Clarion’s revenue falls in latest quarterly update

Clarion’s housing completions have fallen 21% year-on-year as the firm said it would adopt a “cautious” approach to building new homes.

The housing association giant, in a quarterly update last week, revealed it completed 1,251 homes in the nine months to 31 December, down from the 1,586 built in the same period the previous year. The group invested £344m in new homes, a 30% reduction year-on-year.

Clarion Redbridge Homebase scheme 1

Source: Clarion/Hadley Property Group/Stockwool

Clarion is building more than 500 homes at a former Homebase DIY store in Redbridge, east London

It said: “Due to challenging new build market conditions, which include materials shortages and pricing challenges, the group maintains a cautious approach to investment in new homes.”

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The housing association also posted a drop in turnover from £783m to £758m and a cut in operating surplus before one-off items from £249m to £234m. It said this was due to cost inflation, increased spend on repairs and maintenance and provisions against rent arrears following a cyber-attack last June.

Its revenue from outright market and shared ownership sales also fell from £222m to £172m.