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ONS Reclassification of Registered Social Landlords as Private Bodies

ONS Reclassification of Registered Social Landlords as Private Bodies

Background

In September 2016 the Office of National Statistics (ONS) announced that it was reclassifying Registered Social Landlords (RSLs) in Scotland as public non-financial bodies for the purposes of the national accounts. This was due to RSLs being subject to public sector control via the Scottish Housing Regulator's (SHR) powers over management, constitutional change and disposals of land. As a consequence of this reclassification, RSL debt would have to be counted as a public liability for the purposes of the nation's accounts. The ONS was

Extending Freedom of Information to the RSL Sector

Extending Freedom of Information to the RSL Sector

In December 2017 Scottish Government produced their third Consultation Paper on extending Freedom of Information (FOI) to the sector with a draft Order which made both Registered Social Landlords (RSL) and RSL subsidiaries subject to FOI when carrying out 'housing activities' as defined in the Housing (Scotland) Act 2010. Responses to that Consultation are set out here

The Scottish Federation of Housing Associations commissioned our firm to provide a technical analysis as part of its response. Links to that response and analysis are set out

Public Procurement: What happens if a Supplier gets into financial difficulty?

Public Procurement: What happens if a Supplier gets into financial difficulty?

Carillion, a key supplier to the UK Government, has gone into liquidation. The impact has been felt throughout the public sector where there is uncertainty over what will happen to the works and services carried out by Carillion under public contracts. Many impacted public bodies will be wondering what they can do in terms of public procurement in order to continue provision of key services.

This blog will examine what options are open to public bodies when suppliers of their public contracts encounter financial

How should you contract with your subsidiary?

How should you contract with your subsidiary?

In the current economic climate, Registered Social Landlords (RSLs) are looking to make savings in their procurement processes in any way that they can. Many of our RSL clients have subsidiary companies which can carry out work on their behalf and for third parties. Where an RSL and its subsidiary are members of a VAT group, significant savings may be made. So how should you contract with your subsidiary?

Although a subsidiary is a separate entity and, as such, contracts between the parent and the

Conditional Performance Bonds v On Demand Performance Bonds

Conditional Performance Bonds v On Demand Performance Bonds

"The name is Bond..."

Employers under construction contracts often try to protect themselves against the risk of loss from a variety of events by asking the contractor for a performance bond.

A performance bond is a form of security provided by a third party, usually a bank or insurance company, guaranteeing the obligations of the contractor under the contract. A bond constitutes a promise that the guarantor (i.e. the bank/insurance company) will make a payment to the employer of a set amount (usually 10% of

Procurement Reform: Could your Community Benefit?

Procurement Reform: Could your Community Benefit?

The Procurement Reform (Scotland) Act received Royal Assent on 17 June 2014. It sits alongside existing public contracts regulations, and will increase regulation for public bodies seeking to award contracts for works, services and supplies. The Act applies where contracts have a value of £50,000 or more, except works contracts where the threshold is £2m.

Most public bodies have, for many years, sought to include community benefits provisions in their procurement processes, as a way of using their purchasing power to benefit their local area,

Collateral Warranties - key clauses

Collateral Warranties - key clauses

In basic terms, 3 parties are involved in collateral warranties:

- A contractor

- A beneficiary (third party)

- An employer

Collateral warranties provide a contractual link between a third party (the beneficiary) and a contractor which has carried out certain works or provided certain services for the employer.

So when is it appropriate to use one?

It is often appropriate to expect collateral warranties when:

  • A first purchaser acquires a new build development
  • The employer is the developer and sells the completed site to

What are Collateral Warranties? Explaining the Basics

What are Collateral Warranties? Explaining the Basics

What are collateral warranties?
Collateral warranties are contracts which are designed to establish a contractual link between a third party (the beneficiary) and a contractor or consultant who has carried out certain works.

Why are they required?
In the case of a building contract, collateral warranties are a promise from the contractor to the beneficiary that the works have been carried out in accordance with the building contract. If the works have been carried out negligently, the beneficiary has a right of recourse against the