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Bromford Flagship increases turnover as merger unlocks extra £1.9bn capacity
Bromford Flagship has posted a £14m increase in turnover for the first six months of the year, as the association’s merger boosted its investment capacity by £1.9bn.
Bromford Flagship increases turnover as merger unlocks extra capacity of £1.9bn #UKhousingBromford Flagship has posted a £14m increase in turnover for the first six months of the year, as the association’s merger boosted its investment capacity by £1.9bn #UKhousingThe boost was revealed as part of the landlord’s trading update for the first six months of 2025-26.
The 82,000-home association saw turnover rise by £14m to £318m, while turnover from social housing lettings rose by the same amount to £262m.
Its overall operating margin (excluding asset sales) increased one percentage point to 31%, as did the social housing operating margin to 34%.
The update reported a post-tax surplus of £68m in line with last year, while the landlord’s interest cover remained stable and gearing was at 40%.
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This is Bromford Flagship’s first mid-year trading update since the merger between Bromford and Flagship completed in February 2025.
Robert Nettleton, chief executive of Bromford Flagship, said: “We’ve now completed the legal and technical steps to unlock £1.9bn in additional investment capacity over the next 15 years through the Bromford Flagship merger, strengthening our ability to deliver at scale and at pace.
“This will enable us to deliver up to 7,000 additional new affordable homes, accelerate regeneration, expand our place-based model and begin to establish a sector-leading research and innovation capability.
“Over the past six months, we’ve deepened our focus on building places that enable people to thrive, investing in social and physical infrastructure as well as new homes. We are well-equipped to support the delivery of national priorities for social rent, regeneration and regional growth.”
The combined group has ambitious plans to deliver 2,000 homes each year, with a target for half to be for social rent.
During the first six months of 2025-26, Bromford Flagship completed 765 new homes, including 182 for social rent.
By comparison, 609 affordable homes were built in the same period last year, with 230 for social rent. Over the second half of this year, the landlord expects to complete a further 450 social rent homes.
“We continue to pursue our ambitious development aspirations, having started work on our largest affordable housing site to date in the period that will provide 150 new affordable homes. We have more than 3,600 homes under construction (contracted) across the coming five year period,” the report stated.
This financial update also revealed that £54m had been spent on its existing stock, with 81% of its homes hitting an Energy Performance Certificate rating of Band C or above.
Bromford Flagship reported a drop in average live repairs of more than 10,000 to 11,270.
Paul Walsh, chief finance officer at Bromford Flagship, said: “Our operating margins remain among the highest in the sector, at 34% on social housing lettings and 31% overall (excluding asset sales).
“This is really positive when considering our continued focus on improving repairs performance, with outstanding jobs now at their lowest level in five years and customers seeing routine repairs completed more quickly.”
The landlord recorded a customer satisfaction score of 84% and net rent arrears were down to 3.4%.
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