RSH Uncovers Major Failings at Aves, YMCA Thames Gateway

UK Gov

RSH published 20 regulatory judgements today, as part of its regular batch of outcomes from inspections and responsive engagement.

RSH has published a regulatory judgement for Aves Housing (Aves) today (29 July 2026). Following an investigation, RSH found that Aves is not meeting the Governance and Financial Viability Standard or the Rent Standard.

Aves claims to provide supported social housing in London. It leases the homes and provides tenant services alongside a third party that owns many of them. RSH's findings follow a First Tier Tribunal judgement about benefit appeals and action taken by eight London boroughs to stop almost all payments - due to concerns that the housing is not exempt accommodation and there was no entitlement to housing benefit.

The Tribunal found that Aves made substantial profits for a third party that had control over its operations and overcharged for services. The Tribunal also found that the tenants did not need support or were not provided with support as claimed. In addition, licence agreements had taken advantage of housing benefit rules that allow for enhanced payments. Aves failed to self-refer to RSH following the Tribunal judgement.

RSH has found fundamental failings in the way Aves is run, and has concerns that it has given up control of its business and is not operating as a genuine not-for-profit. Aves has not shown that the board has enough skill, capacity and independence to manage its affairs. RSH expects Aves to get independent assurance to show that it is keeping tenants safe in their homes and mitigating potential risks.

Aves has not shown that it can manage material financial risks. It relied on housing benefits and higher rates of rent as its main income. This has now reduced significantly following action taken by local authorities to stop payments. Aves has also failed to show that its rents are set in a way that meets RSH's Rent Standard and that they are below market rate.

RSH will work intensively with Aves, but the information provided so far has been inconsistent and contradictory. RSH will review all options, including the use of enforcement powers.

Jonathan Walters, Chief Executive of RSH, said:

"Supported accommodation is vital to serve some of the most vulnerable people in society. We will absolutely not tolerate cases where social landlords misrepresent their status as not for profit to take advantage of enhanced housing benefit payments, or charge higher rents when they are not justified.

"We have serious concerns about Aves's ability to solve these issues. Our scrutiny will remain intensive and, if Aves cannot or will not put things right, we will consider using our regulatory and enforcement powers. We continue to work with local authorities and other public bodies to ensure that social landlords meet their responsibilities."

RSH has also published a regulatory judgement for YMCA Thames Gateway (YMCA TG) following an investigation.

YMCA TG does not have an up to date understanding of the condition of tenants' homes. The landlord also cannot show that it meets all legal health and safety requirements, or that it is providing an effective repairs service.

YMCA TG has not effectively managed its risks, which has led to a significant deterioration in liquidity and a failure to ensure covenant compliance. While YMCA TG has managed its position with funders, it has placed its social homes at risk.

YMCA TG's board has been taking steps to address its acute viability position and ensure that its social homes are protected, and it is working positively with RSH.

RSH published a further 18 regulatory judgements today, as part of its regular batch of outcomes from inspections and responsive engagement. These judgements are summarised in the table below.

LandlordConsumerGovernanceViabilityEngagement process
Bassetlaw District Council C2 (first grading)--Inspection
bpha Limited C1 (first grading)G1 (assessed and unchanged)V1 (assessed and unchanged)Inspection
Durham Aged Mineworkers' Homes Association C2 (first grading)G2 (downgrade)V1 (assessed and unchanged)Inspection
Delta Housing Limited - (not assessed yet)G1 (interim grading)V2 (interim grading)Interim judgement
Derby City Council C1 (first grading)--Inspection
Eastlight Community Homes Limited C1 (upgrade)G1 (based on previous assessment)V1 (based on previous assessment)Responsive engagement
East Riding of Yorkshire Council C2 (first grading)--Inspection
English Rural Housing Association Limited C2 (first grading)G1 (assessed and unchangedV1 (regrade)Inspection
Folkestone and Hythe District Council C1 (first grading)--Inspection
Local Space C2 (first grading)G1 (assessed and unchanged)V1 (assessed and unchanged)Inspection
Magenta Living C1 (first grading)G1 (assessed and unchanged)V2 (assessed and unchanged)Inspection
Newark and Sherwood District Council C2 (first grading)--Inspection
Sage Homes RP Limited - (not assessed yet)G1* (assessed and unchanged)V2* (assessed and unchanged)Stability check
Sage Rented Limited - (not assessed yet)G1* (assessed and unchanged)V2* (assessed and unchanged)Stability check
South Kesteven District Council C2 (first grading)--Inspection
Sparrow Shared Ownership Limited C1* (based on previous assessment)G1* (assessed and unchanged)V1* (assessed and unchanged)Stability check
Stoke-on-Trent City Council C2 (first grading)--Inspection
Vico Homes Limited C1 (first grading)G1 (assessed and unchanged)V2 (assessed and unchanged)Inspection

Notes

  1. Exempt accommodation is a form of supported housing where housing benefit is exempt from standard locally set Local Housing Allowance caps, recognising the higher costs of providing care, support or supervision to tenants.
  2. As Aves and YMCA TG own fewer than 1,000 social homes, they are both classed as small landlords. We do not issue grades to small landlords and only publish or update regulatory judgements where we consider there to be serious weaknesses or failings in a landlord's delivery of the outcomes of our standards.
  3. An asterisk (*) next to a landlord's grade means they are a for-profit registered provider.
  4. RSH promotes a viable, efficient and well-governed social housing sector able to deliver more and better social homes. It does this by setting standards and carrying out robust regulation focusing on driving improvement in social landlords, including local authorities, and ensuring that housing associations are well-governed, financially viable and offer value for money. It takes appropriate action if the outcomes of the standards are not being delivered.
  5. For general enquiries email
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