HOUSING ASSOCIATiON BOSSES "WEALTHY ON THE BACKS OF THE POOR"

Sadiq Khan

and a new

elite of

fat cats

The election of Sadiq Khan as Mayor of London is a massive blow to David Cameron`s obsessive drive against social housing.

And it is likely to be a massive blow also to the main providers of social housing, the country`s housing associations whose bosses this week  were accused of being fat cats enriching themselves at public expense on the backs of the poor.

For David Cameron, Khan`s election and his strong support of social housing signals that yet another government U turn seems inevitable... the tenth since the general election a year ago.

Rocketing pay...David Cowans

Social housing has been central to Khan`s campaign. His election seems certain to influence  the government`s  controversial housing  bill which seeks to end social housing.

For housing associations still reeling from last year`s attacks by the government, Khan`s election coincides with  yet another attack, this time in the Sun newspaper.

The Sun says that a new report reveals the chief executives of the 20 biggest associations took home an average pay of £264,000 in 2014-2015 – up 5 per cent on the year.

David Cowans - head of the Bristol based Places for People association – saw his total pay rocket 12 per cent to an eye-watering £483,000 – three times the  prime minister`s  salary(£142,000). 

The Sun is the second national newspaper in just over a month to attack these grossly excessive pay packets.

The Times recently devoted much of its front page to exposing the scandal.

That newspaper found that some of the highest paid bosses- the  housing association fat cats- ran the worst performing associations.

Nearer home, Carlisle Tenants` and Residents` Federation has attacked the fat cat pay scandal for many years. Its  attacks have been directed mainly against  one in particular of those leading housing associations, the Liverpool based Riverside. It owns 50,000  homes nationwide and with 6,000 homes in Carlisle is the city`s biggest landlord.

 Up to fairly recently, the Chief  Executive was paid £230,000 year which is about 50 per cent more than the Prime Minister. But massive public criticism- including attacks from Community Voice Carlisle- has  forced a cut-back.

The present chief executive, Ms Carol Matthews  makes do with £183,781.

The stratospheric pay policy comes despite an ongoing row about crippling rents for some of the poorest paid families in Britain – and complaints about the slow pace of construction.

The Sun report – by UKIP’s Douglas Carswell MP and former UKIP deputy chairman Suzanne Evans – branded housing associations a ‘cartel’ with a stunning lack of accountability.

The associations manage 60 per cent of ‘socially rented’ sector and have been handed £23 billion of Government funding in the past 14 years.

Ms Evans demanded a Government investigation into the taxpayer funding of the sector. She told the Sun: “These housing chief executives have become the new elite, enriching themselves at the public expense off the backs of the poor.

“Most housing association tenants will be horrified to know that while they’re struggling to pay the bills, their landlords are on average paying bosses 51 times what they hand over.

Jonathan Isaby, Chief Executive of the Tax Payers' Alliance, said: "Taxpayers will be furious. Far too often eye-watering pay packages for public sector bosses seem to have very little to do with their performance.

"Families waiting for homes will want to know what these chief executives have done to deserve these pay rises.

“Hard-pressed taxpayers struggling with tax rises deserve better”.  

Carlisle Tenants` and Residents` Federation publishes this blog. Information about the Federation is available on 01228 522277 or 01228 532803.