Two housing associations have started a waste recycling company in a bid to reduce their dependence on government grants.
Liverpool-based Riverside Housing Association and Plus Housing Group will launch the company, Circle, with local builder Seddons later this year.

Riverside has also set up Wave Homes, which buys timber-frame homes from a manufacturer and sells them to housing associations, in a joint move with off-site manufacturer Avebury International.

Both companies are the first of their kind to be started by registered social landlords.

Circle will recycle up to 2.86 tonnes of building site waste each week from Seddons, 10 other construction firms and four other RSLs, in a £1.5m plant that it has bought. Non-recyclable waste will go to a landfill tip.

Riverside, Plus and Seddons have together invested £260,000 in the firm, which will draw in further funds.

Half of the profits will be split between the two RSLs, the other 50% will go to Seddons.

Circle will also reduce the firms' bills for landfill tax, which is due to rise from £18 a tonne to £24 a tonne.

David Jepson, Riverside's director of regeneration, said: "There's a lot of demolition going on in the Merseyside housing market renewal pathfinder area and we saw the opportunity to make some profit so we can reduce dependence on grant. It's also a recognition of our environmental responsibilities."

Wave Homes, which will be launched later this year, has 500 orders for homes and can supply 1000. Customers include Bedfordshire Pilgrims Housing Association.

Profits from the scheme will enable Riverside to build 15 homes a year without grant. The project does not require Riverside to open a factory.

Source

Housing Today