Helen Shaw - Blog - Systemically Important Forum - 3 June 2025
Helen Shaw, our Director of Regulation, welcomed everyone to the first of two gatherings this year, of the Systemically Important landlord group. We refer to a small number of Registered Social Landlords (RSLs) as Systemically Important (SI) because of their stock size, turnover, or level of debt, or because of their significance within their area of operation.
The meeting started with a discussion on how we can engage with stakeholders and address any concerns about this. The Group discussed how we can build on relationships with RSLs and whether there was anything we could do more/less of?
Generally, the Group agreed that our relationship with RSLs was positive and the Group welcomed opportunities such as the SI forum. The Group also highlighted that it felt that the operational engagement with Regulation Managers was effective and the group discussed how this can be built on especially with governing body members.
The Group noted that we are working with SHARE to arrange a Meet the Regulator session. The Group also made suggestions to increase personal interaction with Regulation teams including annual visits to RSLs, increased attendance at forums, such as this, by Regulation Managers or other opportunities for governing body members to meet staff from the Regulator.
The Group discussed communication around the publication of engagement plans including the timescales for this and the opportunity to discuss the reasons for engagement ahead of publication.
We gave a presentation on the outcomes of the Risk Assessment and a look ahead to priorities for 25/26. Finance remained a strong focus and we continue to engage with more RSLs than ever before. Most RSLs have been able to source funding when needed but financial headroom has reduced. RSLs were feeling the strain of long-term structural issues, the financial climate and other factors such as rent restraints.
The Group then focussed on current and emerging risks. After the recent high-profile attacks, it was agreed that cyber security continued to be an increasing risk for RSLs. The Group also highlighted the cost of insurance as something that was impacting RSLs with premiums continuing to rise significantly. RSLs were also finding increasing exclusions on policies, such as some providers would not cover future personal injury claims as a consequence of damp and mould. Some members of the Group spoke about how landlords are considering different ways of insuring their properties as premiums increased.
There was also discussion from some members about the external audit market with some Group members experiencing challenges in attracting tender submissions from external auditors, and that quality was an important consideration for RSLs.
The Group also raised the volatile landscape on matters such as policy expectation which impacted on planning and having to make investment decisions on unproven technology to achieve net zero. This tied in with feelings from the members around challenges around development, such as mixed tenure and a skills shortage that was leading to concerns about future capacity. The Group suggested that a more strategic approach between government and Further Education was needed to address the shortage of technical skills.
The Group raised some concerns around local authorities’ decisions to cut core services that meant RSLs having to pick up some of these services as part of their wider role leaving them with another financial burden to be picked up by their tenants rent.
The Group then discussed the financial capacity of the sector and its capability to respond to any unforeseen/unplanned issues. This included consideration of the difficulties faced by RSLs when exploring the possibility of stepping in as rescue partners, if required.
The Group were keen to recognise that whilst there was talk about facing a lot of challenges, the sector was still strong and is a positive force for good. The Group noted that many RSLs have been around for 40 and 50 years and they contribute a lot to local economies and are invaluable to their communities. And there was scope to share good practice e.g. around asset management to ensure that continues.
The Group agreed to meet again in October 2025.