AN end could be coming to an empty homes scheme saga which has cost East Lancs taxpayers at least £8m and frustrated landlords across the country.
Council chiefs have revealed only around 50 homes remain under the umbrella of the Empty Homes initiative for Blackburn with Darwen, Burnley, Hyndburn, Pendle and Rossendale.
The scheme, managed by Rossendale Council on behalf of the other four boroughs to regenerate more than 470 vacant properties for reuse, has been mired in controversy since it was set up in 2012.
Within three years the Todmorden-based management agency, AAAW, had collapsed after councils refused to underwrite financial assistance. Under the project, backed by the HOmes and Communities Agency, AAAW has claimed £4.7m as managing agent.
Later responsibility for the properties, then around 350 in total, passed to Rossendale Council. Last year an audit report put the total net cost of the scheme to the council at £7.9m, up to 2022-23.
A Lancashire County Council probe later blamed the project's failings on a lack of a oversight and controls, a failure to seek indemnities from the other East Lancs councils involved and insufficient controls by legal and financial officials.
Now a new audit committee report has disclosed around 50 properties remain as part of the scheme - with 85 per cent tenanted. The last of the leases will expire in December 2024.
The public section of the report, by chief finance officer Karen Spencer, fails to record what the 2023-4 costs of the initiative is now.
But she adds: " Good progress has been maintained in putting properties into good condition to let (or to repair current tenant damage)."
Councillors have been told repair costs have been high for the past year for eight properties needing 'extensive renovations'.
And as leases come to an end a 'vacant possession clause' has becone 'problematic' for those homes with sitting tenants.
Further talks have focused on handing back properties early if empty - but some landlords are not obliging.
Homeless families and Afghan refugees have been moved into some properties with short-term vacancies.
Councillors have also heard that an empty homes project manager was finally employer in early 2023, after recruitment difficulties, which had greatly assisted with managing the contract.
The report adds: "The nature of the leases has been fundamental to the costs incurred by the council for the duration of the project.
"The structure of the leases continue to significantly limit the council’s ability to reduce costs.
"The council is actively seeking to mitigate future cost through active pursuit of rent arrears, removal of properties from the scheme at the earliest opportunity, (ensuring) leases are terminated at end date and properties returned to owners promptly, legal claims are actively managed and challenged, (ensuring) repair costs are value for money and owner loans are repaid."
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