The Chief Executive of the Tenant Services Authority (TSA) has told property professionals that ensuring the financial position of housing associations, encouraging the supply of new homes and promoting choice in affordable housing were top of the agenda for the new social housing regulator.

Speaking at the British Property Federation (BPF) conference about the impact of the recession on housing associations, Peter Marsh said: "In these unprecedented times it's important to understand that investment in affordable homes for rent is a uniquely safe asset class in the property world.


"Values are underpinned by a regulated rental stream, the government funds two in three pounds of that income through the benefit system and the demand for affordable housing exceeds supply by 50% - and that demand is growing week by week."

He said there were associations facing an uncertain future but "good governance has never mattered as much as it does now".

"The biggest threat to business plans remains the slow down in shared ownership sales. But unlike other businesses there are always plans B and C which associations can pursue - whether that's conversion to rent or looking at merging with a stronger partner.

"We, as the regulator, are keeping a forensic eye on the very small number of providers who are facing heightened risk. I can confirm we also have scenario tested plans for how we would step in if we need to. We have developed several options for intervention to ensure homes remain secure and finance is well protected. After all, that is our job and we intend to deliver.

"Events show us that a housing market built on double digit asset value growth is not one that will deliver the homes England needs at a price people can afford."

(CD/JM)