Sectors

Housing Association Treasury Services

Arlingclose has assisted the public sector and near public sector entities since 2004 to manage the risks and potential opportunities arising from funding and treasury operations, establishing expertise in forecasting, modelling, risk management and structured funding since then. We have been involved in securing funding for housing associations and affordable housing companies since 2013 and are seeking to bring our expertise in treasury management advice into the sector too.

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Suite of Services

Arlingclose supports registered providers of social housing with expert advice on securing cost-effective funding. We help navigate short-term markets, private placements, bank lending, and capital markets to optimise financial strategies. Our tailored solutions ensure compliance, sustainability, and long-term affordability, enabling providers to meet their development and operational funding needs efficiently. Our particular expertise lies in arranging medium term unsecured loan facilities. Due to the flexibility of lenders, we can provide structures that are not normally available from more traditional lenders. We’ve used our local authority expertise to assist joint arrangements between local government and housing associations, which usually involve loans from the local authority. Our knowledge of the sector has been proved to speed up negotiations and secure funding in a subsidy regime compliant manner.

Arlingclose helps registered providers of social housing manage treasury risks effectively. Our expert guidance covers interest rate risk, refinancing strategies, liquidity management, and regulatory compliance. We provide tailored solutions to safeguard financial stability, ensuring resilience against market volatility while optimising funding costs and supporting long-term financial sustainability.

Arlingclose advises on around £7bn of investment balances, covering every financial instrument and strategy. Most clients are focused on liquidity management and we therefore advise on suitable liquidity instruments, strategies and treasury infrastructure. For those clients with investment horizons past the immediate-term, we advise on a variety of suitable short, medium and long-term investment options for a range of risk appetites.

Arlingclose made its reputation getting big counterparty calls right in the financial crisis and has continued protecting clients from credit events up to the present day. From financial to non-financial, rated to unrated, we analyse and monitor counterparty credit on an individual and portfolio basis, assisting staff in decision-making around the suitability and continued suitability of new and existing investments.

Whatever sector or specific interest rate, yields, spread a client is interested in, we can prepare forecasts for economic variables and rates to support investment, funding and debt management strategies.

Arlingclose has a wealth of experience in assisting organisations in delivering housing; from housing authorities making a direct provision, to joint ventures and special purpose vehicles designed to  facilitate homes at all levels of the market. Our experience that can be drawn upon by housing associations looking to deliver housing in partnership, whether that be third party investors or local authorities.   We have assisted funding joint projects, negotiating funding terms, ensuring that any local authority input meets subsidy regime requirements, liaising with the right teams, staff and/or committees, appraising business models and understanding reporting requirements, Arlingclose can provide invaluable assistance to speed up delivery of the necessary outcomes. 

Treasury Management Advice for Housing Associations

Arlingclose delivers expert, treasury management and capital financing advice tailored to the unique needs of housing associations. Our proven approach helps you build, monitor, and review a strategy that aligns with your financial circumstances and long-term goals.

  1. 01

    Long-Term Financial Strategy

    Comprehensive cash flow forecasts focused on net treasury costs and liability benchmarks. Analysis-driven debt and investment strategies addressing key questions: How much and when to borrow? On what basis, from whom, and for how long?

  2. 02

    Investment Strategy Support

    Balances liquidity needs with commercially driven revenue targets. Prioritises security and compliance, ensuring investments are robust and sustainable.

  3. 03

    Data-Driven Insights

    In-depth counterparty advice supported by a broad set of financial data beyond traditional credit ratings. Incorporates interest rate and economic forecasts tailored to the housing market.

  4. 04

    Regulatory & Compliance Expertise

    Guidance that ensures adherence to evolving regulations, accounting standards, and professional codes. Supported by a Technical Group of qualified accountants with extensive experience in regulatory compliance.

  5. 05

    Engagement & Communication

    Regular in-person interactions through regional workshops. Personalised meetings and a wealth of online resources to keep you informed of the latest market trends and opportunities.

Housing Association Funding

£25bn

in investment balances managed by our clients

£180m

of unsecured funding arranged for unrated housing associations

£450m

of local authority funding arranged for housing associations

<1000

property numbers — funding arranged for smaller associations

Flexible Structured Funding

Arlingclose facilitates flexible structured funding from our local authority treasury management clients to housing associations (registered providers/registered social landlords). We have a positive view of the housing association sector from a credit, governance and social standpoint, and have been instrumental in building this into clients' investment options. Our clients are managing around £25bn in investment balances, a portion of which is available for longer term funding opportunities.

We do not have a staid or inflexible approach and seek to match borrowers and lenders with complimentary objectives. Unlike banks or other funding providers, we can arrange novel or innovative products which works for both borrowers and lenders. This includes considerations around loan terms, rates, structure, security and credit rating.

For example, Arlingclose does not rely on external credit ratings and has arranged £180m of unsecured funding for unrated housing associations, performing our own analysis on the creditworthiness of the potential borrower before making a recommendation to our panel of lenders. We have also arranged funding for smaller housing associations with property numbers below 1,000 whose lower funding needs may dip below larger funders' radars.

Arlingclose has arranged £450m of local authority funding for housing associations. Our clients lend on an unsecured basis in a fixed term or revolving credit facility format, designed to assist housing associations meet both liquidity needs and regulatory, credit agency and other lenders' measures, while freeing up property for further long-term borrowing to fund housing needs.