Social housing provider plans huge investment in existing housing stock
North Lincolnshire’s largest social housing provider is planning a multimillion pound investment in its existing housing stock.
Ongo Homes is increasing the level of funding for improvements to its homes, including to decarbonise houses, to £45.6m to 2026. This will work out at an average of £11.4m each year, compared to £7.3m each year between 2016 and 2022.
As a result, significantly more homes will have work done than in the previous funding cycle. This includes 2,000 new kitchens, compared to 793 over the previous five years. There will also be 490 new bathrooms and over 3,100 boilers installed.
The main aim of these plans is to provide good quality homes that are safe, secure and fit for the future,” said Peter Stones, Ongo’s director of property. “Of course, we must adhere to legislation and regulatory standards, but it’s about much more than that. We want our tenants to feel proud of where they live and assured that they will see continued investment in their home.”
As well as thanking tenants for their feedback to shape works, he added that a key part of the investment was to continue net zero plans. This included bringing all homes to an energy efficiency EPC rating of C or above by 2030.
In February, it completed a £1.8m carbon neutral development in Scunthorpe. Air source heat pumps, photovoltaic roofs, electric vehicle charging points and “highly efficient insulation” were all part of the new build.
Ongo was formed in 2007 to take over North Lincolnshire Council housing stock. It employs over 200 full-time equivalent staff and reported a turnover of £50.6m for the year ending March 2022.
Four years ago, the government watchdog Regulator of Social Housing rated Ongo as “non-compliant” in its governance due to the management of a pension settlement. It was rated as compliant again in November 2020 and last August was given the highest possible governance grade.
Ongo Homes has 10,096 social housing homes in total across North Lincolnshire, Doncaster, greater Lincolnshire and Bassetlaw, and plans to develop 225 homes a year for the next ten years. In total, £165m is to be invested in its existing housing over the next decade.
In 2022, it had 9,936, or 85 per cent, of North Lincolnshire’s total social housing stock. The next largest social stock provider in the local authority was Guinness Partnerships Ltd with 445 homes, or 3.8 per cent.
As of March 31, 2022, the average general needs social housing rent in North Lincolnshire minus service charges was £81.61 a week. Affordable rent, where it must be 80 per cent or lower of the market rate, worked out at £102.51 a week, including service charges.