Why we are engaging with Weslo
We are engaging with Weslo about its plans to seek deregistration following its transfer of engagements to Link Group Ltd.
COVID-19 has significantly impacted the services provided by social landlords in 2020 and will continue to influence how services are provided in 2021. We will continue to monitor, assess and report upon how each landlord is responding and we will keep our regulatory engagement under review so that we can continue to respond to the challenges of COVID-19.
As a result of a strategic review of its options, Weslo decided to pursue a partnership with another Registered Social Landlord (RSL) and in August 2020 it identified its preferred partner as Link. Weslo and Link prepared a business case for the transfer and consulted Weslo’s tenants on this. Weslo’s tenants supported the proposal in an independent tenant ballot with 63.4% of tenants voting and 96.7% of votes being in support of the transfer.
The transfer was completed on 1 June 2021. Weslo has now decided that as a result of the transfer of engagements it will seek deregistration as a social landlord. The members of the Weslo Board must consider the final financial statements for Weslo and its subsidiary Weslo Initiatives Ltd and complete all remaining required activity. This includes removal from the Register of Social Landlords and removal from all other statutory registers including those held by the Office of the Scottish Charity Register and the Financial Conduct Authority. Link will continue to provide support to Weslo during this period.
What Weslo must do
- engage with us as required about its removal from the Register;
- progress and provide us with updates on the completion of its final financial statements and submit them to us when available; and
- confirm that it meets the de-registration requirements as set out in the Housing (Scotland) Act 2010.
What we will do
- continue to engage with Weslo about its removal from the Register; and
- update our published engagement plan in light of any material change to our planned engagement with Weslo.
Weslo must provide us with the following annual regulatory returns and alert us to notifiable events as appropriate:
- audited financial statements and external auditor’s management letter; and
- final loan portfolio return.
You can read the previous engagement plan for this landlord here.