The Regulator of Social Housing (RSH) has released its latest quarterly survey results for the period from January to March 2026, revealing continued robust investment in the social housing sector. Landlords remain able to secure the necessary funding to support both new developments and the maintenance of existing homes, despite ongoing economic challenges.

Strong Investment in Repairs and Maintenance

During the first quarter of 2026, spending on repairs and maintenance reached £2.6 billion. This strong quarterly performance has contributed to a total expenditure of £9.5 billion over the past 12 months, representing a 5% increase compared with the previous year. This sustained growth highlights the sector’s commitment to maintaining and improving existing social housing stock, ensuring homes remain safe and habitable for tenants.

Development Spend and Forecasts

Although there was a slight reduction in quarterly development spend, which stood at £3.5 billion, the total forecast for development over the next 12 months increased to £15.1 billion. Notably, £4.4 billion of this figure relates to uncommitted development projects, marking a 7% rise and reaching the highest level seen in 18 months. This suggests that providers are preparing for future growth and expansion in social housing supply.

Financial Health Indicators

Cash interest cover, excluding sales, improved to 87% in the quarter ending March 2026, up from 68% in the previous quarter. However, this figure is expected to remain constrained, with a forecast of 67% for the year ending March 2027. This indicates that while providers are managing interest costs effectively in the short term, financial pressures may persist over the longer term.

Regarding impairment charges, 59 providers (30%) anticipate reporting such charges in their 2025/26 accounts. This is a decrease from 75 providers (38%) in 2024/25 and 66 (33%) in 2023/24. The total anticipated impairment charge amounts to £375 million, of which £257 million relates specifically to social housing assets. These figures reflect ongoing adjustments in asset valuations within the sector.

Regulator’s Perspective and Ongoing Monitoring

Will Perry, Director of Strategy at RSH, emphasised the importance of vigilant financial oversight. He stated: “We will continue to actively monitor treasury management and exposure to interest rate risks across the sector. It is vital that providers always maintain strong liquidity and secure funding.”

He further added: “We will maintain close engagement with organisations showing signs of financial pressure, particularly where cashflows rely on asset sales for loan covenant compliance. Where necessary, we will reflect our findings in regulatory judgements to ensure transparency and accountability.”

What this means for landlords

For landlords and agents involved in social housing, the RSH’s findings underscore the importance of prudent financial management and maintaining liquidity. The sector’s ability to access funding remains strong, supporting both ongoing maintenance and new development projects. However, the forecast constraints on cash interest cover and the presence of impairment charges highlight the need for careful monitoring of financial risks, especially in a climate of fluctuating interest rates.

Landlords should be aware that regulatory scrutiny will continue to focus on providers’ financial health, particularly where loan covenants depend on asset sales. Maintaining transparency and robust governance will be essential to meet regulatory expectations and ensure long-term viability.

Source: Based on reporting from the Regulator of Social Housing

TLA Training Academy

The Landlord Association has launched its new Training Academy for UK landlords, providing structured guidance, compliance education, and practical knowledge to support landlords at every stage. Members can now complete the programme and become TLA Certified Landlords at no additional cost as part of their membership.

Landlords can explore the Academy here: https://landlordassociation.org.uk/tla-academy/

Those looking to join and access the full training and certification can register here: https://landlordassociation.org.uk/landlord-association-membership-uk/

TLA update

The Landlord Association is currently onboarding new service providers into its Trusted Partner Hub, a new initiative designed to support landlords, tenants, letting agents, and property managers with vetted, high-quality services. As one of the fastest growing landlord associations in the UK, TLA offers partners direct access to an engaged and active member base at the point of need. Service providers across legal, maintenance, insurance, finance, mortgages, tenant screening, and property services can register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/