Chair’s introduction

Charles Alexander

This is my first annual review since I became Chair of the Board at VIVID in July 2021. It has been a real pleasure getting to know the people that make this the dynamic organisation it is. Naturally housing associations have a strong social purpose, but what is clear is the enthusiasm and determination from everyone at VIVID, as well as our partners, to do more and really make a difference in our communities. That drive is evidenced by the results VIVID achieves year on year.

I joined the Board at a time when the sector was navigating some extraordinarily challenging forces. All when an increase in the supply of affordable, safe and secure homes is as urgent as ever.

The impact of the coronavirus pandemic, and the recent sharp rise in the cost of living, have created a housing affordability crisis, causing serious financial difficulty for our residents.

This is clear through the increased reliance on support measures such as food banks and benefits. The Trussell Trust’s report in May 2022 revealed the number of people using food banks nationally has increased by 81% compared to 5 years ago, and in just one year the supply of emergency food parcels to people in crisis has risen by 14%. At VIVID we’ve seen the number of customers needing to claim Universal Credit jump from 4,000 at the start of the pandemic to over 9,000 more recently. This trend continues and is likely to worsen with the economic impact of the war in Ukraine, soaring energy prices, and high inflation rates.

Residents of housing associations are among members of the population most impacted by these trends. The sector has a big role to play in helping to fill the gap in affordable housing and to support the wellbeing of its customers and communities.

At VIVID we’ve continued to provide for our customers through our clear determination to build more homes at pace for the people who need them, and the launch of VIVID Plus to target support to customers and communities where it’s needed the most.

We can’t however ignore the fact that for us, like the rest of the sector, it’s been a challenging year. The continuation of pandemic restrictions and isolation rules meant widespread staff shortages, supply chain disruptions, shortages of materials and delays in transport – all of which impact operational ability. Building safety regulations, the social housing white paper, and the Housing Ombudsman Spotlight report on housing quality, specifically damp and mould, have all contributed to the sector’s challenges.

The national retrofit strategy to make existing homes more energy efficient is a prominent priority for us to address now and for the foreseeable future. Housing associations must invest heavily to ensure homes meet an EPC rating of C or above by 2030. While this will be an important step towards the country’s net zero carbon 2050 target and the improvement will help reduce energy costs for our customers, it will create a massive investment requirement for the sector – estimated at approximately £104bn.

Despite operating in a turbulent environment we have been able to deal with and plan for these challenges whilst still fulfilling the promises we have made. This is thanks to our focus, financial strength and fundamental sense of purpose. Our track record shows how housing associations should be viewed as critical allies for government and others to help society to prosper.

I’m looking forward to continuing working with everyone at VIVID to make sure we’re constantly building upon our achievements as well as finding ways to improve so we can truly deliver the best results for our communities.