Platform Housing Group Raises £250m with Record-Breaking Sustainability Bond

We’ve taken another major step forward in our sustainability journey, successfully raising £250 million through our latest bond issue — and breaking records in the process. 

Issued under our £2 billion Euro Medium Term Note (EMTN) programme, the 14-year bond was priced at Government gilts plus 0.75%, marking a record-low borrowing spread for own-named issuance in the social housing sector. In simple terms, this shows that investors see us as a strong, low-risk and trusted organisation — and the results certainly prove it. 

Demand for the bond was exceptional, with the order book nearly five times oversubscribed and 60 investors taking part. The pricing translated into a coupon and yield of 5.52%, giving us one of the lowest borrowing costs ever achieved in the sector. 

Chief Finance Officer, Rosemary Farrar, said: 

“The strong performance of this issue reflects our ongoing engagement with the debt investor community and our focus on balancing investment with maintaining financial strength. We’re incredibly pleased that our investors continue to recognise the huge attractiveness of the social housing sector and support the projects that help us deliver real social and environmental value.” 

The proceeds will be used in line with our Sustainable Finance Framework, funding the development of energy-efficient new homes (EPC A or B rated), affordable housing for those unable to access private markets, and retrofit and decarbonisation projects — including upgrades to our vehicle fleet. 

To support prudent risk management, we entered into a gilt lock derivative on £100 million of the issuance, fixing that portion of the rate ahead of completion. Group Treasurer, Ben Colyer, explained: 

“The transaction was a great proof-of-concept for our EMTN programme and investor relations strategy. Gilt rates had been falling and hit year-to-date lows, so we moved quickly — completing the issue in under two weeks. The record-breaking low spread speaks volumes about the trust we’ve built with investors.” 

In the week before the issue, we held daily hedging reviews to decide whether to fix rates. The gilt lock not only shaved a few extra basis points off part of the deal but also helped spread the interest rate risk as we approached execution. 

The success of this transaction — coordinated with Lloyds Bank Corporate Markets, Barclays Bank and HSBC Bank as active bookrunners — underlines the strength of our reputation in financial markets. Bevan Brittan and Addleshaw Goddard acted as legal advisers, Savills undertook security valuations, KPMG served as auditors, and M&G acts as bond trustee. 

This is a real milestone for us — one that strengthens our ability to keep investing in what matters most: our homes, our customers, and our communities across the Midlands.