The boards of Tower Hamlets Community Housing and Poplar HARCA have agreed to merge, with legal completion of the merger expected to take place in spring next year.

The decision was presented to both boards following a 12-week consultation with THCH and Poplar HARCA residents and completion of the merger is subject to discussions with the Regulator of Social Housing.

In March this year, the regulator downgraded THCH’s financial viability and governance gradings from V2 and G1 to V3 and G3 status, as it found weaknesses in the charitable housing provider’s financial position, meaning ”it is unable to meet the costs of its day-to-day operating activities and repair liabilities”.