Peabody’s TCH secures extended loan as The Co-operative Bank sees strong opportunity

Town & Country Housing (TCH), part of Peabody Group, has secured a £33m extension to its existing £32m loan from The Co-operative Bank, the first new money the bank has lent to the sector for many years.

Published: 31/01/2025

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The loan extends an existing facility for 10 years. It will be used to help TCH continue to maintain and invest in residents’ homes, reduce its carbon footprint, and complete the regeneration of the Showfields estate in Tunbridge Wells.  

The Co-operative Bank has a long history of lending to the social housing sector and, after a period of only maintaining existing facilities, in 2024 the Bank re-affirmed its intention to expand support again. Described by the bank as a “watershed moment”, this is the first in a series of similar transactions it’s looking to complete in the next few years. 

A spokesperson for the bank said it shares the sector’s “zeal for tackling the social housing crisis” and sees it as a “strong opportunity” for growing its loan and deposit books. He said that from a credit risk perspective, the durable income streams and strong property bases that most registered social landlords have, mean that social housing “ticks every one of our boxes positively”. 

“If we can help by providing appropriate and competitive lending and deposit products, then we will be genuinely proud to do so.”

Colin Lissendon, Managing Director of TCH, said: “The bank’s decision to invest in the sector again is a positive for us as we continue to spend on essential maintenance and make improvements to residents’ homes and complete our Showfields regeneration scheme. 

“We’re always looking for opportunities to develop our relationships with financial institutions and look forward to what the future brings.”

TCH became part of Peabody Group in 2019 but continues to operate as a separate subsidiary. It has more than 13,000 affordable homes across Kent, Surrey and Sussex, which fall under Peabody’s South Counties region. Peabody Group is spending £1m a day maintaining and improving residents’ homes and is working hard to make all homes as energy efficient as possible. It’s also focused on listening to residents and improving the services and support it provides in communities to meet residents’ needs.