Why we are engaging with Milnbank
We are engaging with Milnbank about its service quality and its development plans.
We engaged with Milnbank about its approach to financial planning, asset management, compliance with regulatory guidance on notifiable events and its handling of payments and benefits issues. Whilst our inquiries were ongoing, we moved Milnbank’s regulatory status to “under review”. We have now completed our review of Milnbank’s regulatory status and Milnbank has provided us with sufficient assurance about its compliance with the Regulatory Standards. Our judgement is that Milnbank is therefore compliant with regulatory requirements and the Regulatory Standards.
We have also been engaging with Milnbank regarding its approach to consulting tenants about its rent increase. Milnbank is taking forward plans to improve its approach to rent increase consultation and we will engage with Milnbank to seek assurance that tenants are provided with clear information on future proposed rent increases.
Milnbank is considering developing new homes for social rent. If Milnbank decides to proceed with its development plans, it has confirmed it will provide us with assurance about the impact of the development on its financial position.
What Milnbank must do
- provide us with the information we require regarding how it will consult tenants about future proposed rent increases; and
- keep us informed about its development plans and provide the information we require regarding the impact on its financial position.
What we will do
- consider the information Milnbank provides regarding how it will consult tenants about its rent increase and engage as necessary; and
- consider the information Milnbank provides regarding its development plans and engage as necessary.
Milnbank 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.