Analysis and documentation regarding the 2026-2046 Capital Investment Works Framework and QLTA consultation.
In March 2025, Southern Housing published a tender for a massive 20-year framework. On 19 December 2025, they issued a Notice of Landlord's Proposal for a Qualifying Long-Term Agreement (QLTA) with Axis Europe Limited, citing a regional contract value of £22,209,966 over 10 years.
Total Value: £1.7 Billion across the entire Southern Housing portfolio.
Scope: Lot 2 covers external components (windows, roofs, doors), Lot 6 covers internal.
Contract Start Date: Expected May 2026.
Cost Per Unit Warning
If the £22.2M figure were applied to Odyssey House alone (40 units), it would equate to £4,627 per month per flat over the 10-year term. This demonstrates the absurdity of entering a long-term contract without building-specific caps or transparent budgets.
Southern Housing clarified that the £22.2M estimate is for the entire region, not just our block. However, they refused to provide Odyssey House-specific cost projections, leaving us with unlimited exposure.
Furthermore, they refused to address our S20B historic cost challenges, kicking the can down the road to a different department, and placed physical barriers on our legal right to access the Schedule of Rates ("by appointment only").
The RTM Window
By executing Right to Manage before these contracts take effect in May 2026, we escape the QLTA entirely. Our RTM company can commission our own condition surveys and obtain competitive local quotes, stripping Southern Housing of the right to force us into this regional framework.
Dear Alexander,
I am writing in response to your observation received on 20 January 2026, please see our response below.
Regarding the specific points you raised, I would like to clarify that this consultation is strictly related to the proposal to enter into a legal agreement with a specific contractor... You have raised concerns regarding Section 20B, and as this does not relate to what we are consulting on it will not be addressed within our observation response. Please be assured that your comments have been noted and I will arrange for the matters regarding Section 20B to be addressed by our Service Charge team separately.
Projected Individual Liability
The contract estimate referenced in our notice is intended to provide a general indication of potential costs of delivering the works outlined to the whole region and not just your block only.
Involvement of HLS McConnell
Axis Europe Limited are the contractors who are our preferred contractor to deliver our Capital Investment Works programme which relate to the external and fabric of the building. We would only undertake any internal works which falls within our liability as detailed within your lease agreement.
Scope and Relevance
I can confirm that the notice you received is in relation to our external capital works programme and no internal kitchen/bathroom renewals will be carried out to your property under this agreement. Southern Housing has started to carry out stock condition surveys...
Apportionment and Tenure
All works and services provided by Southern Housing are wholly funded by our leaseholders and tenants... leaseholders do not subsidise our social housing tenants, or vice versa. Any major works contribution is calculated on the same basis as is used to calculate your annual service charges.
Documentation and Inspection Rights
Due to the size of the schedule of rates document, we were unable to attach it to our notice and if you would like to review or receive a copy of the schedule of rates, please contact Fawzeya at procurement@southernhousing.org.uk.
Thank you for taking the time to participate in our consultation, which has now concluded.
Kind regards,
Easton Davis