East midlands provider increases shared ownership and sales income
EMH Group built three-quarters of its targeted homes in 2023/24.
The 22,000-home association, in its financial statement said it completed 388 homes in the year to 31 March. This is 17% down on last year’s total of 466 and means it has missed its target of 500 units for the year.
EMH said: “This is a reduction on the volumes completed last year and is common in the sector as schemes are held in planning, contractors become less viable and competition for land increases.”
The Leicestershire-based group however said it remains committed to developing up to 500 homes a year and had 1,090 homes on site at the end of the financial year.
EMH Group increased its turnover by 13%, from £130m to £147.5m, while its overall surplus rose from £31.4m to £34.5m.
The group increased its overall social housing lettings income by £10.2m, it also generated an extra £7m from shared ownership first tranche sales and an extra £10.5m from non-social housing activities, including market sales.
It said: “We have also seen strong property sales as the market remains buoyant in our operating area”.
EMH Group’s operating surplus on social housing lettings rose by £6m to £28.2m, with its social housing operating margin increasing from 23% to 26%. It said increased unit numbers will generate income to further invest in existing properties.
Its headline social housing cost per until rose by 16% to £4,173. Spend on maintenance increased from £19.4m to £20.3m, while planned maintenance expenditure rose by 24% to £4.2m.
EMH has pledged to work towards all new homes adhering to the Future Homes Standard and a minimum energy performance certificate (EPC) rating of C.
“We remain strongly committed to maintaining and improving our properties and are undertaking a stock condition review programme to enable us to ascertain a more detailed and precise programme of works alongside the EPC C programme,” EMH said.
Housing association financial statements 2023/24
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