The ratings agency has revised the outlook for Housing Plus Group from negative to stable

The headline rating for the organisation remains at A.  In an update published on 21st August S&P said that it expected the Group's financial performance to strengthen moderately over the medium term as cost savings delivered following its merger with Wrekin Housing Group help to offset elevated repair demand.  The stable outlook also reflected strong progress in integrating the merged entities and greater clarity surrounding the group’s development ambitions.  Despite a larger development programme, with a growth rate of around 2% per annum, financial and debt metrics are forecast to remain stable due to improved operating performance.  The organisation is expected to remain focused on traditional social housing activities, with sales exposure limited to first-tranche shared ownership and accounting for less than 10% of operating revenues.  A previous programme of development for outright sale had ceased, with the remaining market sale homes expected to be sold by March 2027.  The organisation also has an experienced team that takes a cautious approach to strategic planning, with a strong focus on maintaining financial resilience.  Stock quality was assessed as reasonably strong, with 85% of homes at EPC C or above and a goal to reach 100% of homes at this level by 2028.  A backlog of repairs had resulted in elevated maintenance costs in 2025/26 and this was expected to continue in the current financial year, moderating thereafter.  A programme of disposals of uneconomic properties will support asset quality and reduce debt.  The current strong levels of liquidity are expected to be maintained with satisfactory access to exterbal funding.