Private finance an important ally as major challenges lie ahead, says Regulator
The financial performance of most registered social landlords (RSLs) remain strong, but major challenges lie ahead to ensure that RSLs are able to fund their future business plans, the Scottish Housing Regulator has said.
Delivering a speech to finance professionals at the SFHA Annual Finance Conference, Ian Brennan, director of regulation, said there was a particular need for RSLs to raise substantial amounts of private finance and providers of such will be important stakeholders in the future.
Mr Brennan added that the Regulator is also looking to the new regulatory framework to make sure that it continues to safeguard the interests of tenants and service users. An important consideration in the changes that it is proposing is the need for RSLS to continue to access the funding that they require.
Ian Brennan said: “RSL financial performance remains strong. But the sector is facing major challenges, in particular the need to raise substantial amounts of private finance to fund future business plans.
“We are looking to the new regulatory framework to make sure that we continue to safeguard the interests of tenants and service users.
“Our statutory intervention cases have shown what can go wrong and the importance of RSLs ensuring sustainable governance that is compliant with regulatory standards. We also know that where we have intervened, investors have recognised the importance of RSLs having a positive and constructive relationship with us.”