Why we are engaging with Argyll Community Housing Association Ltd (ACHA)
We are engaging with ACHA about its financial management, its site(s) for Gypsy/Travellers and because it is a systemically important landlord.
We refer to a small number of RSLs as systemically important because of their stock size, turnover or level of debt or because of their significance within their area of operation. We need to maintain a comprehensive understanding of how their business models operate, and how they manage the risks they face and the impact these may have. So we seek some additional assurance each year through our engagement plans. Given ACHA’s significance in its area of operation we consider it to be systemically important.
ACHA has told us it needs to obtain new private finance during 2025/26 to support its development plans.
All social landlords who provide Gypsy/Travellers sites must ensure their site(s) meet the Scottish Government’s Minimum Site Standards and all standards and outcomes in the Scottish Social Housing Charter. To gather further information and assurance, we will speak to all site providers during 2025/26 to discuss the management of their site(s).
During 2024/25, we reviewed and compared the satisfaction data for all Gypsy/Traveller site providers to identify the weakest performing landlords. ACHA’s satisfaction level is amongst the lowest, and we will therefore engage with ACHA about this.
What ACHA must do
ACHA must:
- send us copies of its Board and audit committee minutes as they become available;
- send us by 30 April 2025:
- an update on the borrowing requirement for 2025/26; and
- its latest projected monthly cash flows for the 12 months to 31 March 2026.
- send us the information we require in relation to the management of its Gypsy/Traveller site(s); and
- send us the information we require about the actions it is taking to improve its performance on Gypsy/Traveller satisfaction.
What we will do
We will:
- review the minutes of the Board and audit committee meetings and liaise as necessary;
- observe ACHA’s Board;
- meet with ACHA’s senior staff to discuss its business plan, the financial information and any risks to the organisation;
- meet with ACHA to discuss the management of its Gypsy/Traveller site(s);
- review the information ACHA provides about its work to improve satisfaction at its Gypsy/Traveller site(s) and engage as necessary; and
- update our published engagement plan in the light of any material change to our planned engagement with ACHA.
Regulatory Returns
ACHA must provide us with the following annual regulatory returns and alerts us to notifiable events as appropriate:
- Annual Assurance Statement;
- audited financial statements and external auditor’s management letter;
- loan portfolio return;
- five year financial projections; and
- Annual Return on the Charter.
It should also notify us of any material changes to its Annual Assurance Statement, and any tenant and resident safety matter which has been reported to or is being investigated by the Health and Safety Executive or reports from regulatory or statutory authorities or insurance providers, relating to safety concerns.