Two south Manchester-based housing associations, Southway Housing Trust and Wythenshawe Community Housing Group, have announced they are in talks to merge. The new organisation would become the largest provider of social housing in Manchester, with around 21,000 homes serving more than 40,000 customers.
The organisations are working on a business case which could bring the two providers together later this year with greater benefits to residents and communities.
This includes increased financial capacity to improve homes and services, as well as build more affordable housing to address challenges and rising costs facing the sector and its residents.
Between them, the two organisations already plan to deliver 2,700 new homes by 2030, and a combined organisation would be able to surpass this ambition.
The new combined organisation would also build on existing community investment, boosting the £15 million the two have already pledged to invest over the next few years.
Both organisations say customer involvement will play a central role as plans develop. A Joint Resident Group, made up of customers from both organisations will be established to help shape proposals, alongside opportunities for all customers to have their say over the coming months.
Southway currently manages over 6,500 homes across Greater Manchester although most of its homes are in south Manchester in Burnage, Chorlton, Didsbury and Withington.
WCHG owns and manages 14,000 homes in Wythenshawe and surrounding areas.
If the merger is approved in the autumn, Nick Crofts, WCHG’s current chair would be the new group chair of the new combined organisation and John Bowker, Southway’s current chief executive would become the new chief executive.
WCHG’s chief executive, Nick Horne, retired at the end of April, and its executive director of finance, Simon Morris, has been interim chief executive.
Southway’s John Bowker said: “This is an exciting opportunity for two strong and successful neighbouring housing associations to come together and build on what we already do well, supporting customers across south Manchester and the wider Greater Manchester region.
“As one organisation, we’d be financially stronger and more resilient to increase investment in building and maintaining homes, supporting customers with the rising costs of living and address other challenges facing the sector.
“It would be an equal partnership that makes the best use of combined skills and resource to provide better value for money and ultimately, services that are shaped by customers.”
Chair of the Board at WCHG Nick Crofts added: “Throughout this process, we will remain focused on maintaining high-quality services and ensuring residents help shape the future of the new organisation, should the merger go ahead.
“By combining our strengths and experience, we can create a stronger organisation that is better placed to meet future challenges and deliver lasting benefits for tenants, residents and communities.
“We’re committed to keeping strong governance and long-term sustainability at the heart of every decision we make.”