Provider confirms increase in development to 1,380 completions
Platform Housing Group has reported a lower surplus for 2026/27 as it faced increased operating costs.
The 51,000-home provider, in its annual financial statements, reported a surplus of £43.4m, down 19% on the £53.4m reported for the previous year.
The group’s social housing lettings operating costs rose from £205m to £232m. It also saw its net interest costs rise by £3.4m to £55.4m due to its £250m sustainable bond issued last November.
Platform said its maintenance expenditure was impacted by the need to clear older jobs, meaning more work carried out by contractors, along with high damp and mould costs, extra spend due to the roll out of Awaab’s Law and higher void costs.
It said: “Investment into existing homes has helped to improve the quality and sustainability of homes, as well as customer satisfaction, but has had an adverse effect on surpluses and margins.
”Operating surpluses and margins are down on the prior year due to this investment, cost challenges in revenue maintenance and some one-off expenses.”
The group’s operating margin fell from 28.2% to 25.7%, while its social housing lettings margin fell from 31.6% to 27%. This is below Platform’s ‘golden rule’ of 30%.
It said: “The golden rule will remain in place, with plans to return to that level in the coming years, however, heightened investment and cost pressures will impact margins as we head into the 2026/27 financial year.”
Platform’s accounts confirmed the group completed 1,380 homes in the 2026/27 financial year as previously announced by the provider. This is the group’s biggest figure for five years and is up significantly on the 1,036 completed the previous year, albeit below its target of 1,600. The group also started 1,556 homes in the year.
Overall turnover rose by nearly £10m, from £374.4m to £384.2m. Social housing lettings turnover rose £17.9m, but this was partially offset by an £8.3m drop in shared ownership first tranche sales income.
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