Member Article

Just Housing Group Helps Taff Housing Association to Improve its Rent Arrears

Leading community-based housing provider – Taff Housing Association – has reported a significant improvement in rent arrears collection after piloting a new approach involving behavioural insights.

With recent reports by StatsWales highlighting over 73,469 people are in rent arrears in Wales alone, the Cardiff based association engaged with one of the UK’s leading housing and support services businesses - Just Housing Group (JHG) - to determine how it could improve its performance in rent collection.

The East London based consultancy introduced to Taff Housing Association the theory of Behavioural Insights, through delivering a one-day interactive workshop to the organisation with a focus on rent collection.

Behavioural Insights, often known as nudge – a common practice widely adopted by the public sector, HMRC, DVLA and energy suppliers – harnesses what we understand about how people really behave, to enable positive changes in behaviour.

Since the workshop, delivered by JHG’s Consultancy Managing Director Anna O’Halloran, Taff Housing has successfully completed its first live behavioural insights trial which has seen an increase in tenant engagement from 46% to 82%.

Speaking about utilising nudge techniques, Rhodri Thomas, Customer Services Manager at Taff Housing said: “The subject of Behavioural Insights was completely new to us. During the session we decided to look at how we communicate at stage one of our arrears procedure which gave us a great springboard to go away and implement the theory ourselves.

“At the end of our first trial, we compared our normal stage one letter response rate against the new letter, text message and phone call and we were astounded by the results.

“As with all housing associations, managing rent arrears is extremely challenging and collection is not only labour intensive but also very costly. We are delighted to have worked with JHG to implement this new approach, which we believe will significantly improve our performance, ultimately resulting in cost savings.”

And the organisation now has plans to continue to use nudge techniques, expanding this across additional operations.

JHG believes it is the first company in the UK to introduce the theory and application of behavioural insights to the social housing sector. Its lead associates, including Behavioural Insights Special Advisor Steven Johnson has developed its approach over the last three years carrying out over 20 randomised controlled trials (RCTs) providing concrete evidence to support the theory.

The company has recently introduced across the country a series of behavioural insights interactive workshops designed for individuals of social housing organisations to attend who want to significantly improve their performance, whilst also reduce costs.

Speaking about the workshops, Anna O’Halloran said: “The workshops have already proven hugely successful, and Taff Housing is testament to the results which can be generated through the implementation of our innovative approach.”

JHG will be delivering its one-day interactive workshops across various locations including Edinburgh, Norwich and Bristol, with more to come. Delegates will leave with a practical understanding of nudge principles and behavioural economics. Tickets for the events will be available to purchase on Just Housing Group’s website.

Established in 2004, Just Housing Group provides services and support in the supply, management and maintenance of social housing. With offices in London the company employs 25 staff.

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