Homelessness Provider Lands V1 and G1 Ratings Following Inspections

Local Space, a not-for-profit housing association that helps families experiencing homelessness settle in safe, long-term homes, has received confirmation of its strong governance and financial resilience following a recent inspection by the Regulator of Social Housing. The organisation works closely with London boroughs to acquire and refurbish existing properties, helping reduce reliance on temporary accommodation.

Homelessness in 2026 is at a record high. Government statistics show concerning number of figures that rank the highest since records began, including rough sleeping and the amount of families living in temporary accommodation. Figures from August 2025 show 4,793 people were homeless on England’s streets, a record high and a 171% increase since 2010 when official records began. These figures are gathered by one-night counts and estimates from frontline workers, and often considered to be an underestimate when related to how many people are truly sleeping on the streets. London keep a track of their own rough sleeping count, which is considered to be a more accurate portrayal. Between April 2023 and March 2024, an estimated 13,231 people were seen sleeping rough in London, a record high and a 10% increase on the previous year.

Local Space retained its G1 governance and V1 viability ratings, alongside a C2 consumer grading as part of the regulator’s consumer inspection programme, with the C2 grading recognising a compliant organisation while identifying some areas for further improvement.

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The regulator concluded that Local Space meets its governance and financial viability requirements, citing the effectiveness of its governance arrangements, its “strong financial profile” and its capacity to withstand a wide range of adverse scenarios. The judgement also recognised the organisation’s funded business plan, sufficient liquidity and robust approach to risk management.

The inspection highlighted Local Space’s understanding of the condition of its homes, its use of tenant feedback and the opportunities it provides for residents to influence decision making.

The regulatory judgement follows a year of positive external recognition for Local Space. Earlier this year, S&P reaffirmed the organisation’s AA- credit rating, the highest currently awarded by S&P to a registered provider of social housing, providing further independent confidence in its financial strength and long-term resilience.

Local Space has also continued to strengthen its funding position, with Lloyds Bank recently agreeing to extend an existing £35m facility, providing additional flexibility as the organisation continues to invest in homes and services.

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Josie Parsons, chief executive officer at Local Space, said: “As we celebrate 20 years of providing settled homes across London, we’re proud that the regulator has recognised the strength of our governance, financial resilience, customer focus and long-term planning.

“Independent assessments such as these matter because they provide confidence to residents, partners and investors that Local Space has the right foundations in place to deliver sustainable growth and long-term impact.

“While we’re proud of what we’ve achieved over the past 20 years, we’re equally focused on the future and on continuing to strengthen our services so we can support even more people across London.”

This year also marks Local Space’s 20th anniversary. During this time, the organisation has helped thousands of people access safe, secure housing across London and continues to pursue its ambition to expand housing supply across the capital.