Why we are engaging with Calvay Housing Association Ltd (Calvay)
We are engaging with Calvay about its governance.
In September 2021 Calvay submitted a notifiable event about recruitment to the governing body which raised concerns about compliance with the Regulatory Standards of Governance and Financial Management (the Regulatory Standards).
In March 2022 Calvay submitted a further notifiable event regarding concerns that had been raised about conduct at its governing body meetings. Calvay has advised that it will commission an independent investigation into this matter.
Our engagement with Calvay about these events has raised concerns about Calvay’s compliance with the Regulatory Standards, in particular Regulatory Standard 1. We have given feedback to Calvay and are engaging with it regarding its proposals to address our concerns.
Calvay is engaging openly and constructively with us as it addresses these issues.
What Calvay must do
In order to allow us to complete our review of its regulatory status Calvay must:
- provide us with a copy of the remit for the independent investigation and provide updates as the investigation progresses;
- provide us with a copy of the investigation report; and
- provide us with its proposals to address the governance issues raised by 30 April 2022.
What we will do
To allow us to complete our review of Calvay’s regulatory status we will:
- review the remit for the independent investigation and engage with Calvay about the outcome of the investigation;
- review its proposals to address the governance issues; and
- update Calvay’s regulatory status when we have completed our inquiries.
We will also:
- liaise as necessary with Calvay regarding its progress in addressing the governance issues; and
- meet the governing body as required to discuss progress.
Calvay must provide us with the following annual regulatory returns and alert 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.