I’m pleased to share Southern Housing’s audited Annual Report for the year ended 31 March 2026, following the publication of our preliminary unaudited results earlier this year.
This year marks a clear step forward in our financial recovery. We closed the year in a resilient position, supported by disciplined cost management, stronger liquidity and improved covenant headroom. Together, these provide a firm foundation as we continue to navigate a challenging and fast‑moving operating environment.
Financial and Operational Highlights:
- Turnover: Total revenue increased to £719m (2024/25: £674m), reflecting the annual rent uplift and the letting of newly completed homes
- Operating Surplus: Our operating surplus rose to £185m (2024/25: £123m), reflecting completion of our post-merger integration and a further £14m sustainable cost efficiency savings delivered. We also recognised a £48.7m provision in relation to future spend on our fire safety and cladding remediation programme
- Cash Interest Cover: EBITDA MRI (excluding sales) improved significantly to 49% (2024/25: 28%). We now see a clear pathway back toward our 100% Golden Rule by 2028/29
- Investment in existing homes: Total investment reached £291m (2024/25: £286m), with accelerated spend in the second half of the year.
Alongside this financial progress, our Tenant Satisfaction Measures show encouraging improvement. Overall Satisfaction rose to 67% (2024/25: 63%), reflecting our continued focus on reliable repairs, professional services and safe, secure homes.
We remain mindful of the wider macroeconomic backdrop. Inflation, interest rates, supply chain pressures and regulatory change continue to shape the sector. Our disciplined approach to risk, liquidity and balance sheet capacity ensures we are well placed to respond.
Read more about our progress and performance in our Annual Report and ESG Report.
Tom Paul
Chief Financial Officer
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