Why we are engaging with River Clyde Homes
We are engaging with River Clyde Homes about its service quality, stock quality, tenant and resident safety 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 a combination of River Clyde Homes’ size, turnover and debt we consider it to be systemically important.
We engaged with River Clyde Homes about its financial management in 2025/26. River Clyde Homes has provided us with the assurance we required.
River Clyde Homes has identified reinforced autoclaved aerated concrete (RAAC) in some of its homes, and it told us it has a plan in place to manage any associated risks. We are seeking assurance that River Clyde Homes is progressing with this plan and that it also has a plan to complete any remedial work that is required.
To assess the risk to social landlords we have reviewed and compared the 2023/24 service quality performance of all social landlords to identify the weakest performing landlords. We will therefore engage with River Clyde Homes about repairs and void management.
River Clyde Homes identified in August 2025 that it does not fully comply with electrical safety requirements, which came into force in early 2022 and form part of the Scottish Housing Quality Standard. River Clyde Homes is progressing inspections to provide Electrical Installation Condition Reports in all of its tenants’ homes. River Clyde Homes has told us that it will complete this work by January 2026.
River Clyde Homes has decided to commission a review to obtain its own independent assurance over its compliance with its other tenant and resident safety obligations.
What River Clyde Homes must do
River Clyde Homes must:
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send us copies of its Board and Audit & Risk Committee minutes as they become available;
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keep us updated on how it is managing the risks associated with RAAC and its plans to complete any remedial work required;
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send us the information we require about the actions it is taking to improve its performance on repairs and void management;
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complete the outstanding electrical safety work as quickly as possible and by no later than January 2026;
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send us monthly updates on progress on achieving compliance with electrical safety requirements, by the end of each calendar month; and
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send us the final report of the independent review of its other tenant and resident safety obligations and any associated action plan.
What we will do
We will:
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review the minutes of the Board and Audit & Risk Committee meetings and liaise as necessary;
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observe River Clyde Homes’ Board;
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meet with River Clyde Homes’ senior staff to discuss its business plan and any risks to the organisation;
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review the updates River Clyde Homes provides about RAAC in its homes and engage as necessary;
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review the information that River Clyde Homes provides about its work to improve its service quality performance and engage as necessary;
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review River Clyde Homes’ progress with its plan to achieve and maintain compliance with electrical safety requirements and engage as necessary;
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review the independent report on compliance with other tenant and resident safety obligations and any associated action plan and engage as necessary; and
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update our published engagement plan in the light of any material change to our planned engagement with River Clyde Homes.
Regulatory Returns
River Clyde Homes must provide us with the following annual regulatory returns and alerts us to notifiable events as appropriate:
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Annual Assurance Statement;
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audited financial statements and external auditor’s management letter;
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loan portfolio return;
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five year financial projections; and
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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.