Association finances withstand economic fears
Housing associations have proved ‘remarkably robust’ in the current economic climate, according to figures from the Tenant Services Authority.
The regulator’s quarterly survey shows that social landlords arranged almost £1 billion of new loan facilities between April and June 2010, with another £400 million currently under negotiation. Nearly 10 per cent of these were bond issues.
However the report also found the amount of money housing associations are set to write down in their 2010 accounts had risen from £113 million in April to £121 million in July. And sales of low-cost home ownership homes slowed, although the overall number of un-sold homes decreased for the seventh successive quarter.
Interim director of regulatory integration Jonathan Walters said: ‘Housing providers are going through tough times like everyone else at the moment, but the sector has proved remarkably robust. It remains an attractive investment to the banks and bond markets who have lent them a further £1 billion in the last quarter.
‘The survey also reflects that the housing market remains uncertain and how restrictive credit conditions are promoting a more cautious attitude to borrowing. However, the sector has continued to develop new social housing and make low-cost home ownership sales, albeit at a slower rate than previously.’
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Readers' comments (4)
Melvin Bone | 07/09/2010 3:45 pm
No sign of the media hyped double dip yet then...
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Paine | 08/09/2010 9:36 am
"Melvin Bone | 07/09/2010 3:45 pm
No sign of the media hyped double dip yet then..."
Try saying that to a Connaught employee or someone living in Eire.
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Sidney Webb | 08/09/2010 11:47 am
Never shout cliff at someone who has their back to it as they may fall into the void they could not see.
OSBORN: It's behind you!
If there is a double dip recession the latest money is that it will be restricted to a few economies, like the UK, rather than the worldwide monster of two-years ago. So we can all feel safe then!
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Anonymous | 08/09/2010 1:47 pm
worried about a double dip?
you mean we're in an upswing?
haha
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