The social housing sector is presenting an ever growing list of challenges to providers. Increasing demands from building safety standards, decarbonisation targets and consumer regulation mean that budgets are being stretched further than ever before. The recent end of ECO4 funding and the introduction of new regulations such as Awaab’s Law only scratch the surface of considerations landlords across the UK will now need to consider as part of their wider business strategy.
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Delivering savings for our members
As a member owned, not for profit consortium, the Communities and Housing Investment Consortium (CHIC) has one mission. We work with our members, housing associations and local authorities and supply chain partners to deliver process and cost efficiencies through high quality asset management procurement and commercial services. Savings generated allow our members to deliver better homes and communities for residents, while encouraging sustainability and creating added social value. Every pound we save for our members means more money that can be put into improving homes for those that need it most.
How do we achieve this?
Individual housing providers often procure works, materials and services based on their own spend profile. By going through a consortium like CHIC, our members can take advantage of aggregated purchasing power. Our network of 350+ members spending as one means the 1500+ suppliers appointed to our frameworks and Dynamic Purchasing Systems (DPS) enjoy greater confidence, leading to more competitive pricing.
The principle is simple: the sector is stronger when it buys together.
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Taking the headache out of procurement.
Running a compliant procurement exercise in house requires significant resources, not only financial, but also time. Staff, legal support, and evaluation panels all carry costs. By accessing CHIC’s pre-procured routes to market this burden is significantly reduced.
Delays in procurement can prolong investment programmes. CHIC’s team can support complex projects from start to finish, ensuring smooth delivery. Some members use our unmanaged service to complement and bolster their internal procurement team.
How much did our members save last year?
In CHIC’s previous financial year it supported over 1053 contracts, with a total savings of £19m, an average saving of more than £18k per contract. This is where our members really see the difference.
Funds that would have otherwise been lost can now be reinvested meaning:
• More new homes
• More improvements to existing homes
• Increased decarbonisation programmes
• Stronger financial performance and value for money
• Most importantly, better outcomes for residents.
The savings we create go way beyond the number at the bottom of a balance sheet; there is a wider social and economic impact.
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Collaboration beyond savings
The value of CHIC extends beyond procurement savings. By bringing together housing providers, supply chain partners and sector experts, we create opportunities for collaboration and shared learning. Our webinars, roundtables, conferences and networking events give housing providers access to valuable insights and practical experience that help shape better decision making and raise standards across the sector.
Social Value in every contract
As government expectations around social value continue to increase, procurement is no longer judged solely on cost and quality. Organisations are expected to create wider benefits for residents and communities through the contracts they award. Every CHIC contract procured through our frameworks is required to deliver a minimum of 1% social value.
CHIC and its associated charity CHIP (Communities & Housing Investment in People) generated over £50 million in social value in a single year, demonstrating the wider impact procurement can have on people and communities. We collaborate with suppliers to collect social value data of activities delivered during their contracts. Data is presented back to our members who can observe impact locally in their communities.
Why now?
Delivering savings is what CHIC does, but why we do it is all part of our mission. Everyone deserves a warm, safe and decent home they can be proud of, and the work we do with our members ensures this can happen.
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