Places for People turnover passes £1.2bn as it becomes biggest housing association in UK

Places for People (PfP) has increased its turnover by 17% to become the largest housing association in the UK by turnover.

The 270,000-home provider, in its financial statements today, reported turnover of £1.23bn, up from £1.06m the previous year. The figure is higher than those posted by other giant housing associations in recent weeks and means PfP will leapfrog L&Q, Peabody and Sanctuary in Housing Today’s Largest 50 Housing Associations list published later this year.

The group, which in the year merged with Elim Housing and South Yorkshire Housing Association boosting its stock by 6,300 homes, increased its operating surplus excluding one-off items from £204m to £244.7m. Its overall surplus fell by £211m to £164m due to one-off items relating to the two mergers being lower than those from a merger with Origin Housing recognised the year before.

PfP’s social housing lettings income rose by £39m to £617m, while its shared ownership sales revenue nearly doubled from £41m to £76m.

The group generated an extra £98m from non-social housing activities. Revenue from the development of non-social housing increased from £100m to £176m, while its leisure business income rose from £184m to £198m. The group increased its underlying operating margin from 19.3% to 23%.

It also generated an extra £118m from the sale of homes and investment properties. The group sold 688 homes through its empty homes recycling programme, generating £64.1m.

It said: “Our empty home recycling programme is a key part of our wider asset management strategy, which focuses on ensuring we own the right homes in the right places. When a property becomes empty and no longer represents long-term value – for example, because of its condition, location or layout – we consider selling it and reinvesting the capital.”

PfP completed 2,539 homes in the year, up from 2,296 in the previous period and the provider’s highest total since 2020. It doubled its shared ownership completions to 763.

PfP said it generated £678m of social value in the year. It spent £109m on existing stock, down on £142m the year before.

The group in the year also opened a new training academy as part of its PfP Thrive skills programme. It said by the end of the year had enrolled 126 learners onto apprenticeship programmes, supported 174 through Chartered Institute of Housing qualifications and delivered training to nearly 3,000 people through instructor-led programmes.

In April, PfP announced a joint venture with Barratt Redrow to deliver the 8,500-home Gilston new town in Hertfordshire.

Greg Reed, chief executive of PfP, said: “The challenges facing housing in the UK are too great for any single organisation to solve alone. This year, PfP has played a central role in convening others around a shared purpose across skills, finance, and housebuilding.”