£100m loan for social housing provider

Credit: Shutterstock.com/ RossHelen

The European Investment Bank (EIB) has provided a £100 million loan to Stonewater, a social housing provider with a regional office in Leicester.

The loan will be used over a four-year period to fund planned improvements to existing house stock and the building of new affordable housing, the company said.

The loan is part of around £1 billion of UK housing association loans that have been in the EU bank’s official approved pipeline for several years.

Concerns had been raised over the future of EIB funding in the UK when it leaves the EU, which had led to a lack of progress on loans in 2018.

John Bruton, Executive Director of Finance at Stonewater, said he is “pleased that we have been able to continue to progress this loan as it would be a very beneficial component to the funding of our strategic ambition to increase the number of new homes we build for those in need.”

In 2018-19 Stonewater will have completed 650 new homes.