Non-compliant for-profit posts revenue of £27.5m.
Heylo Housing Registered Provider has increased its turnover by 25% despite remaining non-compliant with a regulatory standard.
The for-profit provider, which is financially backed by investment giant Blackrock, reported revenue of £27.5m for the year to 30 September, up from £22m the previous year.
The provider, which is currently non-compliant with the Regulator of Social Housing’s governance and financial viability standard, increased the number of shared ownership homes it has a leasehold interest in by 13% year-on-year to 7,404.
Heylo, which offers properties for shared ownership, was handed ‘G3’ and ‘V3’ grades in December 2022 after the RSH raised concerns about its business model.
RSH was critical of Heylo Housing’s leasing of shared ownership properties from ‘investment pods’, saying this could risk the provider’s ability to protect its social housing assets.
>>See also: Can ‘for-profit’ providers rescue affordable housebuilding?
In a foreword to its latest accounts, chair David Montague and chief executive Andrew Geczy said Heylo is working closely with the regulator to develop and embed “improved governance arrangements and controls to ensure the long-term viability and protection of social housing assets.”
They admit however that a voluntary undertaking and action plan they have proposed has “yet to be formally accepted” by RSH.
Montague and Geczy described 2022/23 as a year of “consolidation” and said it was working at a more cautious pace.
HHRP’s parent company the Heylo Housing Group also reported a post-tax loss of £29m for the year 30 September
No comments yet