RSLs continue to increase private sector cash

29 Mar 01
The amount of private finance committed to social housing is continuing to increase at about 16% annually.

30 March 2001

Figures published at the National Housing Federation's finance conference in Warwick, held on March 28–30, show that the total sum committed by March 2000 was £19.7bn – up from £16.9bn at the end of the previous financial year.

Last year's increase was also 16%. A total of £7.2bn has now been committed to registered social landlords set up following housing stock transfers.

The figures are contained in the annual monitoring bulletin published jointly by the NHF and the Housing Corporation and show the sums raised by RSLs from private sources since the early 1990s.

In 1999/2000, RSLs negotiated loans worth £3.2bn, including £1.5bn to fund transfers and £1.1bn to finance new developments.

Marion Turner, the NHF's head of finance policy, said this demonstrated the continued growth of the RSL sector through development and transfers.

'There is a healthy appetite to lend to social landlords. They see it as being a sound investment,' she said.

Banks continue to be the leading providers of loan facilities, followed by building societies and institutional investors.

The housing assets of RSLs now stand at £46.5bn – up £3.8bn on 1998/99.


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