Decision

Paragon Asra Housing Limited (4849) - Regulatory Judgement: 24 September 2025

Updated 24 September 2025

Applies to England

Our Judgement

	Grade/Judgement	Change	Date of assessment
Consumer	C2 Our judgement is that there are some weaknesses in the landlord delivering the outcomes of the consumer standards and improvement is needed.	First grading	September 2025
Governance	G1 Our judgement is that the landlord meets our governance requirements.	Assessed and unchanged	September 2025
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	September 2025

Reason for publication

We are publishing a regulatory judgement for Paragon Asra Housing Limited (PA Housing) following an inspection completed in September 2025.

This regulatory judgement confirms a consumer grade of C2, a governance grade of G1 and a financial viability grade of V2.

Prior to this regulatory judgement, the governance and financial viability grades for PA Housing were last updated in January 2025 following a stability check which confirmed grades of G1 and V2. This is the first time we have issued a consumer grade in relation to this landlord.

Summary of the decision

Based on the evidence and assurance gained during the inspection we have concluded that there are some weaknesses in PA Housing delivering the outcomes of the consumer standards and improvement is needed, specifically in relation to the Safety and Quality Standard, Transparency, Influence and Accountability Standard, and Neighbourhood and Community Standard. Based on this assessment, we have concluded a C2 grade for PA Housing.

Our judgement is that PA Housing meets our governance requirements. It has provided evidence to demonstrate the effectiveness of its governance arrangements, and that it continues to effectively manage the risks of its activities, allowing it to deliver its strategic and charitable objectives. Based on this assessment, we have concluded a G1 grade for PA Housing.

Our judgement is that PA Housing meets our financial viability requirements. It has sufficient liquidity and continues to forecast covenant compliance with reasonable headroom. However, PA Housing plans to continue its programme of investment in its current homes, as well as developing new homes, which means it has reduced capacity to respond to adverse events. Based on this assessment, we have concluded a V2 grade for PA Housing.

How we reached our judgement

We carried out an inspection of PA Housing to assess how well it is delivering the outcomes of the consumer standards and meeting our governance and financial viability requirements, as part of our planned regulatory inspection programme. During the inspection, we considered all four of the consumer standards: Neighbourhood and Community Standard, Safety and Quality Standard, Tenancy Standard, and the Transparency, Influence and Accountability Standard.

During the inspection we observed a board meeting, the Resident Assembly, and a resident service improvement panel. We spoke with tenants, held meetings with PA Housing, including its non-executive directors, interviewed staff, and reviewed a wide range of documents provided by the landlord.

Our regulatory judgement is based on a review of all the relevant information we obtained during the inspection as well as analysis of information supplied by PA Housing in its regulatory returns and other regulatory engagement activity.

Summary of findings 

Consumer – C2 – September 2025 

During the inspection, PA Housing provided evidence-based assurance that it has appropriate systems in place to ensure the health and safety of tenants in their homes and associated communal areas.

In relation to the Safety and Quality Standard, we saw evidence that PA Housing has a good understanding of its compliance position with respect to landlord health and safety requirements, and its performance information demonstrated a good level of compliance with its legal obligations. Where required, mitigation plans are in place, and PA Housing demonstrated how it uses lessons learned exercises to improve its processes and assurance.

We saw evidence that PA Housing keeps an accurate and up-to-date record of the condition of its homes, through physical stock condition surveys at an individual property level which are periodically subject to external validation. PA Housing’s stock condition data is used alongside other sources to inform its understanding of the quality and safety of tenants’ homes. This information is used to make decisions on the planning of future investments to maintain and improve its homes.

PA Housing has an effective, efficient and timely repairs, maintenance and planned improvements service, however improvements are needed to address weaknesses that had been identified prior to our inspection. PA Housing has proactively identified and addressed the causes of these weaknesses, and the performance of the repairs service is showing improvement. PA Housing needs to demonstrate that this can be sustained and resolve the backlog of planned maintenance works. PA Housing has also improved its arrangements around damp, mould and condensation, however further evidence is required to demonstrate that these have led to positive outcomes for tenants.

We gained assurance that PA Housing takes account of the needs of its tenants and that vulnerabilities are considered in the delivery of its repairs, maintenance and planned improvements service.

In relation to the Transparency, Influence and Accountability Standard, we saw evidence that PA Housing treats tenants with fairness and respect, with action taken to deliver fair and equitable outcomes for tenants. PA Housing collects and utilises the information it holds on the diverse needs of tenants to inform its service delivery and decision making, however it needs to improve the level of data held about residents and use this to further shape service delivery and outcomes.

PA Housing had identified weaknesses in its historic complaints performance, and as a result has changed its approach to complaint handing. Through the inspection we were assured that tenants have a variety of methods to make a complaint, which are clearly communicated, and these are used to help improve services. PA Housing involves engaged tenants in reviewing complaints performance and has sought to build relationships with wider stakeholders to facilitate effective complaint resolution. Whilst we have assurance that PA Housing is meeting some aspects of the Transparency, Influence and Accountability Standard, it needs to ensure its complaint handling arrangements show evidence of improved outcomes for its tenants.

We gained assurance that PA Housing provides a reasonable range of opportunities for tenants to influence and scrutinise its performance. We saw evidence that it has arrangements in place to seek the views of tenants and enables them to provide scrutiny. PA Housing’s board evidenced how it engages with this information, and we saw evidence of how improvements are communicated back to tenants.

In relation to the Neighbourhood and Community Standard, we saw evidence that PA Housing works in partnership with appropriate organisations to deter and tackle anti-social behaviour (ASB) and hate incidents in the neighbourhoods where it provides social housing. It has demonstrated a commitment to the continuous gathering of, and learning from, feedback to improve outcomes in this area. The landlord has recently changed its arrangements concerning ASB and further evidence is needed that required outcomes from this are being delivered.

In relation to the Tenancy Standard we saw evidence that PA Housing allocates its homes in a fair and transparent way. It has processes in place to support tenancy sustainability and has controls to ensure it is delivering the required outcomes.

Governance – G1 – September 2025

Based on evidence obtained from the inspection we gained assurance that PA Housing’s governance arrangements enable it to effectively manage its risks and adequately control the organisation, allowing it to deliver its strategic objectives.

PA Housing has a clear corporate strategy and business plan that focuses on tenants and their homes. These are regularly reviewed by its board, tenants and where appropriate by relevant third parties. Arrangements for reporting on and scrutinising strategic delivery, oversight of financial risks, and building safety are in place. PA Housing provided evidence that it seeks assurance that its services deliver value for money, including through structured service reviews.

We gained assurance that PA Housing has established clear roles, responsibilities and accountabilities within its leadership and governance structure. We saw evidence that the relationship between the board and committees is working in line with delegations. Board members’ skills, experience and knowledge are aligned to the activities of the organisation and there is a structured approach to developing and appraising skills and succession planning. The effectiveness of its governance has been reviewed by an independent third party, and PA Housing reviews compliance with its code of governance on an annual basis.

PA Housing provided appropriate assurance that its governance arrangements provide oversight and control of financial and operational business planning and decision making. Its board has a clear understanding of the challenges and risks facing the organisation and the wider sector. An appropriate risk management and control framework that is aligned with the activities of the organisation and its strategic risks is in place.

PA Housing’s board regularly seeks and gains assurance across a range of risk areas. We saw evidence that the board challenges the quality of assurance and actively seeks assurance that it is performing in line with its risk appetite, and demonstrates a robust approach to stress testing that is aligned with its strategic risks. We also saw evidence of board ownership of stress testing, mitigation strategies and wider governance over risks, with reporting providing sufficient detail for the board to ensure effective oversight.

Viability – V2 – September 2025

Based on evidence gained through the inspection, we have concluded that PA Housing’s financial plans are appropriately aligned with and support its strategic objectives. PA Housing has demonstrated that its business plan is adequately funded and is forecast to remain compliant with its financial covenants.

PA Housing has financial capacity to manage a reasonable range of adverse scenarios. Its recent financial performance indicates that it has delivered a sustainable financial position through a period of economic uncertainty. However, in the short term, it continues to make significant investment in its current homes, and is developing new homes, which means close management of its financial position is required to ensure its financial plans continue to be sustainable.

Background to the judgement

About the landlord

PA Housing owns and manages 22,000 homes across London, Surrey and the Midlands. At 31 March 2025, the unaudited accounts show group turnover for the year as £224.1m and that it employed 660 full-time equivalent staff.

Over the next three years PA Housing plans to develop 1,500 new homes.

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 new 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

Further information

• Regulating the standards

• Regulatory standards for landlords