Metropolitan Thames Valley (MTVH) has published its first set of annual accounts following its formal completion of a partnership last year.
As reported by 24housing in October, Metropolitan and Thames Valley Housing confirmed completion of their partnership to form Metropolitan Thames Valley (MTVH) – trading name for a group with around 57,000 homes spread across London, the South East, East Midlands and East of England.
As outlined in its release of annual accounts today (12th August), the social landlord spent £361m acquiring land and building new homes in the 2018/19 financial year (2017/18: £299m).
In the same period, it delivered 1,037 new homes (2017/18: 940), nearly 90% of which were affordable – comprising 192 for social rent, 143 for affordable rent and 572 for shared ownership.
As well as building new homes, MTVH also invested £118m in maintaining and improving its existing residents’ homes.
Under the partnership the organisation is said to have ‘reshaped’ the structure of its combined debt, agreeing a new fit-for-purpose covenant suite – and releasing around £800m of new borrowing capacity.
Key financial metrics were outlined as down marginally in the year: group turnover was £411m (2017/18: £414m), underlying operating surplus was £154m (2017/18: £162m) and underlying operating surplus was 36% (2017/18: 38%) – a reflection of the combination of a ‘slower selling market’ and MTVH’s continued investment in its stock.
Core lettings performance was similarly consistent and in line with expectations – with turnover up to £288m (2017/18: £280m) and operating margin at 34% (2017/18: 36%) as the housing association absorbed another year of the 1% rent reduction settlement.
MTVH have said that “doing more for customers” is a central commitment of the new group, which has a new customer experience strategy in place and a delivery plan to responsively redesign services around the needs of customers.
On the report’s release, Ian Johnson, Chief Financial Officer at MTVH, said: “We’re very proud of what we’ve achieved so far in a relatively short period of time.
“As a new, more resilient group, we’ve delivered more than a thousand new homes, and invested in the safety and condition of our existing properties, as well as our long-term financial strength.
“Our integration plans are firmly on track, and our business transformation continues as we maintain our focus on the partnership’s key strategic objective of improving the services we provide to our customers.”