Hedyn reports £105m turnover £8.7m surplus
Hedyn, the newly formed housing association in south-east Wales, released its first Annual Report showing a turnover of £105.2 million and a surplus of £8.7 million for the 2025/26 year. The figures follow the merger of Newport City Homes and Melin Homes in April 2025. The report provides a full overview of the organisation’s financial position and strategic direction.
Financial footing and regulatory standing
The report lists total assets of more than £818 million, providing a solid base for future investment. The association also received a Green/Green regulatory judgement from the Welsh Government, confirming it meets standards for governance and financial viability.
A reinvestment rate of 10.1% indicates the organisation’s emphasis on maintaining existing homes while adding new ones. The surplus and asset level together create capacity for further growth without compromising fiscal health.
Housing delivery and development pipeline
During its first year, Hedyn completed 231 new homes. An additional 472 units are under construction, and a pipeline of 1,634 homes represents over 11% of its current portfolio.
The scale of the pipeline reflects the association’s ambition to address rising demand for affordable housing in the region. By consolidating the two predecessor organisations, the new body can leverage combined expertise to accelerate construction timelines.
Resident engagement and service integration
The organization highlighted progress in unifying services, teams and digital platforms to offer a consistent resident experience. Through its Buzz and Consultative Panel, it gathers feedback early, using data and technology to improve services and get things right first time.
This approach supports the organization’s goal of improving outcomes for residents.
Community benefits and regeneration projects
Community investment reached more than £114,000 in direct benefits, while partnerships secured over £553,000 for local initiatives. These funds target priorities identified by residents and local authorities.
In Newport, the first phase of the Ringland regeneration programme delivered 38 new homes and 12 commercial units, revitalising the neighbourhood in collaboration with Lovell, Newport City Council, Cardiff Capital Region and the Welsh Government.
A partnership with Reality Theatre enabled residents of Westgate Court, a scheme for older adults, to develop and perform a creative workshop piece, building confidence and social connections.
Leadership outlook
Chief Executive Paula Kennedy said the merger was intended to build financial resilience, expertise and capacity for residents. She noted that the first year “has been about laying strong foundations” and emphasized a focus on affordable homes, service enhancement and community opportunities.
The organization plans to continue expanding its affordable housing supply, invest in existing properties and refine resident services. The next phase will rely on the financial strength and collaborative framework established during its inaugural year.
