Salvation Army Housing Association (LH2429) - Regulatory Judgement: 26 November 2025
Updated 26 November 2025
Applies to England
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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. |
Based on previous assessment | December 2024 |
| Governance | G1 Our judgement is that the landlord meets our governance requirements. |
Assessed and unchanged | November 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 | November 2025 |
Reason for publication
We are publishing a regulatory judgement for Salvation Army Housing Association (SAHA) following a stability check completed in November 2025.
This regulatory judgement confirms a governance grade of G1 and a financial viability grade of V2. SAHA has a consumer grade of C2 from a planned inspection completed in December 2024.
Summary of the decision
Based on the relevant information and evidence we reviewed in carrying out the stability check, our judgement is that SAHA meets our 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. We have therefore concluded the landlord’s grade is unchanged and issue a V2 grade for SAHA.
From the stability check, there is no evidence to indicate a change in governance grade is required. SAHA’s governance grade remains G1.
This regulatory judgement is based on a stability check which does not include a reassessment of SAHA’s delivery of the outcomes of our consumer standards.
Prior to this regulatory judgement, the landlord’s most recent consumer, governance and viability grades were C2, G1 and V2, which were issued in December 2024 following an inspection.
During the inspection, we considered all four of the consumer standards: the Neighbourhood and Community Standard, the Safety and Quality Standard, the Tenancy Standard, and the Transparency, Influence and Accountability Standard.
During the inspection we observed a board meeting, attended a tenant scrutiny panel, spoke with tenants, held meetings with SAHA and its non-executive directors, and reviewed a wide range of documents provided by SAHA.
How we reached our judgement
We carried out a stability check of SAHA as part of our annual stability check programme.
Our judgement about how well SAHA is delivering the viability outcomes of our Governance and Financial Viability Standard is based on a review of a range of documents provided by SAHA, as well as analysis of information supplied by SAHA in its regulatory returns.
In confirming SAHA’s governance grade as part of the stability check, our work was limited to verifying that the information contained in SAHA’s regulatory returns did not appear inconsistent with its existing published governance grade.
Our stability checks do not assess a landlord’s delivery of the outcomes of our consumer standards.
Summary of findings
Consumer – C2 - December 2024
Below are the findings of our most recent regulatory judgement about SAHA’s delivery of the outcomes of our consumer standards, which assessed SAHA’s consumer grade as C2. The regulatory judgement was issued in December 2024 following a programmed inspection.
During the inspection SAHA provided evidence-based assurance that it has appropriate systems in place to ensure the health and safety of its tenants in their homes and associated areas. SAHA has a good understanding of its landlord health and safety requirements, with external assurance obtained on its compliance processes and the accuracy of its data.
We found that fire safety risks are understood, and the highest priority risks addressed quickly. However, SAHA does have a backlog of medium priority fire remedial actions and while we saw evidence that this backlog has been reducing steadily, a material number remain outstanding.
There is evidence that SAHA has a reasonable record of the condition of its homes, however there has been a delay in delivering planned stock condition surveys which is now being addressed through the use of external surveyors. As a result the board lacks assurance that all homes have been well maintained and continue to meet the Decent Homes Standard.
We found evidence of some weakness in the provision of the repairs and maintenance service by SAHA. Performance information, in combination with feedback and complaints from tenants, demonstrates a need for it to improve the service. We have assurance that tenants have been involved in scrutiny of the service and we saw evidence of improvement in the out of hours emergency service as a result of SAHA responding to tenants’ feedback. SAHA has further plans for improvement including a transition to new contractors, and needs to ensure that these changes are delivered so that there are improved outcomes for tenants.
Our inspection found evidence that SAHA’s approach to lettings is transparent and that it has set out clearly how properties are allocated. We saw evidence of SAHA’s commitment to tenancy sustainment through a variety of ways including financial support, employment/training support, debt advice, and several support funds.
We gained assurance that SAHA works with tenants and with relevant organisations and deals effectively with anti-social behaviour and hate incidents.
We found tenant engagement to be well structured and supported. SAHA provides opportunities for tenants to scrutinise and influence and we saw evidence of recommendations from involved tenants being acted on and outcomes improved. SAHA recognises it needs to collect more information about the diverse needs of its tenants, particularly in general needs housing, and is approaching this through several initiatives. Strengthening this area will enable it to better evidence that its services are accessible, and it delivers fair and equitable outcomes for tenants.
We continue to actively engage with SAHA to monitor its progress in improving its delivery of the outcomes of our consumer standards.
Governance – G1 - November 2025
From the stability check, there is no evidence to indicate that a change in governance grade is required.
Prior to this regulatory judgement, we issued a regulatory judgement in December 2024 following a programmed inspection of SAHA. Below are the findings in that judgement about SAHA’s delivery of our governance requirements.
Based on the evidence gained from the inspection there is assurance that SAHA’s governance arrangements enable it to effectively manage its risks and adequately control the organisation, allowing it to deliver its objectives. There have been changes to SAHA’s leadership, and governance has continued to improve since it was upgraded from G3 to G2 in May 2023. It has engaged positively with us during this time.
The relationship between SAHA, its parent The Salvation Army Trustee Company Limited (SATCo) and the broader Salvation Army group was an area of focus in the inspection. We gained assurance that SAHA’s relationship with SATCo has been strengthened and enables SAHA to continue to operate with autonomy, setting its own strategy aligned to its organisational purpose. We have assurance that SAHA’s governance arrangements enable it to effectively manage its risks and adequately control the organisation, allowing it to deliver its objectives.
Board member skills, experience and knowledge are aligned with the activities of the organisation and there is a structured approach to reviewing board effectiveness, appraisal and development of members skills and succession planning supported by regular external review, most recently in early 2024.
SAHA has a risk management and control framework that aligns to its strategic risks. We have assurance of strategic oversight and that key financial risks, including lease exposures, are being managed effectively. SAHA’s approach to stress testing and mitigation strategies has improved, however it will need to ensure there is further development so that it remains appropriate.
The board actively seeks and gains an appropriate level of assurance across a range of areas. The board and executive have a good awareness of the remaining work to sustain improvements in governance, and in relation to asset management, repairs and tenant information. Realistic plans are in place to continue those improvements that should positively impact on complaints and tenant satisfaction.
Overall, we consider that SAHA has provided appropriate assurance that it has sufficiently addressed the governance weaknesses we previously identified. Our judgement is that the landlord meets our governance requirements
Viability – V2 - November 2025
Based on evidence gained from the stability check, we have assurance that SAHA meets the viability requirements of the Governance and Financial Viability Standard.
SAHA has an adequately funded business plan, sufficient security in place to support its plans, and is forecast to continue to meet its financial covenants.
A significant proportion of housing provided by SAHA is supported housing which is relatively low-margin, but it has a history of achieving forecasted performance. Risk of accounting adjustments from some leases remains which is reflected in our viability grade.
SAHA is working to improve its understanding of its stock condition and its future maintenance and investment spend requirements, alongside plans to develop 248 units of additional housing stock by 2030. While this presents risks, SAHA demonstrates the financial capacity to deal with a reasonable range of adverse scenarios.
Background to the judgement
About the landlord
According to the 2025 statistical data return SAHA owns 3,391 homes across England. These include 1,774 homes for supported housing, 918 general needs homes, 291 homes for older people and 50 care home spaces.
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.