Awaab Ishak mould death: Housing association loses £1m extra funding
The housing association which rented out a mould-ridden flat to the family of Awaab Ishak is to be stripped of £1m for new housing from the government.
The toddler died from a respiratory condition caused by exposure to mould in his family's flat, a coroner ruled.
Housing Secretary Michael Gove made the announcement ahead of a visit to Rochdale to meet council bosses and Rochdale Boroughwide Housing (RBH).
He said it had "failed its tenants". RBH said it was working to improve.
Mr Gove said the social housing landlord would not receive "a penny of additional taxpayers' money for new housing until it gets its act together and does right by tenants".
"Let this be a warning to other housing providers who are ignoring complaints and failing in their obligations," he said.
Speaking to BBC Breakfast, Mr Gove added: "Awaab's parents went through hell, they lost their two-year-old son as a result of the terrible conditions in which they were living.
"We're saying to RBH, you won't get the money that you've asked for to expand until you first of all, make sure that your tenants are living in proper, decent homes."
Asked if the organisation should still be operating at all, he said: "I'm going to talk to them later today. I've had conversations already with the chair of the organisation and conversations with the outgoing chief executive and I want to see the situation on the ground."
Mr Gove met bosses at RBH earlier this month after a coroner ruled Awaab died from a respiratory condition caused by mould in his home.
The toddler's father had raised the issue for three years but no action was taken before his son's death in December 2020.
RBH chief executive Gareth Swarbrick was sacked on Saturday after refusing to resign.
Before his removal, Mr Gove had said it "beggared belief" that he was still in post.
The announcement means RBH will not receive an expected additional £1m from the Affordable Homes Programme or any new contracts from the scheme for new homes until the social housing regulator had concluded its investigation.
The government said it would also continue to closely monitor standards in all RBH housing.
Mr Gove wrote to all councils and housing associations at the weekend saying they "must raise the bar dramatically on standards" and demanding urgent action where people complain about damp and mould.
The government has also announced a share of £14m for seven areas with high numbers of poor, privately-rented homes to crack down on rogue landlords and drive up standards.
Greater Manchester - which includes Rochdale - will receive £2.3m to impose more fines on landlords found to have committed an offence.
The other areas are Liverpool, Cornwall, Eden in Cumbria, Ryedale in North Yorkshire and the Derbyshire Dales.
Rochdale Borough Council has written to Mr Gove asking for funding to take back its housing stock from the organisation.
Council bosses are now calling for a place on RBH's board, saying they want to "deliver life-saving improvements" and play a role appointing an interim chief executive.
They have also urged the current board and directors to step down.
An RBH spokesman said: "We are looking forward to our conversation with Michael Gove to look at how we can work together to improve the quality of homes in Rochdale.
"We have been engaging with the regulator on a regular basis to update them on the changes we have put in place around damp and mould."
He said it also welcomed "the impartial scrutiny the regulator will bring and we are keen to work more closely with them".
"We understand all the issues that have been presented to us as a result of the coroner's verdict and we have a plan in place which we are implementing to ensure that everyone living in an RBH home will have a safe and good quality home," he added.
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