1. “May you live in interesting times” Residents Forum 24 th November 2015Item: 6 Rita AkushieDeputy CE/Group Finance Director

3. 3 Key Issues −Right to Buy −Welfare Reforms/Budget − Big Picture

4. RTB (1) Replace Brownfield Fund Treasury Fund HA Discounts Council Sells

5. RTB (2) Proceeds to HA (less discounts) Discount paid to HA HA builds replacement Resident Buys

6. RTB (3) Council sales income? London issue Independence of HAs Section 106s, Rural Schemes, Supported, etc.

7. What will RTB mean for Newlon?

10. RTB (4): Newlon Operational Issues Time to replace Replacement areas Fraud prevention Administration (valuations)

11. RTB (5): Newlon Operational Issues Charges to Lenders Buy to Let Landlords What and where should be excluded? What else?

13. Budget 2015

14. Pay to stay No HB for 18 – 21 year olds Welfare cap (£23k London) End lifetime tenancies Rip up HA rent settlement

15. Rent Increases and Decreases

16. YEARBusiness PlanNow 2016+1.5%-1.0% 2017+2.2%-1.0% 2018+2.2%-1.0% 2019+2.4%-1.0% And in Newlon’s business plan

23. Way forward Total savings of £13.1m required Includes £8.3m in services/overheads Plus £4.8m savings in Stock Investment In discussion with Regulator, Lenders and Rating agency Any other questions?

25. Response to Changes – Growth/Capital Size of development programme Shape (tenure) of development programme Decent homes Life Cycles

26. Strategy (1) Group structure M & A Diversification Shared Services De-register Use non-RP part of Group

27. Strategy (2) Sell poor performing assets Rationalise Interest cost + certainty Any other ideas?

28. A careful plan?