CONCERN continues to be expressed about a Thurrock Council housing initiative that was described as 'a fantastic bit of business' by the authority's portfolio holder for housing – but which will leave borough council taxpayers with a repayment bill for millions of pounds to be paid back over 40 years.

And it appears that the scheme is falling short of the targets championed by housing portfolio holder Cllr Luke Spillman when he publicly lauded it last year.

Meanwhile a borough resident, who has information about the sale of a property to the council under the scheme, has raised her alarming concerns about what has happened to the property.

There appears also to be a significant disparity between what the council is saying about the scheme and its benefit to borough families. While the council's business partner Phi Capital Investments Limited (Phi) said last June that it had bought 115 homes for use by Thurrock Council tenants, the council - under questions recently posed via the Freedom of Information act - say that by November last year just 65 were now being managed by it and had been rented out.

The cost, in the short and long term, of the scheme to borough council taxpayers also remains largely a mystery. As does the mechanics of the financial deal.

In January this year Thurrock Nub News reported the council had handed over more than £6.5 million pounds in relation to the deal – but the cash had not gone to Phi, but to another finance and investment company, Topland.

Despite requests from media outlets, the council has not unravelled the mystery behind what appears a massively complicated financial agreement – that will go on over decades. Since our initial report on the council handing over cash to Topland for the acquisition of land and buildings, it has handed over a further £511,807.52 in December and February. Any spending in March and April is not yet detailed.

One of the main reasons Cllr Spillman backed the scheme was to bring borough families living in social housing outside of the borough back home. According to latest figures from the council, just three families have been brought back to the borough through it – despite millions of pounds being spent.

Cllr Spillman revealed details of plans to change the social housing structure of Thurrock last September  saying the scheme would save the borough millions and bring an end to housing misery for borough families, including those currently being housed outside the area.

Cllr Spillman briefed fellow senior councillors about the authority's new strategy which has seen them partner with a commercial company that is buying up properties and leasing them back to the authority. The scheme began in April last year but was largely kept under wraps with little publicity until it was highlighted by Thurrock Nub News.

Cllr Spillman's presentation was described as a 'phenomenal piece of work' by council leader Cllr Rob Gledhill, who added: "You have to be congratulated on making a start and setting 'really good ambitious targets to get this done quickly'.

However, in the months that have followed – while the council has been given control of many properties apparently bought by Phi – it appears to have fallen well short of Cllr Spillman's expectations.

Under a Freedom of Information request the council was asked the following questions

• 1. In the initial council publicity released it was stated that the council would have 70 new properties under its management by April 2021. Was this achieved?
• 2. What is now the total number of homes the council is managing and renting out? I seek the figure that was applicable on 30 November 2021.
• 3. How many of the homes that are now rented out have been taken up by families, couples or single tenants who were previously being housed outside the borough?

The answers, released just recently, are:

1. Due to relaxation in the regulations relating to the use of Right to Buy receipts, all property leases commenced in the 2021/22 financial year. As such, 70 new properties were not under the council's management by April 2021.
2. As at 30 November 2021, 65 properties were being managed and had been rented out.
3. A total of 40 properties have been let to households that had been housed in temporary accommodation, of which three households had their final temporary accommodation placements out of the borough. A number of the other households had been placed in out of borough placements, but had already been moved back into Thurrock by the time of their final Part VI offer.

And while the mystery remains over financing and numbers of properties involved, a view came to light this week that suggests the council is actually supporting the downgrading of some of the properties being bought and handed over to it under the scheme.

Residents in Stanford-le-Hope read on social media about a private house in the town that has been bought for council use but workers have been into the property and have removed many of its assets – not only reducing its value but making it less hospitable.

The author of the post, with whom Nub News has spoken, said: "My friend sold her three bed house in Stanford to Thurrock Council about a month ago.

"Since then every day for three weeks workmen have been in the house, I assumed from the council just checking electrics etc.

"Her house was immaculate with all new carpet on stairs and bedrooms, wooden floors throughout downstairs, nice kitchen. A family could have moved in without doing anything.

"I spoke to one of the workmen today as I couldn't understand why they were still working in there. He said that Thurrock Council had sold the house to an investment company and were leasing it back from them for 35 years.

"He said that they had to downgrade the house if it was too nice so that the new tenants couldn't complain if anything went wrong as the Council don't want to have to do any repairs.

"Therefore they have to remove anything such as light fittings, mixer taps shower screens (only a curtain allowed) anything like a satellite dish etc etc. Can only have a gas cooker. I couldn't believe what he was saying. This is why there is no real housing stock left."

Nub News yesterday (Monday, 25 April) offered the council and Cllr Spillman the opportunity to comment on what is alleged to have happened to the house in Stanford. Neither has responded, not even acknowledged our questions. We advised both we recognised there might need to be time to consult and prepare an answer and we would wait 24 hours before publishing any story, but that deadline has now passed without response.

And there has been no response to questions asking about the over-arching property scheme and why it appears far fewer homes than anticipated are being brought on stream and the expected huge savings and family benefits of moving many families back to the borough do not appear to have happened.

Also see:

Investment firm is buying properties to lease to Thurrock Council to cut housing waiting lists

115 homes for Thurrock Council in first six months of engagement.