Clarion delivers record investment in new and existing homes alongside increased operating surplus
The group's stronger operating performance enabled us to invest at scale during 2025/26, both in resident services, building new homes and in improving existing homes.
Clarion Housing Group, the UK's largest social landlord, has today published its audited Annual Report and Accounts for 2025/26, reporting record investment in new and existing homes alongside a significantly increased operating surplus.
The Group’s operating surplus rose to £289 million, up from £232 million the previous year, while net surplus increased to £148 million, up from £82 million. This stronger operating performance enabled Clarion to invest at scale during the year, both in resident services, building new homes and in improving existing homes.
During the year, Clarion invested £631 million in new homes and regeneration, completing 1,466 homes in a challenging development market, with more than 80% of them for affordable tenures. Its development pipeline grew to more than 22,800 homes, positioning the Group to scale delivery further as market conditions allow. Amongst the year's flagship schemes, Clarion's development arm, Latimer, submitted a planning application for the Tendring Colchester Borders Garden Community, a long-term masterplan for 7,750 new homes east of Colchester and one of the most ambitious developments in Clarion's history, with at least 30% of homes to be affordable.
"This has been a strong year for Clarion. Our improved operating surplus has allowed us to invest at record levels in both new and existing homes, delivering for residents today while building for the future. We published our Five New Giants of Opportunity report this year, setting out a long-term vision for what social housing must do to address the defining challenges facing our residents and communities, and that thinking now sits behind a refreshed set of strategies for our people, our residents, our homes and our business. From the progress we're making on resident satisfaction, to creating ambitious schemes like our Tendring Colchester Borders Garden Community, this year shows what a financially strong, purpose-led housing association can deliver at scale."
Alongside new development, Clarion invested £453 million improving and maintaining its existing homes, including £161 million through its proactive capital investment programme.
For residents, satisfaction remained high at 85.6% for the year, with repairs satisfaction at 91.1%. Clarion continued to deliver a range of resident services throughout the year, from wellbeing and money guidance to employment support and specialist safeguarding provision, with the Group generating £156 million in social value through its activities.
"These financial results demonstrate the underlying strength of Clarion's business model. Operating surplus grew to £289 million and net surplus nearly doubled to £148 million, giving us the platform to invest more in new and existing homes. The development market remains difficult, and that has affected the number of new homes we were able to complete this year. Despite that, we are proud to have delivered 1,466 new homes and to hold a pipeline of more than 22,800 homes for the future. None of this would be possible without our colleagues, whose work delivering repairs, supporting residents and managing our homes underpins everything achieved in these results. I would also like to thank our residents for the trust they continue to place in us as their landlord."
These results cover the year of Clarion's first inspection by the Regulator of Social Housing under the new consumer standards, in which the Group retained its G1 governance grade, achieved an upgraded V1 viability grade and received a C2 consumer grade.