Torus62 Limited (5065) - Regulatory Judgement: 14 May 2025
Updated 14 May 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. |
First grading | May 2025 |
| Governance | G1 Our judgement is that the landlord meets our governance requirements. |
Assessed and unchanged | May 2025 |
| Viability | V1 Our judgement is that the landlord meets our viability requirements and has the financial capacity to deal with a wide range of adverse scenarios. |
Assessed and unchanged | May 2025 |
Reason for publication
We are publishing a regulatory judgement for Torus62 Limited (Torus) following an inspection completed in May 2025.
This regulatory judgement confirms a consumer grading of C2, a governance grading of G1 and a financial viability grading of V1.
Prior to this regulatory judgement, the governance and financial viability gradings for Torus were last updated in December 2023 following a stability check, which confirmed grades of G1 and V1. This is the first time we have issued a consumer grade in relation to this landlord.
Summary of the decision
From the evidence and assurance gained during the inspection, our judgement is that there are some weaknesses in Torus’ delivery of the outcomes of the consumer standards, and improvement is needed specifically in relation to the outcomes in our Safety and Quality Standard. Based on this assessment, we have concluded a C2 grade for Torus.
Our judgement is that Torus meets our governance requirements. Torus 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 Torus.
Our judgement is that Torus meets our financial viability requirements and has the financial capacity to deal with a wide range of adverse scenarios. Torus has provided appropriate assurance that it has access to sufficient liquidity and adequate funding in place. Based on this assessment, we have concluded a V1 grade for Torus.
How we reached our judgement
We carried out an inspection of Torus 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 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 our inspection we observed a board meeting, a landlord committee, and a tenant scrutiny panel, spoke to tenants, held meetings with Torus including with its non-executive directors, and reviewed a wide range of documents provided by Torus.
Our regulatory judgement is based on a review of all of the relevant information we obtained during the inspection as well as analysis of information supplied by Torus through its regulatory returns and other regulatory engagement activity.
Summary of findings
Consumer – C2 – May 2025
During the inspection, Torus provided evidence-based assurance that it understands the condition of its homes and that this informs its provision of good quality, well maintained and safe homes for tenants. This includes ensuring its homes meet the Decent Homes Standard.
Torus provided evidence-based assurance that it has appropriate systems and processes for ensuring the health and safety of its tenants in their homes and communal areas. However, during the inspection we identified some weaknesses in Torus’ oversight of health and safety compliance and noted that Torus had plans for further external assurance in this area.
In relation to the provision of an effective, efficient and timely repairs and maintenance service, there is evidence that Torus has been driving improvements over the past two years, however the inspection identified weaknesses in how Torus evidences that the required outcomes are being delivered for tenants. In particular there is more work to do to demonstrate that its approach and oversight are effective and that performance is underpinned by robust data.
Recent work by Torus to improve its complaint handling service has resulted in improved performance. Alongside an ongoing focus on quality and learning from complaints, we saw evidence that Torus addresses complaints fairly, effectively, and promptly.
The Neighbourhood and Community Standard states that landlords must work in partnership with appropriate local authority departments, the police and other relevant organisations to deter and tackle anti-social behaviour (ASB) and hate incidents in the neighbourhoods where they provide social housing. We saw evidence that Torus is working in partnership with appropriate partners to deter and tackle ASB and hate incidents in the neighbourhoods where it provides homes.
Torus’ allocations policy sets out its approach to ensuring all properties are let in a fair and transparent way. We saw evidence of Torus ensuring tenants are supported in sustaining their tenancies, including specialist officers and a support fund. Torus has a risk-based approach to tenancy audits, focusing on vulnerable tenants and potential tenancy fraud.
Torus demonstrated that it is delivering the required outcomes of the Transparency, Influence and Accountability Standard. Tenants have a wide range of opportunities to influence and scrutinise strategies, policies and services and we saw evidence that feedback from tenants has directly and positively impacted service delivery. Tenants can access services through a range of routes, and at times that suit them, and data held on customer vulnerabilities allows services to be tailored accordingly.
We saw evidence that Torus takes an active approach to considering tenants’ diverse needs in the design and delivery of services. Torus demonstrated that the tenant information it holds is used to support the delivery of fair and equitable services. Torus also provides tenants with accessible information about its performance and services.
Governance – G1 – May 2025
Based on evidence gained from the inspection we have assurance that Torus’ governance arrangements enable it to effectively manage its risks and adequately control the organisation, allowing it to continue to deliver its objectives.
Torus provided appropriate assurance that it has a risk management and control framework that aligns to its strategic risks. There is evidence of risks being managed effectively in practice. There is also evidence of board discussion and challenge on Torus’ performance against its strategic objectives, and board oversight of controls and assurance on its strategic risks.
Torus provided appropriate assurance that it has established and maintains clear roles, responsibilities and accountabilities within its leadership and governance structure. The relationship between its board and committees is working in line with its delegations to strengthen assurance is key areas of risk.
We saw evidence that the board is effectively managing and scrutinising its financial position, with appropriate oversight and approval of financial plans, strategies and policies. Board ownership of stress testing, mitigation strategies and wider governance over risks through regular and structured review of golden rules is evident.
Continuing governance improvement is evidenced through annual effectiveness reviews and in-depth periodic external governance reviews. The most recent external review took place in May 2024 and recommendations have informed an action plan which is being monitored by the Remuneration and Nominations Committee.
Board members’ skills and experience align to Torus’ activities and risk profile, with regular effectiveness reviews. Torus’ board actively seeks external assurance across a range of areas and there is evidence that this assurance has been used to make continuous improvement to its landlord services. The internal audit programme is aligned to its key risks and operations, providing independent assurance on the effectiveness of its risk management, governance and internal controls.
Viability – V1 – May 2025
Based on evidence gained through the inspection, we have concluded that there is appropriate assurance that Torus’ financial plans are consistent with, and support, its financial strategy. Torus has evidenced that it has an adequately funded business plan, sufficient security in place to support its financial plans, and forecasts that it will continue to meet its covenants under a wide range of adverse scenarios.
We have appropriate assurance that Torus’ board has effective oversight of loan covenant compliance and forecasts to maintain good levels of headroom. Torus forecasts good levels of interest cover whilst continuing to deliver its development programme and invest in existing stock. Torus’ stress testing demonstrates that financial capacity is built into its business plan.
Background to the judgement
About the landlord
Formed through the merger of Helena Partnership and Golden Gates Housing in 2015, and a subsequent merger with Liverpool Mutual Homes in 2019, Torus is an exempt charity registered under the Co-operative and Community Benefit Societies Act 2014. Torus is the only RSH registered entity in its group. It is a non-profit registered provider of social housing. Torus has five unregistered subsidiaries, two of which are dormant.
Torus operates across 11 local authority areas in Liverpool, St Helens and Warrington. It owns and manages around 40,000 social housing homes. The majority are general needs homes.
The group employs 1650 full-time equivalent staff. Its turnover for the year ended 31 March 2025 was £274.6m. Torus plans to develop around 7,800 homes by 2035/36.
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.