Renowned credit rating agency Moody’s Investor Services has given Southern Housing Group an A1 stable rating for the third year running.
Moody’s highlighted the Group’s credit strengths combined with an excellent performance in the 2014/2015 financial year and rates it among the most financially stable housing associations in England.
The Group’s track record of delivering efficiencies, its strong balance sheet, robust governance and regulatory framework, together with improving margins significantly contributed to its ability to retain its excellent credit rating.
Southern Housing Group CEO, Tom Dacey, noted that the Group’s focus on making best use of assets and extracting good value for money from every part of the business has helped consolidate its financial position and credit rating:
“We are proud that Moody’s has once again recognised our financial strength through the A1 stable credit rating.
“We’ve had a clear focus during the past 12 months of maintaining a strong financial position and ensuring we gain value for money in all of our work and this has clearly paid off.
“This rating is clearly a vote of confidence in the way we organise our finances and manage risk and, as we move forward, it will help to ensure we’re able to continue to build on our vision of providing more people with a home.”
Tom also said that Southern Housing Group’s charitable status meant that it reinvests its profits into managing and maintaining existing properties, building new homes, and providing support to residents.
“We’re especially pleased that Moody’s has recognised our strong balance sheet as while we are keen to maximise our profits through building homes for market rent, shared ownership and outright sale, all of the income we generate gets put back into the Group so we can build new homes for people who need them.
The Moody’s report also acknowledged Southern Housing Group’s “willingness and capacity to maintain its financial performance and profile in the face of financial pressures imposed on the housing association sector by the policies announced in the UK Summer Budget 2015.”