The benefits of mutual housing

Author: The Guardian - Jan 13, 2010

When Paula Farrow's marriage broke down and she was offered a home in a housing co-operative, she was dubious. She says: "The only co-op I'd ever heard of was the shop, so I was worried about how it would work. But it was a brand-new house, so I went for it."

Fourteen years on, she is chair of her housing co-op, which owns and manages 36 properties on a small estate in Minster, on the Isle of Sheppey, Kent. Farrow, 43, says co-op living has transformed her life, prompting her to take a housing degree and get involved in community work.

"Our housing is run by the tenant members who live here," she explains. "We have built up our own community. We don't have any antisocial behaviour – none. We all have a real stake in our housing and take pride in the estate."

Supporters of housing co-ops claim that they offer an antidote to society's ills, promoting community spirit and true resident involvement. Yet over the years they have been marginalised, squeezed out by home ownership on one side and the big social landlords on the other. Most people know little about co-ops or the other forms of mutual housing, such as community land trusts. Even fewer get the chance to live in one, as mutual housing – mostly rented, but some owner-occupied – makes up just 0.6% of the UK's homes.

All that could be about to change. Last month, Cabinet Office minister Tessa Jowell launched a commission to investigate the possibility of applying a new John Lewis-style mutual model to the way public services, including housing, are delivered.

The Conservatives, too, are enthusiastic. Shadow housing minister Grant Shapps sees co-ops and community land trusts as "superb examples" of communities taking responsibility for themselves. He has already unveiled plans to introduce local housing trusts, whereby communities would be able to grant themselves planning permission for housing as long as there was strong local support. "I believe they can have a very big impact nationally," Shapps says. "I can see them springing up everywhere."

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