RSH releases report on financial trends in social housing

The Regulator of Social Housing has published the results of its latest quarterly survey of registered providers’ financial health.

The report looks into the sector's financial data for the past financial year.

The report found that providers face substantial pressures and continue to operate within a very challenging and fast-moving economic environment. High inflation, shortages in labour and materials, increasing borrowing costs, and higher spend on repairs and maintenance continue to impact on providers’ operating costs.

In the last financial year, providers invested £6.9 billion on repairs and maintenance, and expect to invest a further £7.9 billion over the next 12 months.

This higher spend is a result of repairs relating to damp and mould, building safety works, investment in energy efficiency and inflationary pressures.

£13 billion was invested over the past year to build and acquire new homes and providers expect to spend a further £16.8 billion on new homes over the next 12 months.

Jonathan Walters, deputy chief executive of the Regulator of Social Housing, said: "Providers continue to face significant economic challenges, including high borrowing costs and inflation. Boards need to take a strategic approach to managing these risks, to ensure they can continue to deliver tenant services, increase repairs and maintenance, and invest in new homes."

Image by Coombesy from Pixabay