The Shareholder Committee met on Tuesday, 6 October 2026, and noted the contents of an update report on the More Homes Waltham Forest joint venture housing scheme. This joint venture aims to reduce homelessness by providing long-term homes for rent to eligible households, thereby reducing the council's reliance on temporary accommodation.

More Homes Waltham Forest Joint Venture Housing Scheme Update Report

The Shareholder Committee noted the contents of the update report concerning the More Homes Waltham Forest joint venture housing scheme. This initiative is a partnership between Waltham Forest Council and Mears Group PLC, established in February 2018 to provide homes for rent and reduce homelessness. The joint venture has acquired 330 homes, funded by a bond issued to the BAE Systems Pension Fund, which are then let to homeless households nominated by the council. Mears' subsidiary, Plexus, manages the properties, including repairs and maintenance. The contractual term of the joint venture is 40 years, extending to August 2058.

The report highlighted the joint venture's strong performance in the 2025/26 financial year, with a total of £3,375,367 in rent collected, achieving a 99% collection rate. This figure exceeded the anticipated amount by approximately £104,000. For the 2026/27 financial year, the business plan estimates total rent collection at £3,331,233, a slight decrease attributed to factoring in the impact of cost-of-living pressures and frozen Local Housing Allowance rates on rent collection. Despite this, the joint venture is expected to continue servicing its debt and remain compliant with its annual debt service cover ratio requirements.

The council contributes £25 per week for each occupied joint venture dwelling and covers rent during void periods. In 2025/26, the net cost avoided or saving to the council was approximately £4.152 million, representing a 4.2% increase from the previous year. This saving is attributed to the rising costs of temporary accommodation, which averaged £267 per household per week in nightly let or private sector leased temporary accommodation during 2025/26. The report anticipates continued cost avoidance through the joint venture, dependent on changes to Local Housing Allowance caps and the net cost of temporary accommodation.

Operational performance for 2025/26 was also positive, with key performance indicators (KPIs) showing high rates of emergency repairs completed within 24 hours (over 99%) and routine repairs within 28 days (over 99%). Tenant satisfaction with the service delivered was over 88%, and rent arrears remained low, with income lost due to void properties at its lowest since the scheme's inception. These positive trends were reported to have continued into the first quarter of the 2026/27 financial year. The report noted that appendices containing financial details for 2025-26 and the 2026-27 business plan were exempt from public access due to containing information relating to the financial or business affairs of any particular person.

The report was presented as an update on an existing council policy, with no new proposals or changes recommended. Therefore, consultation was not deemed necessary. The financial implications highlighted the joint venture's success in reducing the council's temporary accommodation costs, with a projected cost avoidance of £4.152 million in 2025/26. The council also has the option to acquire the properties at the end of the 40-year term, subject to paying off any outstanding debt. No implications were identified in relation to legal, equalities and diversity, sustainability, or council infrastructure.