DETROIT: Moody’s says housing associations/social housing providers could struggle to maintain their current financial performance as a result of various government policies and has switched to a negative outlook for the sector.
The credit rating agency’s ‘2015 Outlook Update’ is the latest unwelcome news for a sector struggling against a barrage of hammer blows, including the annual rent reviews, new legislation and ongoing welfare reforms.
“The cumulative impacts of recent changes in government policy have created a more difficult operating environment,” said Moody’s report author Roshana Arasaratnam. “The sector’s overall credit profile could deteriorate if housing providers are unable to maintain their current financial projections.”…