social landlord

Special procedure where disposal results in change of landlord

Change of name, office or constitution by registered social landlord

Registered social landlord becoming a subsidiary of another body

Power to modify functions of Scottish Housing Regulator

Editorial notes

[^key-611a6abf9395496c3e81d006e6ceda75]: S. 8 in force at 6.9.2018 by S.S.I. 2018/253, reg. 2(1)

[^key-99c48c4b8bf2967475b3a3d5faef6ef3]: S. 9 in force at 6.9.2018 by S.S.I. 2018/253, reg. 2(1)

[^key-d9bad03069dd6bc60ea21aa6e4c570c0]: S. 10 in force at 6.9.2018 by S.S.I. 2018/253, reg. 2(1)