Bromford reports growth but surplus down in ‘challenging’ year

Housing association Bromford saw its surplus fall in the year to March 2023 and narrowly missed its building target in a year of “significant challenges.”

Announcing its financial results for the year, Bromford said the drop in surplus came despite the fact its turnover rose to £290m, an increase of £6m from 2021.

The housing provider narrowly missed its target of building 1,289 homes, despite investing £225m, £45m more than in the previous year, in its new homes programme.

In the 2022/23 year the group delivered 1,265 homes, of which 554 were houses for social rent, an increase of 41 on the previous year.

Bromford’s pre tax surplus was £75.3m, down £4m on the previous year. 

>>See also: Bellway to shut two divisions amid market ‘slowdown’

“Our results and achievements reflect our continued operational and financial strength during a period that saw significant challenges to our sector and the wider economy,” Robert Nettleton, chief executive officer of Bromford, said in his executive statement.

“Against a backdrop of rising inflation and unpredictable financial markets, a continued cost-of-living crisis and uncertainty over social housing rents, our priority has always been the wellbeing of our customers and people.”

Bromford owns and manages 46,437 homes across the West Midlands and the West of England.

The housing association says it is continuing its strategy of selling off property that is not part of its core business. Last year this generated proceeds of £21m and profits of £1.4m.

It plans to build 12,000 new homes by 2031, over 90% of which will be affordable.