But social landlord says completions drop despite rise in investment

Clarion has recorded an increase in surplus on stable revenue in its latest full-year financial results.

In accounts for the year to 31 March 2026, published this morning, the UK’s largest social landlord recorded turnover of £1.05bn, down marginally from £1.09bn last time.

clarion

However, both operating surplus and net surplus were significantly up in the year, the former from £232m to £289m, the latter up from £82m to £148m.

It comes after three successive years of decline in the group’s operating surplus.

Social housing activities contributed £67m to the net improvement in operating surplus, with £31m coming from increased disposals for social housing.

Clarion said the stronger operating performance enabled the group to “invest at scale” in resident services, building new homes and improving existing ones.

The group invested £453m improving and maintaining its existing homes during the year, including £161m through its proactive capital investment programme.

However, Clarion’s new home completions dropped from 1,727 to 1,466, while the proportion of development made up of affordable homes dropped from 83% to 80%.

This despite a significant jump in the amount of money spent on development, up from £420m to £631m.

“The increase in spend on new homes is partially attributable to the unblocking of the pipeline after the previous delays associated with the Building Safety Regulator sign offs and planning delays,” it said.

Clare Miller, chief executive of Clarion Housing Group, said it had been “a strong year” for the group and said its submission of plans for a 7,750-home development on the edge of Colchester “shows what a financially strong, purpose-led housing association can deliver at scale”.

Mark Hattersley, chief financial officer of Clarion Housing Group, added that the “financial results demonstrate the underlying strength of Clarion’s business model”. 

“The development market remains difficult, and that has affected the number of new homes we were able to complete this year,” he said, adding that Clarion was nonetheless “proud” of its delivery figures in the year.