Grand Union Housing Group is operationally effective and financially sound, emphasised by the A2 (affirmed) rating from Moody’s. Following the result of the UK’s referendum to leave the EU, Moody’s changed the UK Sovereign outlook from stable to negative. This had a knock-on effect on the entire housing sector, meaning our outlook, along with many other housing associations, was reduced from stable to negative. Despite this, the Group remains in a strong financial position and continues to provide a wide range of properties for rent or purchase through shared ownership as well as a comprehensive range of housing services to our customers.
The core business remains the rental of social housing properties. Our homes are of good quality with an efficient and effective repair service, a programme of major component replacements (eg kitchens, heating systems etc) and robust neighbourhood management. In recent customer satisfaction surveys, the Group received top quartile results of satisfaction in all the services provided.
The rating from Moody’s confirms the Group’s financial strength and it will provide the platform for the raising of finance via a bond issue in 2013 which has secured the continuation of our development of new homes until 2018, delivering approximately 165 units per annum.
The Group has established a subsidiary company, Grand Union Group Funding plc, to take responsibility for the management of the Bond.