Moody’s credit rating change for housing associations

Credit Rating Agency Moody’s has downgraded the outlook for all housing associations, who are rated by them, from ‘stable’ to ‘negative’. Genesis Housing Association is included within the list of those downgraded. Moody’s took the decision to downgrade the outlook for housing associations following the downgrade of the UK Sovereign outlook earlier in the week due to the significant role that support from the UK Government plays in underpinning housing association credit ratings.

Robert Kerse, Finance Director at Genesis, commented on this rating outlook change: “The impact of this decision is unlikely to be significant to housing associations and certainly does not reflect deterioration in our businesses. Housing association may see a slight decline in the performance of their bonds as investors look towards slightly higher returns on our debt compared to Utilities and corporates who do not have strong links with Sovereigns.

"However, Moody’s rating is consistent with what is happening to numerous banks and other organisations linked to governments around the world and Genesis has been making the right changes to put us in a stronger position for the future."

-ends-

For more information contact Ben Ashmore, 0207 563 0298 or ben.ashmore@genesisha.org.uk