Thank you, Mr Chair. As we look ahead to the OSCE Ministerial Council in Lodz next week, Russia’s unprovoked and illegal invasion of Ukraine – supported by the Belarusian regime – will rightly be a central focus. The Russian Government’s repressive actions externally in Ukraine and internally within Russia have struck at the heart of the OSCE’s core principles; principles we have all committed to for our collective security, and for a more peaceful, just and stable future. Through its actions, the Kremlin has demonstrated that it prefers war over peace; death over life; chaos over stability; and isolation over cooperation.

Just yesterday, missile strikes on Ukraine plummeted Ukrainian cities into darkness and caused massive blackouts in Moldova. As other colleagues have mentioned, a new-born baby was killed in a missile strike on a maternity unit in the southern Zaporizhzhia region. This baby is but one life amongst thousands of lives lost, because of the decisions of one man, President Putin. At the UN Security Council Session last night, we reiterated the message – Russia’s systematic attacks on Ukrainian civilians and civilian infrastructure are unacceptable and must end.

And what has Russia achieved in return? The past nine months have been testament to the grave miscalculation Putin made when he chose to invade a sovereign neighbour. Not only has Russia achieved none of the strategic objectives of his invasion, Putin has underestimated the unwavering bravery and resilience of the Ukrainian people, and the resolve of the international community at every turn.

Nowhere is this clearer than in Kyiv, Kharkiv and Kherson. When Putin sent his forces into Ukraine, he thought Kyiv would fall in a matter of days. Whilst his military was being driven back by Ukrainian forces, he declared Kherson part of Russia ‘forever’. Ukraine has shattered Putin’s delusional belief that he could seize Ukrainian sovereign land, and be welcomed by those he sought to subjugate.

Mr Chair, President Putin would have the world believe Russia is liberating Ukraine. However, the real legacy of his illegal war – what his war of choice has actually achieved – will be nothing but death and destruction:

• So far there are more than 16,700 civilian casualties, including over 6,500 killed;
• 17.7 million in need of humanitarian assistance;
• over 7.8 million refugees;
• 6.5 million internally displaced people; and
• We have just heard from our Ukrainian colleague about the millions who have been left without electricity, water or heating as temperatures have begun to drop below zero.

The Kremlin can continue to try to distract and deny responsibility for the atrocities committed by its military forces, however no lie, no disinformation, no false truths can erase the memories of the countless Ukrainians subjected to atrocities and war crimes. Putin cannot defend robbing Ukraine’s 5.7 million school-age children of a safe and stable education.

And the repercussions of Russia’s war are not only being felt in Ukraine, but worldwide. Global food markets have been severely disrupted, hitting the poorest the hardest, accompanied by an eightfold increase in global energy prices caused by Russia turning off their gas taps. Almost every corner of the world has been impacted by Putin’s war in some way; the economic aftershocks will be felt for years to come.

Russia’s illegal invasion of Ukraine has unleashed a Pandora’s Box of suffering, pain, death and devastation on Ukraine and the wider world – but Russia can bring it to an end. Russia needs to cease hostilities, withdraw from within Ukraine’s internationally recognised borders, and adhere to its international obligations and commitments – without conditions.

Last week’s guilty verdict, convicting 3 individuals of murder in relation to the downing of MH14, was an important step in securing justice for the families of the victims.

Mr Chair, the UK is proud to have stood with Ukraine from the very beginning of this barbaric war. We will continue to do so. We are humbled by the strength and determination shown by Ukraine in defence of the principles of sovereignty and territorial integrity. Next week, as we gather in Poland, we call on participating States to champion the OSCE commitments that underpin our collective security; to defend and uphold international law; and to hold those responsible for atrocities to account. We cannot and will not allow Russia’s behaviour to go unimpeded.

Since March 2021, UK PACT has been addressing the deforestation that takes place in the southern Mexican state of Chiapas by supporting eco-friendly, sustainable economic activities.

Deforestation in Chiapas is a significant problem. According to Global Forest Watch, the state lost 574 thousand hectares of rainforest between the years 2001 and 2018, representing an average of 32 thousand hectares cleared every year. The main causes that drive deforestation are cattle ranching and farming, which local populations need to subsist. This is the reason why it is important to promote non-timber activities in the state, especially in protected areas.

Resin is the natural liquid produced by some tree species such as the ocote pine, endemic to Chiapas. It is used in the production of a variety of natural chemical products like varnish, adhesive and cleaning agents. Sustainable harvesting of resin helps preserve the rainforest in two ways. First, it recognises the long-term value of this tree species and, second, communities act together to protect these trees and their habitat.

UK PACT is supporting four municipalities in Chiapas to harvest sustainably the resin while substantially increasing the output and raising annual incomes. Currently, 200 local producers are participating in trainings to improve their technical skills in resin tapping, collection and storage, tool conservation and maintenance, and management of resin production areas. They also receive financial education to improve their business skills. In addition, resin producers from the state of Michoacán provide workshops to share their expertise and experience on forest care and resin harvesting.

A key market barrier in the resin value chain is the requirement to produce a minimum of ten tonnes. The capital outlay for this quantity is very high and was discouraging individuals and communities alike from participating in resin production. In response, UK PACT set up a credit facility called the “Resin Producers Fund” to cover up to 90% of their production expenses. Upon payment from the buyer, the producers return the loan plus a small amount to cover costs. Rising demand, including from Guatemala, has made the new system so cost-effective that it is attracting neighbouring communities to enter the resin business.

Alonso B, a resin producer from the ‘Corazón del Valle’ community, explains:

I have been producing resin for three years. At the beginning, I had enough production to fill four buckets. Now, thanks to the training I have received, I am producing 14 of them.” In 2019, the communities of California and Nuevo Vicente Guerrero abandoned resin harvesting, as it was no longer profitable. With UK PACT support, the situation has changed with resin production reaching an estimated ten tonnes.

For the next year, this project will continue to strengthen the business and technical skills of the resin producing communities in Chiapas. This partnership between the UK and Mexico will continue to improve the livelihoods and incomes of resin harvesters while reducing deforestation in the south of the country.

The Regulator of Social Housing has today (24 November 2022) published the results of its latest quarterly survey of private registered providers’ financial health.

The report covers the period from 1 July 2022 to 30 September 2022. It shows that the sector continues to have enough liquidity to cover forecast spend on interest costs, loan repayments and investment in new homes over the next 12 months. However, it is clear that significant wider economic challenges were starting to have an impact on providers’ finances before the end of September.

Providers expect to see an average operating interest cover, excluding sales, of 92% over the next 12 months. This compares to 111% in the previous year. Although both the forecast and outturn averages exclude surpluses from sales activity, they are still among the lowest levels on record. Providers report this to be a result of higher spend on repairs and capital investment, as well as rising interest payments.

The sector continues to secure new capital, with total agreed borrowing facilities reaching £119.7 billion at the end of September – up £0.4 billion in the quarter. New finance of £1.4 billion was agreed in the quarter, with 58% of new facilities from capital markets.

Providers invested £1.6 billion in repairs and maintenance over the quarter. This was 12% higher than the previous quarter but lower than forecast. Providers reported that material and labour shortages continue to cause delays to repair programmes.

Providers invested £3 billion in new homes between July and September; higher than the previous quarter but 15% below forecast for contractually committed schemes. Total spend on new homes is expected to reach £17.3bn over the next 12 months, a 38% increase compared to the previous year, as earlier underspends are reprofiled.

Will Perry, Director of Strategy at RSH, said:

While registered providers continue to maintain sufficient liquidity, we are starting to see the impact of very challenging economic conditions on providers’ finances, particularly forecast interest cover.

Boards will need to take a strategic approach to monitoring economic risks as they focus on their key objectives of investing in new and existing homes, and providing quality services to their tenants.

The quarterly surveys are available on the RSH website.

Notes to editors

1. The quarterly survey provides a regular source of information regarding the financial health of private registered providers, in particular with regard to their liquidity position.

2. The quarterly survey returns summarised in the report cover the period from 1 July 2022 to 30 September 2022. The latest report is based on regulatory returns from 205 PRPs and PRP groups which own or manage more than 1,000 homes.

3. Additional disclosures have been added to the quarterly survey return from April 2022: new lines have been added to the cashflow statement to provide an enhanced breakdown of sales receipts and repairs costs, and narrative questions regarding delays or changes to repairs and maintenance programmes have been introduced.

4. For press office contact details, see our media enquiries page. For general queries, please email enquiries@rsh.gov.uk or call 0300 124 5225.

5. The Regulator of Social Housing promotes a viable, efficient and well-governed social housing sector able to deliver homes that meet a range of needs. It does this by undertaking robust economic regulation focusing on governance, financial viability and value for money that maintains lender confidence and protects the taxpayer. It also sets consumer standards and may take action if these standards are breached and there is a significant risk of serious detriment to tenants or potential tenants.

Published 29 July 2022
Last updated 24 November 2022 + show all updates