Radius Housing Association Limited Strategic report of the Board of Management for the year ended 31 Marcb 2023 Governanee Th¢ Board of Management present their strategic report and the audited financial statements for the year end 31 March 2023 of Radius Housing Association Limited (the "AssociatjOD") and its subsidiaries Radius Homes Limited and Tealstone Developments Limited (the "Group"). Corporate Plan 2022123 to 2026127 Radxus launched lis latest Corpordte Plan in 2022r23 following exten5ivc engagement with customers and key stakeholders. We reviewed our operating enviTonm¢nt together with busines5 risks and opportunities, realignlng our strategy and priorities for now and into the future. The need to be resilient. agile and creative has seldom been greater as housing associations are evolving beyond their traditional landlord roles to support tenants and communities and enable both to thrive. We developed 'golden threads, nllming tbrough our plans, connecting aspirations and outcomes to key inputs such as staff and stock developmenL asset and systems investment and tenant gngagement, ose." Radius's ose is Ytsion.- Our vision is . Values.. Our v21ues la¢E our cu5torners at the ccntre of our or an15ation". erepice..'dail . creativi .&:collabDration. PiJsi¢fvel ihfflnablè of tim&". Objects." Radiu5 was fornied for the beneflt of the community. Its objective5 are to carry on for the benefit of the community: The business of providing housing. a¢¢ommodation, assistance to help house people and associat¢d fa¢ilities and amenities for the preventions or relief of poverty or ftir those in need by reason of youth. age, ill health, disability, f]Dan¢ial hardship or other disadvantage" Any other charitable object that can be carried out by an Industrial and Provident Society, and Northern 1alld charity registered as a Housing Association by the D¢partment. Enablers.. We meet our objects by.. Developing new social and affordable housing in response to housing need. Managing social housing stock throughout Northern Ir¢land. Providing Care and housing support for vulnerable people across a wide range of complex needs. Partnering slatutory, voluntary and community organisations to 5LTslain *nanrAes in the face of rising in¢ident5 of dementia, learning disabilities, homelessness, alcohol and substance abuse and other complex needs. Engaging with our tenants, residents and Custome in th¢ provision of our services. Providing security and support to people in their homes through assistive tec1OI0gY under our Conne¢Q4 5erYices, floating support, our home ad&ptsiions (Stsying Put) and Daycare Services and Engaging in non-¢haritable business activities which help Lljnd and rther our objectives.
Radius Housing Association Limited Board of Management and advisers Board of Management Mr M Pitt FCA. MACC, Bsc Hons [Chair] Mrs L Campbell MBE BA (Hons), DIPL, PGIDg [Vice Chair) MT C Diatnond Bsc (Hons) Mr C Dohery Bsc (Hons). MSC. MRICS Mr S Dolan Bsc (Hons), PhD. IPFA {rtd) Mr R Dunne FJB BA (Hons) MA MSSC MBA Mrs M English LLB, CPLS Dr S Harper MB, Bch, BAO, DRCOG, DCH. MRCGP, MPA Mr P McGuinne5s FCCA, CTA [TreasuTerl Mr D Quinn MEng MIOD MrN Quinn FCA Bsc Msc Ms M Smith [Tenant Board Representative] Mr J Taggart MRICS RICS Mrs H Wall(er BSC, DIPL, Msc, PGDIP (Resigned 28 June 20V_) (Resigned 8 November 20>) (Resigned 28 June 2022) (Appointed 28 Jun¢ 2022) Independent Members of Radius Homes Limited Mr D Neill MRICS, DIPL PM (RCIS) rtd Independent Members of Tealstone Developments Limited Mrs M English LLB, CPLS (Appointed 28 June 2022) Mr I Lees FCA Mr D Neill MIUCS, DIPL PM (RCIS) rtd Chief Executive and Company Secretary Mr J McLean OBE B.Eng. Msc Dipm MBA CEn& MIEI Registered office 3 - 7 Redburn Square Holywood County Down BT18 9HZ Bankers Danske Bank Limited Donegall Square West Belfast BTI 6JS Solicitors Wilson Nesbitt 33 Hamilton Road Bangor BT20 4LF Independent Auditors Grant Thornton (Nl) LLP Chartered Accountants and Ststutory Allditors 12- 15 Done8all Square West Belfast BTI 6JH Registered under the Cfroperative and Community Benefit Societies Act (North¢rn IreJand} 1969- No IP169 Registered under the Housing (Nl) Order 1992 - No Rl RegÈst¢red under the Charities A¢t (NI) 2008- No NIC102575 Registered with the Fair Employment Commission No 499
Radius Housing Association Limited Strategic report of the Board of Management for the year ended 31 March 2023 (continued) Golden Threads.. Through our corporate plan we identified 4 strategic priorities or 'golden threads. relating to our customer, homes. our staff and an assured R8diu5 busin¢ss: Providing the best possible servic wlih ourparlnersfor the benefit ofour customeTS ild andmaintaipj safe & sustainable homes wirhin ihriving communilies Where our customers experien¢e the best possible service5 whether it is from a Radius employee or one of our valued deliv arttt¢rs. Building and maintsiDing all our hoftnes to the safest and gellest viable standard5 set within well- lanned & welcomin commwiities. Our people through our values, empowered by agile &nd flexible working, enabled by the lat¢st technology, stronger through training and partnership working. helplng and supporting more eo Upholding good governance trnsL anticipating risks as we remain fmancially sound while all the tim¢ looking for and adopting new and irtter methods. Customer Flrst Great Plac¢s Greal ag1lep1a¢fOr our sfaffto d¢v¢lop, innovole and ¢ollaborate Empowered People Belng compllant. re5ilienl, vigilant omdinnovaiive Assured Business Governance Radius Board of Management.. Thc T¢sponsibTlity for the general policy, managcment and operdtion of Radius rests with a voluntary and unremun¢rdted committee known as the Board. Day to day maDa8ement is delegated to the Chief Executive and six directois. Group Structure.. Radius Housing Association Litnited provid¢s housing, Care alld support to Communities in N. treland and is the controlling member of th¢ Group. Radiu5 Hom¢s Limited provides pn)pety development services to assist the Association in delivering its social housing development PTO8Tamme. Tealstone Developments Limited provide5 inv¢5tm¢nt opportuniti¢s outside of the objects of the Association which are expected to deliver a profitable rebjrn on investmenl to be reimbursed to the Association. Refer to note 18 for detai15 of Radius Housing Association Limited inYe5th]ents in subsidiary vnd¢rtakings. Slalus.. Radius Housing Association Limited is regist¢red under the Co-operative and Community Benefit Societies Act (Northern Ireland) 1969 (No. IP 169) and is a Registered Housing Association. The Association is a registered charity under the chariti Act (NI) 2008 {Charity No. NIC102575).
Radius Housing Association Limited Strategic report of the Board of Management for the year ended 31 March 2023 (continued) Business Overview for 2022123 As we progressed beyond the pandemic so our services returned to nornial in almost all settings. The exception has been in housing- with-eare 5¢hemes where a number of Covid safety procedures are still in place to protect our most vulnerable residents. This is penditTrg a review by the N. Ireland Public Health Authority. We have embraced hybrid and flexible working and have ¢mbedd poltcies, procedures and sysiem5 which are not only supporting better customer rVIceS but enabling staff to achieve a healthier work life balance. As with other regions of thc UK and the wider economy. we have experienced challenges in recruiting skilled and experienced staff. Cost of living PTessuTes and rising wage demands have created further pressures for our business. Meanwhil¢ our tenants ar¢ having to cope with a widening gap between household income and the day-to-day cost of food. fijel and energy. Tenders for our contracting, rnaintenance and design activities have consistently returned price increase% some as high as 40ts/0, refleGling supply chain trends elsewhere in the UK. In these challenging time5 we have worked c105ely to support our Contracting partners maintaining service levels and progressing building sites. Radius has in place a broad range of tenancy sustainability interveTrtions helping our most wjlnerable tenants. We have extended our Service ¢barge convergence plans and discounted the fijll healing charge for sheltsred tenants. These measures have helped lo shield our tenants from the fvll extent of the harsh economic headwiThd at Ihis time. We remain committed to investing in our existing slo¢k and providing the best possible customer services for our tenants ar2d residents. We are building more sustainable homes within shar¢d and inclusive communities. Our D¢velopment Team showed gTeat tenacity and creativity as we progressed several complex new-build proj¢cts thTOU8h planning. tendering and the requisite departmental approvals. Thi5 while delivering a healthy programme of completcd new homes. The team also managed to progress several signature projects in readiness for the 2023124 development programme. It remains to be scen how government budget cuts in the in¢omino . year may impact on the ovEra&l socsal housing capitsl programme and those services which depend on revenue fvnding. In thls our frst year of our latest corporat¢ planning cycle. we Set about developing our new corporate plan for the next flve years, 2022123 to 2026127. We engaged with tenauts. staff. busine55 partners and other key stakeholders io ensure w¢ were focusing on the key priorities in the face of the evolving and increasingly ¢hallenginE busine55 VirOnment. We are confident that with the creativity and resilience of our people and our planned investments we will contTrnue to improve lives and cominunities through our homes. care and support. Radius Business in detail Developmeni & Propei'ty Services During the year we commenced on sitc 430 new 5U5tainable home5. This while completing a further 189 new social rented homes on sites across Northern Ireland for handover to tenants. We also advanced a number of signaNre projects which will bc capabl¢ of delivering 3400 potential new-start homes in 2023r24. The a¢tual outtum will be dependent on available capitsl funding from the gov¢Tnm¢nt following its budget d¢terniination in May 2023, Meanwhile. our fwst private development project via our private subsidiary, Tealstone Developments, progressed to the point of submission for planning. At year end, Radiu5 had over 700 new homes under con5tNction on sites acr055 Northern Ireland. The progres5 and performance of some builders and contractors has unfortunately been impacted by labour shortages, delivery delays and rising prices. In some Cases completion of new home5 have been delayed by as much as 12 months. Whilst io other cases some framework contractors have decided to exit their aaDgements with us. We remain committed to working with all our partners on PT8¢lical and reasonable solutions which not only support them in these challenging times but which protect the interests of our customers and our business. Housing and Coniniunity Inveslmenl The Radius Communiries team continue5 to fo¢us on achieving elevated levels of perfonnance in housing management. We seek to enable our tenants to sustain their tenancies while maximising rental income and occupancy leve15 across our 13,500 home5. With demand at record levels we seek to Eumaround properties as efficiendy as p055ible. Our arroar5 and voids perforniance outÈurn for general needs and sheltered housing at 4.40/0 and 3.7% respectively, down from 7,60/0 and up from 2.80/4 in 2022. We have deliberately grouped batches of void properties for darnpness remediaÉion and decantino purposes in 2023124, For supported housing. voids rose to 4.50/0 from 4.1°h due to continued restrictions following the pandemic. Supported housing aryears rose to 6¥0 in the same perioit Our anti-social behavioral Tesolution rate was within tsrget. whil¢ 90 % of complaint responses were complet¢d within 20 day5, llp frorrt 860A in 2021122. Meanwhile the time to relet properties stood at 33 days, outside of our 25 day target and we aTe working hard with contractors to bring this back into line.
Radius Housing Association Limited Strategie report of the Board of Management for the year ended 31 March 2023 (continued) Enhanced Customer Insight At Radius we are keen to know what rnatters to our Customers. Our tenant engagement programme is shaping and eDhancin8 core services with swice users helping to design and specify targets for cotjtrdctors. In 2021r22 we became the first local housing association to submit to the Supporting Communities Tenant Participation Accreditation for which we received a silver award. Our most recent Tenant Survey provided valued feedb8ck on our homes. staff and services. including: 850/¢* felt Radius treats its customers fairly. 8511/0 Stated that they trusted Radius Housino Association. 900/0 b¢lieve Radius has friendly and approachable staff. 840/0 felt their rent represented value for money and Of th¢ 650/0 who received a repair, 7711/0 wer¢ satisfi¢d with the service. And our most recent Soctelal Index Survey whi¢h infomis future strategies and investrnents for general needs tenants confirmed: 39Yo only have enough rnoney for essentia15, 28 /0 run out of money befor¢ th¢ month-¢nd. 53Vo rate health and well~being support as a priority followed by 420/0 for advice on beneflts entitlement. 230/0 do not have an email address while 460/0 are confident in Using digilal services. 860/0 would like to see mor¢ sustainabl¢ homes but only 430/0 would pay higher rent to live in one and 5lQ/o do not use publi¢ transport while 460/0 of households have at least one car. Tenants are represented on our Board. in our Communilles Committee, on our Tenant Executive and through scrutiny pane15 and fuS groups. They infom new procurements, contractor management procedure5 and sit on recruitment panels for board and management appointrnents. 20?3124 promises to bc busy for tenant5 as we recniit a new Tenant Executive and introduce additional service-user focus groups. Community Jnveslnienl & SharedFutures Our community investhient teams work c105ely with business and community group5 SUPPOrtTng tenants through a variety of intervetttions. Our ct)rnmunity investment highlights during 2022r23 were.. Our Benefits Officers identified around £lm of additional income entitlement for tenants. We launched Radius's Tenant Engagement Str8te8y and Action Plan. Our 3 Service Improvement Groups reviewed: Complaints, ASB and MTC Contracts for heating and repaiTS, giving rise to 14 strategic outcomes and benefits. We facilitated 260 Community events. programmes and projects woss Northern Irelan(L working with 110 statutory and ommunity partner organisations. with 10,000 registered attendances. We launched our Digital Inclusion Strategy and Guidebook. 180 del¢8ates attended our Radius Tenant Conference in October 2022. Our Northwest Hub was forn]ally re-opened in August 2022 with a community infonnation and fun day after a iwo year closure du¢ to ¢ovid. Over 100 people attended the event, and the Hub has seen an increasing number of users month on month. Oltr £20.000 Community Chest Fund enabled 30 groups to deliver projects within Radius CommuTritie5. We loaned out 40 tablet computers on awareness session5 and to help tenants attend virtual focus group meetings. 16 of our tenants and staff took part in digital champion training with the Barclays Digitsl Eagles progrdmme. We partnered Ability NeL so our tenants rould receive l.. I ditigal training. We established OUT SustainabÈlity Group with staff. frnallts and Joint Management Partners. We held our Verbal Wellbeing Programme: A 12 week storytelling programme to promote inclusion and address loneline5S and anxiety rwi out in 18 independent living 5¢hem¢s, with 131 participt5 and 130 storytelling SelOnS. We had 50 Estate Walkabouts wÉth staff meeting tenants and community representatives on local issues. Our Community Tnvestment Team, working in tandem with tenant5, community groups. government agencies and a whole host stakeholders, are helping to build resilient, respect1 and engaged n¢ighbourhoods. W¢ have exciting plans for 2023124 for a Radiu5 Foundation, to help extend the reach of our progrJrnmes ¢ven further.
Radius Housing Association Limited Strategic report of the Board of Management for the year ended 31 Mareh 2023 (continued) We are committed to enhancing respect, cultural awareness and resilience within our communities with our staff and community partners engaged in a diverse range of activities part-funded by the government's Together BuÈlding United Communities Fund. In 2022r23 we had marLy highlights wider the themes of: Beauty if OHr Buslness.. 32 participants achieved 70 professional beauty a¢¢reditations with 20 receiving OCN level 3's. A fiffther 12 completed DrivingTheory courses. Our tenants weTe supported by GEMS Nl, the East Belfast Mission. Utopia Learning and Capital Hair & Beauty. Do Sopmeiliing Healtliy (DSH).. 72 p8rticipants aehieved 120 OCN accreditations. Th¢y were aided by Parthership with Boys & Girls Club NL which supported our tenants in 5 Sh8red Housing Areas across N. Ireland. Soccer Academy - Sireel So¢¢er.' 134 participanls with 43 achieving IFA Level I Coaching Awards,. 46 achieving OCN accreditations in Disability Awareness in Youth Work. and 30 achieving Introduciion Cenificate for Refeting. Scliools Biodiversity Project.. 23 Schools participated. providing 607 pupils from across N. Ireland in our partnership with Keep Northem Ireland Beautiful, This through the universal language of biodiversity while promoting Good Relations and inclusivity in and between schools. RESPECT Programme.. We worked with 16 schools, providing 480 pupils with education on the consequences of crime and anti-social behaviour whilst promoting health and safrty, well-being and good relations within communitie5. They were aided by the Children's Safety Education Foundation. Knock loCk- Ballymeiid Schools Projecl.. 12 primary schools worked with 3 Independent Living sch¢me5 for older people. Together they creatcd a book about "Home" celebrating diversity and ¢ulfyre. The PD)ject won the CIH Promoting Shared Communities Award 2022. Messlmes Project.. We had 17 participants with 14 achieving OCN level Il's in Conflict Resolution which focused on addressing their differences through a shared history of World War Il. Developmeiil.. We had 18 participants complete OCN Level I's in Community Development. Care andsupport W¢ manage 1,199 support¢d housing tenant5 and residents through a blend of directly managed and partner s¢bemes, We hav¢ an ¢xten5ive list of partners including: the Salvation Anny" De Paul. the Simon Community.. Extern" MACS. Praxis; First Housing Aid and Support Services. WHSCT and BHSCT. Our partners provide ¢xpert care and support some of the most vuln¢rable and marginalised people An Society. Client groups include the homeless. young and older peopl¢ with learning disabilities. peoplc with dementia and those dealing with al¢ohol and substance dependency. Radius provides a landlord service to ourpartners in these settings. Within our directly managed housin8-With-care schemes we se¢k to maximise independence and to ensure residents partÈcipate as much 2$ possible in local community activities. We are grateful for the continuous help ofbusinesses aThd volunteers who either directly or through fi]nding. support lunch clubs, outings and a range of stimulation and entertainment activities for our residents and tenants. These include donated meals and food. memory cafes. chair aerobi¢s; intergenerational events; shopping, theatre and concert outings: flower aanging. crafts and artwork. poety and history events. For the second year running a Radius resideThtial scheme has topped the local polls with our Loughview Housing-with-care scheme voted 2023 Residential Care Horne of the Year at the Nl NuAng Care Awards. Radius's housing with care schemes continued to receive p051tive inspection reports from the Regulation and Quality Improvement Authority (RQIA) throughout 2022123. Staff within our directly managed 5Ghemes provided the best P055ible ¢aTe, support and reassurdnce to our residents. Where it was safe to do so we facilitst¢d regular family visits and zoom calls within the directly managed schemes. A number of controls introduced at th¢ tim¢ of the pandemic have been retained but are expected to be lifted in mid-2023. Th¢ housing-wilh-care sector as with many sections of the economy, is facing a skills shortage and this has contribul¢d to rising agency ¢osts. In recent months. new approaGhe5 to advertising and recruitment have been bearing fruit. Slaying Put Senjice Radius's Staying Put servi¢e provides invaluable assistance for people applying to the NI Housing Executive's Disability Facility Grant (DFG) Scheme for home adaptation5. Our team helps applicants navigate the process and assists with the procurement of design services, building control applications and building works. Applications to the service began to incr¢e in late 2022 as the pandemic eased. However, some applicants for DFG'S have cited difficulties in procuring contractors and getting them to hold their prices amidst the riSAng labour and material costs seen elsewhere. We are ncerned thar the DFG S¢heme m&y be particulerly impacted by possible Nl Government budget cuts in 2023124 and have made representations on behalf of those likely to be affected. 1Tr2022123 wereceived 478 new enquiries and 31 l approvals from the Nl Housing Executive. A total of 239 grant aided addptations and improvements were completed in the same period.
Radius Housing Association Limited Strategie report of the Board of Management for the year ended 31 March 2023 (continued) Radius Connect24 Radius's ConnecQ4 business provides telecare and telehealth support services enabling many older and vulnerdble people and those with chronic illnesses to maximi5e their independence. ConneGQ4 has led the way in the UK and trelad in developing a ¢onnecÈd health offering with a full triage eapability supported by on inhouse nursing resource, ConnecQ4's overall connections were marginally up at ye8r end, close to 20,000, at 2% above our growth target. This include5 3.168 patients across the Health and Social Care Tnists in Northern Ireland and Republic of Ireland for remote telemonitoring. At the conclusion of the 2022123 year 94.5Q/o of calls were being responded to within 60 seconds. The team also SuccessIlY renewed their IS027001 and IS020000 quality standards as certified by Exova BM Trada. Radius Conneot24 is monitored and annually assessed by the Tel¢care Service Users Asso¢iation (TSA). Our Connect24 team have been upgrading their telephony monttorino platforni through 2022123 as we prepare 10 adopt Ehe new BT Aura telephony system. We have also been trialing analogue-digitaj changeover solutions in advance of the 'analogue switrh-off date in 2025. This while exploring how new technologies such as Alcuris's Memo Hub and the Paana Bracele¢ Can help people live more independently and reduce pressures on H¢alth and Social CaT¢ services. C1[01nei. Service Centre (CSC) We launched our CSC two years ago and were particularly pleased to see advanGcments in staffing and perfornlance through 2022r23. Our intention is that the CSC and our call agents have ihe capability to field ¢aquiries ihrough a variety of channels, i.e. telephone, email, social medi4 etc. and eventually be able to respond to 800/0 of them at frst pr>int of wnÈact. In parallel we are modernising our CRM and housing management systems and the enabling Processes which will enhance our customer expert¢nce. In ?023 we have engaged a telephony expert to lead a Teview into the progress and learnings to date and to h¢lp shape the next phase of development of the centre. Radius Staff Our success Bnd achievements are mainly down to the professionalism and dedication of our staff who have a high regard for customer scrviGe. Comfort and safety. In the early days of the pandemic we were grateful for the flexibility and resllience shown by staff working in the front line within supported schemes and from home. Office based staff embraced flexlble and hybrid working patterns and enjoyed access to core operating systems over secure digital platfornis. In 2022123 we introduced hybrid workRng policies which enabled us to retrdin the positive aspects of home-working and more family-friendly working affangements. At the same time we found our Customers were pleased with our oyerdll service. We ontinued with our annual pulse survey of staff for the third year running to capture their views on home working during the pandemic. We also carried out a series of mystery shopping surveys to ensure customer service standards were being maintsined. Our staflpulse swvey was consistent with the previous 2 years and confJm5 high levels of support and cornmuDication from rnanagemenr and Radius: 85Q/o were at least in weekly contact with their line manager 930/0 felt connected to their colleagues and part of a team 830/0 were clear about their job requirements in a home setting 700/9 felt Radius's level of communication was excellent with no improvement needed. 78•/0 had a¢¢ess to the infonnation from home needed for them to do their work. The HR and Cory)orate Service5 team provided extra guidanc¢ on hom¢working, menthl wellbeing and other 5UPPOrt initiatives io staff throughout the year. Our Mental Health Strategy laun¢hed in 2022 is supporting slaff amidst the transition to hybrid and flexible workin8. Highlights inGlud¢-. 23 Mental Health First AidcT5 Staff healtb cash back progrdmme via Health Shi¢ld 2417 Counselling via the Belfast Health and Soclal Care Trust Weekly occupational health nurse Glinic with ¢mployee health checks Relaunch of Radius's 'Our Place, intranet site with advice and health tools Sxckness and absence levels for the year finished on 3.3°h up from 3Yv tn 2022. Staff turnover was unchanged at14% across the year, below our peers in the Housing and Care Sector. Recruitment ¢onlinues to be challenging. reflecting the national skills shortage. However our new recruitmentmethods are incr¢asing applicants with some long-tetm vacancies now bein8 fjlled.
Radius Housing Association Limited Strategic report of the Board of Management for the year ended 31 March 2023 (continued) Our transfonnational team progressed key change and moderntsation projects aimed at enhancing our customer ¢xperience. These aTe ¢entered around new head offic&8, new computer managernent systems, an improved CRM system and a multi-channel customer portal. The team developed resources and guidance to aid SMARTER working practices and to support staff working rcrnotely. We exp¢GI work on our new offices to commence in early summer2023 and to compl¢le by the end of 2025. The Senior Management Team is 71P/o female and 290/0 male. Radius h15 843 employees of which 180/0 are male and 820/0 are fwn&le. Regarding the Radius Boar 270/0 are female and 730/0 male. 47DA are under 61years and 5311/9 above. We invest around £300k each year Én the training and development of staff. Applications for employment by disabled persons are always considered. bearing in mind the respective aptitudes and abilities of the appli¢ant concerned. In the event of members of staff becoming disabled every practical effort will be made to ensure that their employment with the Asso¢iation ¢ontinue5 and the appropriate training is arranged. It 15 the policy of Radius that the training, career development and promotion of a disabled person should. as far &8 possible. be ideniical ¢0 that of & person who does not suffer from a disability. An Equality Commission FEC Rewrn was presenkd during the year. In 2022r23 the Deparlmenl forcommunities published theirregulatory judgementforRadius following the 2021r22 Regulatory Return. We are pleased ro ¢onfllTh that Radius was adjudged as continuing to meet the regulatory stsndards for governancA fiDance and consumer standards. Moody's completed its annual credit rating re-assessment of our organisation and reconftymed our Al Rating. This leaves Radius as one of the few remaining UK housin8 &SSOCi3tions at Moody'8 highest credil rating level for housing providets. This together with our positive Environmental, Social and Governance (ESG) assessment against the UK'S Sustainability Reporting Standard positions Radius in a favorable light for additional prÉvate fijnding as we prepare for our next private placernent in 2024. Radius is a member of the UK Housing Association benchmarking club, Housemark and undertake5 regular peer reviews to help identify areas for improved perfonnance. eificiencies and raised productivity. We retsined our Customer Service Excellence quality mark during the year while our Development, Assets, Staying Put and Corporate Services departmenls were reaccredited to IS09001. IT services also retained their ISO?0000 and lS027001 accreditations. We received 152 ¢omplaints across its customer base of around 33,IM)O direct service users, down 160/ts from the previous year. Of these, 80 (46•/0} were upheld and 920/0 were responded to within our tsigeted response time. The principal ar of dissatisfaction related to delayed repair5 and perceived lower quality of sVIce than was expected. We will continue to reflect on the learnings from complaints and seek to improve our business by shaping our policie5. procedures and staff training progrdmmes accordingly. Radius's Health, Safety, Risk and Insurance Group continue to closely monitor safety acn)ss the &ssociation. This is backed up by mandatory health and safety coiirses, rolled out underRadius's Corporate Training Plan. They met throughout Iheyear to review safety and assess risk. Covid risk assessments were undertaken tn the varÉou5 work settings in response to the evolving guidelines from the Public Health Authority. In 2022123 we re¢orded one incident under the Reporting of Injuries, Diseases and Dangerous OccuTrences Regulations 2013. Radius's Assets team oversee cornplian¢¢ inspections covering: gas system servicing and inspection- legionella Inspections. asbestos management, fire risk assessments and other compliance areas. It has been ¢hall¢nging to gain enty into all homes to conduct essential inspection5 and tests of gas boilers and perfonn other safery checks. Ai year-end we had 14 propertie5 overdue a gas-boiler inspection. This despit¢ many efforts to engage the tenanLs and to wam of our intention to disconnect and in some cases even to tske legal action. We operate a robust GDPR monitoring and improvement fijnction within our business. Over 900 staffhavereceived mandatory training on GDPK System security and peThetration tests were carried out during the year with ftndings being reported to the Board. The s¢curity checks and controls take into consideration home-working aangerneAts and continue to be upgraded in line with an ever- changing fraud and cyber-crime risks. We continued our commitment to developing staff. contributing to society and protecting the environment through our CSR Action Plan. Our charity partaer. Air Ambulance NI compl¢t¢d its first year terni with us during which time £32.000 was raised by staff, business parlners and tsnants. The fundraising activities have given lenant ¢ommunities an added incentive to come together across a variety of events. We are aiming to help them raise £70.000 over the 2 year5 Of their charity tern] with us. Ener Savings andESG Over the last year we saw energy and fuel prices continue to rise leading to fmancial hardship for our tenants and staff. The Board took the decision not to pass on the 11 c05t of heating within those sheltered housing scheme5 operating communal boilers. This together wtth a subsidy on service Charges helped to shield our tenants frorn the fjjll extent of the cost-of-living increase. These savings of approximately £2m eombined with fih¢r a5SiStance in the fonn of Radius'5 Community Chest and our Tenant Hardship Fund, belptd our most vulnerable customers lo sustain thcir tenancies. Prices are unfortunately expected to only marginally reduce in 2023n4.
Radius Housing Association Limited io Strategic report of the Board of Management for the year ended 31 March 2023 (eontinued) FOT the first time in 2022123 we assessed the Radius organisation under the UK'S Sustsinability Reporting Standard. We are delighted to be able to draw out the excellent work by staff. tenants, Board and partneTS throughout Radius in championing justice, celebrating dRversity and promoting biodiveTsity. This as part of our 'Radius Sustainable Way, _ a 9 themed aGtion plan aimed at stren8thening our resolve on matters which improve the enviromnent and society while upholding good governance. Radius's homes have an average EPC score of 75 whtch is significantly above the Northern Ireland residential average of 60. 84Yo of Radius's housing s¢o¢k is rated at EPC Level C and above. We have committed to investing £25m over the next 5 y$ in our older homes as we aim to eliminate dampness due to rising and penetrative damp. It is unfortunately the case that incidents of condensation and mould growth are presenting with Incred regularity as tenants struqgle to adequately heat and ventilate their hornes. We ¢ workTrng ¢losely with tenants to raise awareness of measures to reduce this problem, while our contraLtors perforni remediatiotl works, We are designing new build projeets to EPC Level-A while focusing on the regeneTation of brownfield sites. A sizeabl¢ proportion of our housing stock has been fitted with solar pane15 including over 100 sheltered and supported housing schemes and is deliv¢ring over 700.OOOKWh's per.annum The energy saving5 are passed directly to oldertenants and help to reduce e1 poverty. Further Photovoltaic (PV) p2nels have been Installed on over 400 general needs homes. Our planT]ed maintenance teams continue to change over traditional oil fired communal heating systems to more efficient g&s-powered systems. Radius will partner Phoenix Ga5 on a number of residential pilot scheme5 in 2023124 aimed at identifying measures to cut carbon footprints. We also plan to commence our first 'CHrbon Near Zero Energy. building in Larne. For the year ended 31 March 2023, Radius Housing, including its wholly owned subsidiaries. reported the following energy usage and carbon emissions for the Group'5 corpordte activities.. Underlying global energy use for ihe year ended 31 March 2023 of 52,790.784 kWTh (2022- 54217.826 kwh). Annual GHG emissions for the year of 9.584.37 tC02 (2022 - 10,523.91 tC02). Emissions intensity ratio of 0.099 GHG emission5 per £m revenue (2022 - 0.112). The above SECR disclosure presents our carbon footpiint across Scopes 1, 2 and 3, together with the appropriate intensity m¢tric and our total energy use of electricity. gas. kerosene. LPG and diesel vans. The usage is as follows: 2023 kwh. 2022 kwh Electric Keros¢ne LPG Gas Diesel 7.769.047 16.243.405 1,698.381 26,933,547 146,405 8,292,574 14,495,375 1,503,534 29,815.029 111,314 Total 52,790,785 54317,826 Ratio- 9,584.37197.067.730 (Net Turnover)- 0.099 (2022- 0.112) En¢r8y efficient action5 taken include: Radius operates a large solar panel portfolio, managing approximately 400 PV systems. offsetting our carbon emission5 and making significant energy savings by supplying ele¢tri¢ity to a number of our housings 5thcmes. During thi5 fmau¢ial year they generated on e5timat¢d 710,0(10 kwh which was ¢xp¢)rted to the grÉd. Radius Board andsenior Management In 2022123 Melanie English and Robert Dunne Tetired from the Board. Melanie had chaired the Radius Audit and Risk Committee as well as sitting on the Development Committee for Radius and fornL¢rly Fold Housing Association. Robert had been a member of the Audit and Risk Committee. We are grateful to both for their dedication, leadership and contributions to the Asso¢iation. We w¢r¢ delightcd to wel¢otne our new members. Niall Quinn and soon Jacyln Richardson onto the Board. At the cotnmcncement of 2023124. there wer¢ 4 f¢rnales and 8 males on the Radius Board of Managcment as well as an independent male member on each of the two subsidiary companies and a female member on Tealstone Developments.
Radius Housing Assocmation Limited Strategic report of the Board of Management for the year ended 31 March 2023 (continued) Radius launched its latest Corporate Plan An 2022r23 following wnsultation with all key stakeholders. This process was overseen by independent consultation experts Creatlve Bridge. The business planning frarnework for the next S years takes into consideration all opportunities and threats affecting our customers and business and draws out our key priorities. We will revisit the framework each year as we refresh our business plan to ensure continued congruence. This annual review is infonned through regular risk-assessments and horizon scanning 8t cornmittee and board levels. through customer and parther feedback. recommendations from audits and independent assessments. business sIreStestIng and through proposa15 emerging from strategic board discussions. Members continued to avail of extensive training and awareness sessions and seminars, ¢overing a broad range of topics. There were inhouse workshops on: stress testing of the 2022r23 busirjess plan and budg¢L the new Radius ESG Strategy,. the Radius 2023124 rent end service charge settlement; Radius's fmal appraisal of the new Head Office at Holywood: a review tnto governance arrangements for RRdius's subsidiaries" a fundamental review of Communities at Radius by Campbell Tickell. a 'fabric-fir5t' investment proposal for St John's Close, Belfast: An Interim Cashtlow Appraisal Model fot schemes with ca5hflow deficits. the Radius 20?3124 budget and business plan. and a Treasury Options workshop for long-teLin, short-tenn and 5UStainable financing. The Board held its strategic review event in Newc8Stl¢ which included the Annual Group Appraisal and was att¢nded by business partners and local public representatives. The Board perfornked its annual review of Radius's risk tolerance and appetite and confirnied the orgonisational scheme of delegation following miThor adjustments on Development and procurement authorisations. The NatFed Code of Govemance 2020 had been adopted al the beginning of 2022123. Radius is very grate1 for the dedtcation and direction afforded to the Association by ils voluntary board members. Their willingness to make themselves available for key decision making throughout the pandernic e4]sured continuity in 5eTvice5 and projects. Their expenses claimed during the year amounted to £2,085 (2Q22- £559). Finanee and Business Perforniance ActualPeTformancefor iheyear eftded31 Moreh 2023 In its sixth year of Operatio Radius achieved an Operating Sutplus of £13.8m versus £15.3m in 2021122. The decrease was mainly due to the impaGt of G05t increases across each area of th¢ business. A major component of this is the increase in the cost of heat & light of our S¢h¢m¢s and Oftices. The cost increased by 17.50/0 this year which is on top of tbe 92Yo increas¢ tn 2021122. This along with the increased wst of stsffing and the £2.8m increase in response and change of tenancy maintenanG¢ are the main variances 10 the sU]uS in 2022123. Income stood at £97. Im, up from £94.2m in the same period last y¢ar. The value of Radius's total housing propertie5 at cost rose from £1,109m to £l.158m. lliis movement was due to housing completions in the year less sales to tenants under the'right to buy" scheme which were significant this year as the Scheme drew to a close. The management of fiThancial resources is critical to the Group's ability to meet ils objectives. Whilst the Association has volunlary non-profit akIng status, the generation of an annual surplus is vital to ensure the ongoing investment in new housing Stock to provide for longer lerni maintenance obligations, to meet the convnitments to lenders and to generally ensure adequate protection against unforeseen circumstances. Radius rating was heEd at Al during the year 2022123 with the outlook moving to negative from stable due mainly to the outjook for tlie UK economy. Key financial indicators are shown below- 2023 2022 Net Surplus as O/D of Turnover {beforn excepiioNal ilems & qfford#bk sjlez) Operating Costs as Q/• of Tumover Rent Loss&s a5 0/0 of Rental income Interest Cover (wfrradding backcopilallxdnJOrreFll1r) Liquidity Ratio Gcaring Rat20 7.4Yg 85.7g/o 3.7% 147Y¢ 0.95 25.8% 83.00/ 3.50h 1460A 1.26 18.7% These r¢5uIts and the associated sktistics show that despite the ¢ost pressures, Radius remains in a strong fmancial position.
Radius Housing Association Limited 12 Strategic report of the Board of Management for the year ended 31 March 2023 (continued) Positive Social Impaci & Yaluefor Money Achieving Value for MoTLey IVFM) and Continuous improvement remain key priorities for Radius. We aim lo ulilise our assets and r¢sourLes as much as possible to meet the needs of cxisting and futur¢ tenants and resideThts. With the effects of the pandemic, Brexit and a hardening economic headwind, the OPPOrnFnities for $8vings through lendering amd re-prncurement greatly diminished in 2022r23. That said 5izeable VFM was delivered by other means: Maximising the 'Housing for all, fund for shared communtties Shielding of customers from th¢ full extent of actual costs Reduced waste Higher performance through empowered staff Maximising our social value Positive customer and staff engagement Community safety Bnd regulatory compliance, We wotk collaboratively across traditional bu5ines5 unit boundaries, harnessing the innovation and creativity of our people, ovr customers and our business partners to deliver improvem¢nts through efficiency, effectiveness and economy. Productivity levels have returned to nornial pre-pandemic levels. However in the fa¢e of unprecedented inflation rates, labour scarcity and highly pressurised supply chains. it has been virtually impossibly to achieve procurement savings on price alone. Some Gosls in ¢onslniction and maintenance activities have returned higher tendered rates by as much as 400/0. With the assistance of tenants we have redesigned sotne key contracting fraroeworks which are expected to reduce wastage and tmprove customer experiences over time. In 2023124 some contractors decided to exit frameivork arrangements on grounds of dlminished viability andlor following problems recruiting skilled and experienced staff. lrn tems of social value. we manaoed to grow our Shared Housing and Good Relations Plan funding to over £7m which will benefit our ¢ommunities. Through 2022123 we invested over £lm in our shared communities. Radius Homes achieved a VAT r¢¢overy of around £320k on design seTvi¢es in the year. Meanwhile we shielded tenants from around £600k of filel costs and £1.4m of the a¢lual C05t of services by reduced service charges. We donated £25k to Radius's Community Chest Fund for the benefit of our tenants and assisted those most vulnerable by way of our Hardship Fund of £20k. Apart from the 700,OOOkWh of solar energy generated from PV panels across OUT St¢xk, the additional Renewable Obligation Certificate5 (ROC'S) contribution for the same panels reached £ I Iok over the 12 months. In summary the VFM highlights through 2022r23 include: Community investment activities VAT recovery through Radius Home5 Radius Community Chest Fund Radius Tenant Hardship Fund Annual PV panel contribution Heating Costs absorbed by Radius Service charge5 costs absorbed by Radius £ 991k £ 320k £ 25k £ 20k £ Ilok £ 600k £1.400k Totsl VFM for Customers £3,466k While we await details of our government's response to the 'zero-carbon' chall¢nge, we have committed £25m toward5 the moderni5ation and rctrofitting of our older and less fvel-¢ffi¢ient housing stock Risk Managemenl Responsibility for th¢ identification of risks is clearly defIned and Operat through a cascading risk assessment pro¢ess. Key risks facing the Group are considered by the Board of Managemcnt at each board and committee meeting. Each directorafr updates its own risk register every month and undertakes horizon Scanning for possible fjjture Tisks. These in turn are elevated upwards to Radius's Corporate Risk Register. We Stress-tested our budget and business plan midway through 2022r23, ¢alculating an LBE againsta number of unfavourable varianoes and scenarios and found them to have an appropriate levol of resilienre and financial capacity to enable us to continue delivering on our objects. We revisited our risk appetite and tolerance and introduced a new risk appetite framework to guide the board committees and management in their decision making. Radius's governance and risk menagement policies and procedures wer¢ reviewed by our auditors during the year. prior to the 2023124 business plan being approved in March.
Radius Housing Association Limited 15 Report of the Board of Management for the year ended 31 March 2023 (continued) Statement of the responsibilities of the members of the Board of Management{eontinued) The members of the Bt)ard of Management are responsible for keeping proper aClltIng records which dis¢lose with reasonable accuracy at any time the financial posltion of the Association and Group and enable them to ensure that the fmancial statements comply with the Co-operative and Community Benefit Societies Act (Northem Ireland) 1969 and the Registered Housing Associations (Accounting Requirements) Order (Northern Ireland) 1993. They have general responsibility for the taking of reasonable steps to safeguard the assets of the Association and to prevent and detect fraud and other iegularItieS. The directors are responsible for the maintenance and integrity of the corporate and fmanci81 inforniatLOD included on the ¢ompany's website. Legislation in the United Kingdorn goveming the preparation and dissemination of financial statements and other inforniation included in the Directors report may differ from legislation in otheriurisdictions. Statement of disclosure of information to auditors So far as each of the members of the Board of Management at the date of approval ofthese financial statements is aware: There is no relevant audit information of which th¢ Association and Group's auditors are unaware. 2nd They have taken all the steps that they ought to have taken as members of the Board of Managemettt in order to make themselves aware of any relevant audit infonnation and to emablish that the Association and Group'5 auditors are aware of that infomation. Internal control The Board of Management has overall responsibility for the Association and Group's internal control systerns and for reviewing the effecttveness of these. Such systems cats only provide the Board of Management with reasonable (and not absolute) assurance against material misstatement or loss as they are designed to manage the risk of failure to achffteve business objectives rather than eliminate the risk completely. Audit The Board of Mattagement has established an Audit Committee with clearly defined tenS of reference. The main functions of the Audit Committee arc to control and review the external and internal audit functions. the internal ¢ontrol systems and monitor th perfomlance of the Asso¢iaiion against the key business indicalors. The Association's internal auditors report dire¢tly to thc Audit Committee on completion of each systems review and an aDnual swnmary ttport is produced by the internal auditors summarising the systems audit programme each year. The work of the ¢xt¢mal auditor5 also provides some assurance through the year-end audit and the provision of a Teport to those char8¢d wtth gove4nanc¢. Board of Management, Shareholders and Officers Th¢ members of the Board of Management and the 0CerS of the Association are listed on page 2. Each member of the Board of Management other than members wted during the year holds one fully paid shere of £1 in the Association. Radius's voluntary board members continue to give very generously of their time. They supported Radius throughouttheyear throuoh: anendance at board and Gommittee meetings and the review of paper5. altending speoial board m¢etings. strategy workshops; in tender evaluations. in meetings with regulators and business partners. trdining ovents, seminars and conferences. involvement in board and senior management re¢ntitment exercises and by attending the annual 5tral¢giG workshop. Independent auditors The auditors, Grant Thornton (Nl) LLP, have indicaied their willingness to continue in office, and a resolution proposing their reappointment will be proposed at the Annual Gener Meeting. By order of the Board MPitt Chalr ol the Board of Management 29 Jllne 2023