The Model Rules were originally developed and launched in 2013 with the intention of providing the sector with a framework to help support consideration locally if and when Associations decided to review their own rules and arrangements. It was also hoped that this would reduce the internal resource and legal cost burden on individual Associations if/when they came to review their own rules. Please note that the Model Rules are not mandatory.
Following some legislative changes, CHC enlisted the help of Devonshire’s Solicitors to ensure the document was updated accordingly. A working group of sector representatives was also convened to provide input to ensure that the Model Rules document continues to be fit for purpose. The main change affecting the Model Rules is that they are now registered under the Co-operative and Community Benefit Societies Act 2014 as opposed to the Industrial and Provident Societies Act 1965, which was previously the case. The revised Model Rules document has now been accepted by the Financial Conduct Authority and is today published on the CHC website for members to use.
As before, the rules have been written with the intention of being sufficiently generic to allow for use by all Housing Associations and include sets of options to support the core model rules to meet a range of different needs, split deliberately into five distinct sections to reflect:
- Generic options to the base model for all Housing Associations;
- Group, parent and subsidiary options;
- Options specifically relating to LSVTs & Community Mutuals (where they are similar);
- Any additional options specifically relating only to Community Mutuals; and
- Co-optee options.
You can also find a short guidance note for Associations below on rule amendments and approval routes that includes an aide memoire, and a checklist for submission to the Financial Conduct Authority. Please contact Claire McDougall if you have any questions.