Financial Performance

Being a non-profit entity, any profits generated from our daily operations are funnelled back into developing new affordable rural homes and enhancing our existing stock.

Extra surplusses from home sales boost our ability to provide more affordable housing while meeting a variety of local needs.

Recognising the need to generate surpluses to make public subsidy go further will enable English Rural to continue to grow sustainably in the current financially challenging environment.

£1.3m

Annual Surplus

>> Surplus increased year on year to £1.3m (2022: £709k). However, operating margin (excluding sales) was broadly flat. The increased surplus was mainly driven by planned disposals and sales activity as increases from Social Housing Lettings (SHL) were reinvested in homes, services, and a degree of integration expenditure.
Following the expansion of the Group in 2022 and 2023, operating margins from SHL are expected to return to steady growth.

£4.7m

Cash Balances

>> Cash balances stand at £4.7m (2022: £2.5m)
Cash balances maintained at a level to ensure that on-going operational and development costs could be financed efficiently. Additional loans of £4.6m were drawn down to help support the £7.1m of investment in building new homes and component replacements for existing homes. The balance is funded by capital grants, sales receipts and cash generated from existing operating activities.

£29m

Loan Facilities

>> Undrawn loan facilities of £29m (2022: £13.5m) are in place to fund our projected development and investment programme over the coming years which reflects the agreement of a fully secured £32m revolving credit facility with Santander in 2022. The Group also maintains a robust portfolio of assets without outstanding loans.

I'm proud to say that English Rural stands as a well-trusted, astutely managed, and financially secure organisation. Our solid track-record is a testament to our dedication to consistently reinvest income into creating more affordable rural homes and enhancing our service to residents.

Eddie Smy, Finance Director