Latest Housemark COVID-19 impact data has revealed that sector arrears have reached a record high, with more than £1 billion now outstanding in arrears.
Latest Housemark COVID-19 impact data has revealed that sector arrears have reached a record high, with more than £1 billion now outstanding in arrears. This represents a global increase of around 30%, which equates to an additional £300 million since March 2020. Forecasts estimate that arrears levels may not return to pre-pandemic levels until March 2022.
Talking about these findings, Housemark Chief Executive Laurice Ponting commented:
“As we reflect on 10 months of the pandemic, our UK sector wide monthly impact analysis has established a clear link between lockdown measures and arrears. When the tier system was introduced, our October analysis showed that those areas operating with tougher restrictions reported average arrears levels 40% higher than their counterparts and, in some cases, landlords reported a 100% increase. Urban areas with higher levels of deprivation are also being disproportionately affected.
“Landlords are facing increased operating costs against a backdrop of complex challenges. We are working closely with our members and the wider-sector to contextualise the impact of the pandemic and provide the on-time insight and forecasts they need to take mitigating action with confidence.”
These findings, along with 2020 trends in key operational and financial areas will be included in our January 2021 COVID-19 Impact Report shared exclusively with participating Housemark members. Organisations interested in finding out more about Housemark’s COVID-19 solutions should contact email@example.com.