Previous articles on Derventio Housing Trust highlighted the extent to which this “Community Interest Company” (CIC) generated significant amounts of surplus cash, and funded highly paid directors/managers, on the back of claiming enhanced housing benefits; the benefits were paid on the basis that Derventio provided additional personal support for its vulnerable tenants.

• Derventio Housing’s housing benefit ‘cash machine’ now funds 3 Directors on nearly £100k salary each.
• Derventio Housing’s “cash machine” raises further questions for the Regulator. Will they take legal action?
• Derventio Housing Trust: Time for the Council to investigate.

Derventio continues to claim more public money.

Derby Homes has paid Derventio £237k over the last 4 years for its Homes4Me project, which it describes as:

“Home4Me provides accommodation and support to people who face the biggest challenges and barriers. We work with people who have been sleeping rough, have been excluded from accommodation or who face barriers to engaging with services.

Everyone is offered highly personalised support to help them build a better future for themselves.”

The eligibility criteria for people over 18 years:

• Face additional barriers to accommodation
• Can claim Housing Benefit
• Are ready to make positive changes to their life
• Are willing to work with staff for a better future

The service has evolved to include entrenched rough sleepers.

This is Derventio’s existing purpose for which it is handsomely paid. Simple due diligence by Derby Homes would have raised further questions:

• Since 2020 Derventio’s income has increased by £1.2m, at the same time as the staff numbers have decreased from 76 to 72. A “personalised support” offer should escalate, roughly, in line with income, especially if there is a commitment to deliver a new enhanced service.
• The number of entrenched rough sleepers, which this project covers, as opposed to people who are transiently sleeping on the streets, is around just 10.
• Financially:
  • The number of people in Derventio earning more than £60k pa has increased from 3 to 7 since 2020.
  • Deventio’s bank balance has increased from £713k in 2020, to £1.1m – a £400k increase in 3 years.
  • As a CIC, Derventio should use surpluses to promote its stated social objectives.

Comment

The fact that one of the eligibility criteria is “can claim housing benefit” speaks volumes. This means that any individual must be a tenant of Derventio Housing Trust. The enhanced housing benefit paid via Derby City Council to Derventio covers the “personalised support costs” – the grant by Derby Homes simply means that Derventio Housing Trust is being paid twice for providing, ostensibly, the same service.

The question is whether anyone in Derby Homes is checking that named individuals being covered by this Homes4Me project are also triggering enhanced Housing Benefits paid by Derby City Council to Derventio. Or perhaps they don’t care?

It is worth noting that there is no reference in any public Derby Homes or Council papers authorising this money to be paid to Derventio Housing Trust.

Given the healthy financial status of Derventio and the increasing numbers of highly paid staff, it’s most likely that the grant from Derby Homes has little or no incremental effect in delivering the stated social objectives of this “project”.

Another waste of public money!