East End Homes Limited (L4434) - Regulatory Judgement : 24 June 2026
Updated 24 June 2026
Applies to England
© Crown copyright 2026
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Our Judgement
| Grade/Judgement | Change | Date of assessment | |
|---|---|---|---|
| Consumer | Not assessed yet | ||
| Governance | G2 Our judgement is that the landlord meets our governance requirements but needs to improve some aspects of its governance arrangements to support continued compliance. |
Upgrade | June 2026 |
| Viability | V2 Our judgement is that the landlord meets our viability requirements. It has the financial capacity to deal with a reasonable range of adverse scenarios but needs to manage material risks to ensure continued compliance. |
Assessed and unchanged | June 2026 |
Reason for publication
We are publishing a regulatory judgement for East End Homes Limited (East End Homes) following responsive engagement completed in June 2026 that focused on the Governance and Financial Viability Standard.
This regulatory judgement confirms a governance upgrade to G2 and financial viability grade of V2.
Prior to this regulatory judgement, the governance and financial viability grades for East End Homes were last updated in May 2023 following an In Depth Assessment and subsequent investigation to issue a governance grade of G3 and a financial viability grade of V2. We have not yet assessed East End Homes against the consumer standards.
Summary of the decision
Our judgement is that East End Homes meets our governance requirements but needs to improve some aspects of its governance arrangements to support continued compliance, specifically in relation to stress testing and mitigation planning. Based on this assessment we have concluded a G2 governance upgrade for East End Homes.
Our judgement is that East End Homes meets our financial viability requirements and has the financial capacity to deal with a reasonable range of adverse scenarios. However, it needs to manage material risks to ensure continued compliance due to low covenant headroom and the level of investment needed in its homes. Based on this assessment, we have concluded a financial viability grade of V2 for East End Homes.
How we reached our judgement
Our regulatory judgement is based on all the relevant information we obtained during our responsive engagement with East End Homes that focused on the issues highlighted in our May 2023 regulatory judgement. This responsive engagement included working closely with East End Homes to monitor its improvement plan delivery, reviewing documents provided by East End Homes, observing a board meeting, and discussions with East End Homes.
We carried out a stability check review of East End Homes as part of our annual stability check programme. We also carried out further responsive engagement that focused on East End Homes’s viability grading.
Summary of findings
Governance – G2 – June 2026
This regulatory judgement upgrades our previous assessment of East End Homes’ governance grade from G3 to G2.
In May 2023, we downgraded East End Homes’ governance grade from G1 to G3. This was the result of an In Depth Assessment and subsequent investigation which found that East End Homes’ board had not been managing its affairs with an appropriate degree of skill, diligence, independence, prudence, and foresight. East End Homes did not have a robust and prudent business planning, risk management and control framework. In addition, management information presented to board was, at times, insufficient to support effective decision making. East End Homes also had an inadequate understanding of the condition of its homes, which limited its ability to demonstrate compliance with the Decent Homes Standard and reliably inform its investment planning.
We have assessed the governance improvement work that East End Homes has carried out since 2023 to address the failings set out in the May 2023 regulatory judgement. We are satisfied that East End Homes’ governance arrangements ensure it now has an effective risk management and controls assurance framework and a more comprehensive understanding of its assets.
East End Homes has completed a programme of governance improvements, including a skills-based board recruitment and a review of board and committee responsibilities and delegations. There is now also a structured approach in place to develop and appraise the skills, experience, and knowledge of board members to support succession planning.
East End Homes has reviewed and improved its approach to risk management, revising its risk management framework and strategic risk reporting to board. East End Homes has an improved understanding of the condition of its homes and can demonstrate that it is using this information to inform its investment decisions.
While business planning and stress testing has improved, East End Homes needs to demonstrate that its revised approach is fully embedded within its wider risk and control framework. Mitigation strategies need to be fully worked through to demonstrate that they are properly quantified and identify potential impacts on stakeholders. East End Homes is addressing these weaknesses as part of its business planning for the 2026/27 financial year, and we will continue to review these actions as part of our ongoing engagement.
Viability – V2 – June 2026
Based on evidence gained from the stability check and responsive engagement, we have assurance that East End Homes meets the viability requirements of the Governance and Financial Viability Standard.
East End Homes has an adequately funded business plan and is forecast to meet its financial covenants in the latest business plan. However, it needs to continue to deliver significant investment in its homes while completing its current development programme. East End Homes’ business plan includes assumptions for improving income collection and disposal of homes through Right to Buy schemes, which if not achieved could also impact on its financial stability. This creates risks that East End Homes needs to manage, that have the potential to impact on East End Homes’ ability to respond to adverse events.
The severity of material risks faced by East End Homes means that we will continue to closely monitor its financial performance and its capacity to manage adverse scenarios on an ongoing basis. We will continue to engage with East End Homes as it delivers its financial plans and ensures it has a financially sustainable strategy going forward.
Background to the judgement
About the landlord
According to the 2025 statistical data return East End Homes owns just over 3,800 social homes in the London Borough of Tower Hamlets. East End Homes has one wholly owned subsidiary, Eric Street Development Limited.
East End Homes reported a turnover of £29.9m for the year ended 31 March 2025 and employs 110 full-time equivalent staff.
Our role and regulatory approach
We regulate for a viable, efficient, and well governed social housing sector able to deliver quality homes and services for current and future tenants.
We regulate at the landlord level to drive improvement in how landlords operate. By landlord we mean a registered provider of social housing. These can either be local authorities, or private registered providers (other organisations registered with us such as non-profit housing associations, co-operatives, or profit-making organisations).
We set standards which state outcomes that landlords must deliver. The outcomes of our standards include both the required outcomes and specific expectations we set. Where we find there are significant failures in landlords which we consider to be material to the landlord’s delivery of those outcomes, we hold them to account. Ultimately this provides protection for tenants’ homes and services and achieves better outcomes for current and future tenants. It also contributes to a sustainable sector which can attract strong investment.
We have a different role for regulating local authorities than for other landlords. This is because we have a narrower role for local authorities and the Governance and Financial Viability Standard, and Value for Money Standard do not apply. Further detail on which standards apply to different landlords can be found on our standards page.
We assess the performance of landlords through inspections and by reviewing data that landlords are required to submit to us. In Depth Assessments (IDAs) were one of our previous assessment processes, which are now replaced by our inspections programme from 1 April 2024. We also respond where there is an issue or a potential issue that may be material to a landlord’s delivery of the outcomes of our standards. We publish regulatory judgements that describe our view of landlords’ performance with our standards. We also publish grades for landlords with more than 1,000 social housing homes.
The Housing Ombudsman deals with individual complaints. When individual complaints are referred to us, we investigate if we consider that the issue may be material to a landlord’s delivery of the outcomes of our standards.
For more information about our approach to regulation, please see Regulating the Standards.