Rapport Housing Slapped with Regulatory Warning Over Financial Chaos
The Regulator of Social Housing has slammed Rapport Housing and Care for serious governance and financial blunders. A regulatory notice published on 31 March 2023 reveals the housing provider has breached crucial standards.
Financial Missteps Spark Liquidity Crisis
An investigation uncovered a string of failures in Rapport’s financial management. The firm didn’t stress test its business plans properly and ignored the risks of taking on new liabilities. This poor planning has sparked major liquidity problems and regulatory compliance risks.
Board Under Fire for Lack of Oversight
The watchdog blasted Rapport’s board for lacking the skill, independence, and foresight needed to steer the organisation. In response, it has appointed interim officers to inject fresh expertise and tackle the failings head-on.
Harold Brown, Senior Assistant Director for Investigations and Enforcement, said:
“This is a fundamental failure of governance by Rapport, including ineffective management of its financial risks which led to significant liquidity issues. Rapport needs to address these issues urgently and we are working with the provider intensively to ensure that it does so.
As part of this approach we have appointed statutory officers to strengthen Rapport’s board, to help provide the capacity needed to support the management of its financial position, ensure that tenants remain safe, and address weaknesses in its governance.”
