What is a Tenant Management Organisation (TMO) and How Does it Work?

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What is TMO?

A Tenant Management Organisation (TMO) is a group of residents, usually council or housing association tenants, who take over some responsibilities for managing their homes and estates.

The properties are still owned by the council or housing association, but the TMO delivers certain services such as:

  • Repairs and maintenance

  • Cleaning and caretaking services

  • Rent collection

  • Tenancy management (e.g., anti-social behaviour issues)

  • Grounds maintenance

  • Lettings and allocations

Because TMOs are set up and run by people who live in the community, services can be delivered in ways that better meet local needs.

What Can a TMO Manage?

Once approved and in place, a TMO can take over many of the day-to-day housing management duties. These might include:

  • Repairs and maintenance

  • Cleaning and caretaking services

  • Rent collection

  • Tenancy management (e.g., dealing with anti-social behaviour)

  • Grounds maintenance

  • Lettings and allocations

The scope of the TMO's responsibilities is laid out in a management agreement between the TMO and the landlord (usually the local council).

How is a TMO Set Up?

Setting up a TMO is a structured legal process, and it takes time, effort, and commitment from residents. Here’s a simplified version of the key steps:

  1. Exploration : A group of tenants expresses interest and begins exploring the idea.

  2. Right to Manage Notice: A formal notice is served to the landlord stating the group’s intention.

  3. Development Phase : Residents receive training and support (often funded by the government) to build the skills needed.

  4. Business Plan : The group prepares a business plan and budget showing they can manage services effectively.

  5. Competence Assessment : The landlord assesses whether the TMO can manage the services responsibly.

  6. Ballot : All affected tenants and leaseholders vote on whether they support the TMO going ahead.

  7. Management Agreement : If successful, the TMO signs a legal agreement and begins managing services.

Who Runs a TMO?

A TMO is run by residents, mainly tenants and leaseholders, who form a committee or board to make decisions about managing their homes. While TMOs focus on social housing, the skills and tasks involved are very similar to those used in rental property management, such as handling repairs, rent collection, and tenant relations.

Benefits of a TMO

Many residents find that a TMO brings tangible benefits to their community, such as:

  • Better quality services

  • Quicker response times to issues

  • Greater accountability and transparency

  • Stronger community engagement

  • Opportunities for training, employment, and personal development

When tenants are in charge, services are often more responsive because the decision-makers live in the community and understand its needs first-hand.

Is a TMO Right for Every Community?

Not necessarily. Running a TMO is a significant responsibility, and not all groups of residents want or are able to take it on. It requires time, training, and strong collaboration.

However, for communities that are passionate, organised, and committed to making a difference, a TMO can be a powerful tool for change.

TMO vs. Council Management What Works Best?

Many people ask: Is a TMO better than being managed directly by the council or housing association? The answer depends on the needs and strengths of the local community.

TMOs Can Work Better When:

  • Residents want more control and feel the council is not listening to their needs

  • The community is active and willing to take part in managing their homes

  • There is a clear vision for improving services and the estate

  • People are ready to take on responsibility and follow through

Council or Housing Association Management May Work Better When:

  • There are not enough residents interested in being involved long-term

  • The area is very large or complex, making it harder to manage locally

  • The current services are working well and tenants are generally satisfied

  • There’s not enough time or capacity to go through the process of setting up a TMO

In simple terms:

TMOs give more power to the people who live in the community.

Council or housing association management is easier for those who prefer the landlord to stay in charge.

Both options can work, but success depends on how well services are managed, how involved residents are, and what support is available.

The Future of Tenant Management: Are TMOs Still Relevant?

With changing housing policies, budget cuts, and a growing focus on tenant voice, some people wonder whether TMOs still have a place in today’s housing system.

The answer is: yes they are still relevant, and perhaps more important than ever.

Why TMOs Still Matter:

  • Tenant involvement is a growing priority. Councils and housing providers are being told to listen to tenants more closely. TMOs offer a ready-made way to do this.

  • Many communities still face poor housing services, and TMOs can drive improvements from within.

  • TMOs give residents real power, not just consultation or feedback. They make decisions and manage budgets.

  • They help build skills, confidence, and community pride.

However, for TMOs to succeed in the future, they need:

  • Ongoing support from councils and the government

  • Access to training and funding

  • New, younger residents are getting involved to keep the work going

  • Clear partnerships with landlords, not battles over power

In a time when trust in housing providers is low in many areas, TMOs offer a proven model of community-led, responsive management that puts tenants first.

Where to Get Help or Learn More

If you’re thinking about setting up a TMO, or just want to learn more, here’s where to start:

  • Your local council or housing officer

  • National Federation of Tenant Management Organisations (NFTMO)
    Website: www.nftmo.com. They provide training, resources, and support for both new and existing TMOs.

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Final Thoughts

A Tenant Management Organisation is a way for residents to take more control over how their homes are managed. It doesn’t mean owning the homes, but it does mean running services like repairs, cleaning, and more.

TMOs give communities a stronger voice and often lead to better, more responsive services. While setting one up takes time and commitment, many residents find it worth the effort.

If you live in council or housing association housing and want more say in how your estate is run, exploring the idea of a TMO could be a great step forward.

FAQs

1.What is a Tenant Management Organisation (TMO)?
A TMO is a group of tenants and leaseholders who take over some housing management duties from the council or housing association, such as repairs, cleaning, and rent collection.
2. Do TMOs own the properties they manage?
No. The properties remain owned by the council or housing association. The TMO only manages certain services, based on a legal agreement.
3. Can anyone set up a TMO?
Any group of tenants and leaseholders in council or housing association housing can start the process. It involves training, a business plan, and a tenant vote before it goes ahead.
4. What are the benefits of a TMO?
TMOs can provide quicker repairs, better cleaning, and more responsive services. They also give tenants a stronger voice and more control over decisions.
5. Are TMOs still relevant today?
Yes. TMOs remain a powerful way for residents to shape local services and improve their estates, especially in areas where traditional management isn’t meeting tenant needs.

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