Cash held on the balance sheets of England’s largest registered providers has fallen to the lowest figure in a decade.

The Regulator of Social Housing’s (RSH) latest quarterly survey of more than 200 large providers shows cash reduced from £4.4bn to £4.2bn in the final quarter of 2023 compared to the previous quarter. RSH said by contrast, before the pandemic balances were £5.8bn.

This is the seventh consecutive quarter in which cash has reduced and levels are now at their lowest for 10 years. RSH forecasts cash falling further to £3.1bn over the next 12 months as associations dip into their reserves to fund development programmes.

The RSH said: “Providers continue to face inflationary cost pressures, combined with ongoing demand to improve the quality of existing stock; expenditure on which has continued to increase.