Sustainability for Housing (SfH) has published the latest analysis from the 2024 Sustainability Reporting Standard for Social Housing (SRS) submissions, marking a ‘coming of age’ for environmental, social and governance (ESG) reporting across the sector. 

One of the key findings of this year’s report is that housing providers continue to make sound progress on homes meeting EPC C and better, averaging 76%. This is well above the wider housing market, which is around 48% according to research from the most recent English Housing Survey. A number of housing associations (HAs) reported more than 80% of homes at EPC C and above, including Bromford (89%), Orbit (85%), Aster (84%) and A2 Dominion (81%).

This year’s report was produced in collaboration with Housemark, the leading data and insights company for the UK housing sector, which supported the collection, validation and analysis of the SRS data used to compile the report.  Based on additional analysis by Housemark, it is estimated that around 100,000 homes in the UK were improved to meet EPC C (or higher) in 2023/24. At that rate it would take another 13-14 years to move all social homes to EPC C+.

An exclusive survey of adopters by SfH – which oversees the Standard – reveals that 80% of funders think reporting against the SRS has improved housing providers’ ESG performance and accountability.

All the findings are set out in SfH’s fourth annual report, released this week, which details the performance and progress of 91 housing providers along with the views of adopters and the funder community. 

The SRS is a unique movement that is working in the interests of the sector and its stakeholders, with a growing community of adopters across England, Scotland and Wales. There are now 170 Adopters – up from 78 five years ago – comprising of 132 housing providers owning and managing close to 2.4 million homes across the UK, and 38 funders that provide almost all the c£133 billion of private finance to the sector.

This year’s review is also the first since the roll out of version 2.0 of the Standard, which introduced a number of new criteria around net zero, EDI and resident voice and is mapped to a number of global reporting standards and frameworks.

The 91 housing providers in this year’s report own and manage close to 1.9 million homes across England, Scotland and Wales. Some of the other key highlights include:

• The overall proportion of new homes achieving EPC A has risen year-on-year, from 2.1% in 2022 to 9.5% in 2024. 
• The housing providers in this dataset delivered 35,800 new homes in the year, with 99.7% of the c35,800 new homes completed in 2024 achieving EPC C or higher.
• Of the new homes, low-cost home ownership and affordable rent continue to see the greatest allocation (29% of homes), followed by social rent (24% of homes).
• Average rents of FY 2023/24 were equivalent to 59% of private rented sector (PRS) rates or 72% of the Local Housing Allowance (LHA), demonstrating affordability relative to market alternatives.
• 37 housing providers that reported against the enhanced damp and mould criterion, sharing that 86,670 homes had cases of damp and mould in 2024, accounting for, on average, 7% of each housing provider’s total stock, with this proportion ranging from 0.2% to 17.9% across reporting providers. This is above expectations, with the RSH’s 2023 damp survey estimating that these cases account for 3-4% of stock.
• On average, housing providers report a CEO: median-worker pay ratio of 5.9:1 FY23-24, which compares positively to the largest UK companies.
• Housing providers report a 9% gender pay gap for FY23-24, which is above the national average of 7%.

The report also provides the exclusive results of a survey of housing providers and funder adopters, including:

• Over 40% of Housing Providers agree that reporting against the SRS has resulted in a change of strategy or culture within their organisations, up from 31% in 2023.
• Of the 46 responding Housing Providers, 82% state that their SRS reports were reviewed and approved by Board and/or Audit & Risk Committees this year – a close to 10% year-on-year increase.
• Over a third of Housing Providers believed that the SRS had strengthened their relationships with current or new funders.
• 80% of funders reported that the SRS had led to the provision of better and more useful information regarding assessing the ESG performance of the sector, significantly up on last year’s result (56%).
• 80% of responding Funders think that reporting against the SRS has improved Housing Providers’ ESG performance and accountability.

Piers Williamson, chair of SfH, said: “This year’s report demonstrates that despite all the political noise and suggestions of businesses rowing back on sustainability and social responsibility, the social housing sector remains committed to an environmentally, socially and economically sustainable future.

“It’s also somewhat of a ‘coming of age’ for ESG in housing and for the SRS, as this year moves ESG reporting from a snapshot of data to a series that enables analysis of trend data across a number of SRS criteria, which in turn enables a whole range of stakeholders to see progress, performance and outcomes in a consistent and comparable way.

“We know there are multiple challenges and financial pressures bearing down on housing associations and their residents – but we also know that sustainability is about the wellbeing of people living in social housing, as much as it is about the climate emergency.”  

The report also shows that there remain some areas for improvement when it comes to ESG disclosure. As is the case across many sectors, there is variance in the responses to scope emission data due to differences in reporting methodologies between housing providers. SfH is working to align approaches by improving guidance and supporting standardisation across the sector – this has included consulting the ESG Working Group, made up of around 20 HA sustainability and ESG leaders. The guidance will be released imminently.

The number of HAs reporting on the enhanced damp and mould disclosure was also a welcome addition this year, with 46 housing providers, representing around a third of the SRS HA adopter community, disclosing against these metrics.

The year also saw some important strategic developments for SfH – including exciting plans to become an ESG and sustainability knowledge hub and voice for the sector. This includes working with Housemark to develop a centralised online ESG reporting portal, designed to help housing providers benchmark their performance across key ESG metrics and compare results with other adopters. This new tool aims to support the sector with greater transparency, insight, and accountability. 

Mr Williamson added: “Overall, the SRS enables housing providers – and its stakeholders –to assess ESG progress and performance in a way that few other sector or industries do. It is also promoting a granularity, consistency and comparability of reporting and disclosure that didn’t exist previously in this sector – so we’d encourage all HAs out there to stay the course and continue to tell your story in this evidence-based way.”

Andrew Jackson, Director of Consultancy and Partnerships at Housemark, said: “We were proud to partner with Sustainability for Housing to support the production of this year’s SRS report. The insights from our analysis offer a clear picture of where the sector is making progress and where challenges remain. We’re also developing a dedicated ESG benchmarking portal to help housing providers adopting the standard compare performance, track progress and make more informed, evidence-based decisions. At a time when transparency, consistency and credibility matter more than ever, this work provides a strong foundation for ESG reporting in social housing.”

“Our partnership with SfH is focused on strengthening ESG data collection, validation and reporting across the sector. As a leading provider of data insight and benchmarking, we’re proud to be playing a central role in developing the infrastructure and tools that will underpin more consistent and credible ESG reporting in the years ahead.”

Elizabeth Froude, chief executive of Platform Housing, said: “Platform was an early adopter of the SRS reporting standard, because we believed it was a part of starting our journey on sustainability.

“It has kept us honest with ourselves about what we planned to do and achieved in sustainability territory and has allowed us to have evidence and credible discussions with investors.

“It is so good to see that we now have so many more organisations who have joined us on the journey, and this report allows us to share a good news story about the progress we have achieved as a sector, despite all the headwinds we have encountered.”

Ian McDermott, chief executive of Peabody and chair of the G15 London housing associations, said: “For Peabody, sustainability is an ongoing responsibility—one that requires us to act as careful stewards of the homes, places and communities we support. The decisions we make today serves current residents but also future generations, with a long-term approach guiding how we plan, invest and deliver services.”

“Transparency and accountability are central to that responsibility. We’ve been part of the Sustainability Reporting Standard (SRS) from the beginning because we believe that a consistent, sector-wide approach to ESG reporting helps us all do better.”

“We’ve now published four reports using the SRS, and each one has helped us reflect on our progress, identify areas for improvement and focus our efforts where they can have the greatest impact. We continue to invest in improving the quality and scope of our data, because better insights lead to better decisions. The SRS remains an essential tool in helping us—and the sector—build a more sustainable future.”

David Cleary, Managing Director & Head of Housing, Lloyds Banking Group and SfH Board Member, said: “Lloyds Banking Group is proud to support the comprehensive analysis presented in the SfH Annual Report. The year-on-year increase in housing associations adopting and proactively using the reporting standard confirms its relevance and unique position in the world of ESG.”

“Transparency and robust performance reporting are crucial in maintaining funder confidence and attracting investment, especially amidst ongoing financial pressures within the sector. Understanding the transition to net zero, alongside social impact and great governance, is essential for housing associations and their funders and the new partnership with Housemark provides further support. It is a welcome development from a funder’s perspective.”

Sinead Lennon, Investment Stewardship Manager at Pension Insurance Corporation, said: “Sustainability reporting is critical for investors in the social housing sector. It helps provide transparency and comparability as well as highlighting sustainability-related risks useful in decision making. As founding members of the SRS, PIC will continue to promote and support robust sustainability practices across the industry.”

Will Jeffwitz, Head of Policy at the National Housing Federation, said: “This report shows that housing associations are leading the way on energy efficient and sustainable housing, despite facing significant financial pressures in recent years.

“The sector’s commitment to decarbonisation and reaching net zero is clear, with housing associations far ahead of other tenures in terms of retrofitting their homes to EPC C and above. This commitment is not just about protecting the environment, but also about providing residents with homes that are warm, affordable and safe. 

“The Sustainability Reporting Standard is an important tool for housing associations to demonstrate their ESG credentials to investors and it’s clear that adopters are seeing the benefits. We look forward to continuing to work together on our shared goals for sustainable housing.”

Carolyn Lochhead, Director of External Affairs, Scottish Federation of Housing Associations, said: “It’s fantastic to see the number of Scottish adopters of the Sustainability Reporting Standard continue to grow, and this report highlights the continued importance of transparent ESG performance reporting for SFHA members.

“We know that Scotland’s housing associations and co-operatives are committed to creating sustainable, resilient communities, and the SRS provides a valuable framework to support that ambition. We look forward to continuing our collaboration with Sustainability for Housing as our members make further progress towards meeting their environmental, social and governance goals.”

The full report is available here.

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Notes to editors

For further information or to arrange an interview, please contact Annalyce Whittaker, annalyce.whittaker@social.co.uk, or Tushar Parmar, tushar.parmar@social.co.uk.

About the SRS 

Launched in November 2020, the SRS is a voluntary reporting framework designed to enable housing providers to report on their ESG performance in a transparent, consistent and comparable manner. Sustainability for Housing (SfH) Limited is a company limited by guarantee run by a voluntary board of housing and finance experts, that is responsible for the development, promotion and strategic direction of the Sustainability Reporting Standard for Social Housing (SRS). Impact consultancy The Good Economy (TGE) acts as the Board’s secretariat. For more information, visit https://sustainabilityforhousing.org.uk/