Recommendation 2

The social housing sector as a whole remains relatively financially resilient. However, it does face the simultaneous financial pressures of higher costs and lower income. Despite the sector’s overall resilience this is a clear and direct challenge to individual social housing providers’ business models and financial stability that must be taken seriously: this cannot be ignored. In addition, damaging restrictions on how local authorities use money from sales under the Right to Buy scheme place further constraints on councils’ housing budgets and ability to fund much needed development. (Paragraph 27) Cost of improving properties