Ocean Housing Group downgraded in latest batch of regulatory judgements

Ocean Housing Group has been downgraded to a G2 governance grading, the Regulator for Social Housing has revealed in its latest batch of regulatory judgements and stability checks.

The regulator (RSH) this morning published stability check outcomes for six landlords, including Places for People and Sovereign Network Group, all of which retained their current governance and viability gradings except the 4,500-home provider.

While the Cornish landlord retained its V2 grading for financial viability, the RSH said it needed to “improve the effectiveness of its risk and control framework in relation to oversight and management of strategic risks associated with its unregistered subsidiary, Gilbert and Goode”.

It also found that Ocean had not “ensured an effective approach to procurement, contract management and budgetary control in relation to its repairs service”, finding “weaknesses in procurement of works and contract monitoring” which “resulted in unknown overspends against its repairs budget”. 

A further four landlords were subject to inspections by the RSH, with Bournemouth, Christchurch and Poole Council receiving the highest consumer grading, C1.

Cheshire Peaks & Plains Housing Trust received C1/G1/V2 gradings, while the City of Wolverhampton Council and St Albans City and District Council both received C2 gradings.

The regulator found that Wolverhampton needed to “improve data on its homes and has plans to bring more homes up to the Decent Homes Standard”. 

“While it is encouraging to see more landlords achieve C1 gradings as our regulation drives improvements across the sector, there is nevertheless no room for complacency – even for those landlords that receive the highest grades,” said Kate Dodsworth, chief of regulatory engagement.

“We will continue to root out issues through our inspections, stability checks and other regulatory tools.

“Social landlords are facing intensifying risks so good governance remains more important than ever. Weaknesses in governance. can undermine a landlord’s ability  to maintain financial viability or to provide good homes and services to tenants.

“We will continue to engage constructively with these landlords where there are issues to ensure things are put right promptly.”