Consultation on the proposed transfer of Merlin Housing Society to Bromford Housing Association

• align legal arrangements with how services already operate - Merlin customers already receive services through Bromford’s systems, teams and standards
• create a simpler, easier‑to‑manage organisation - Fewer legal entities reduce complexity and streamline governance and oversight
• reduce costs and make better use of resources - Simplifying the structure removes duplication in governance, reporting and administration, creating savings that can be reinvested in homes, services and communities, while supporting long‑term stability

A Transfer of Engagements allows Merlin Housing Society Limited (Merlin) to transfer all of its assets such as homes and offices to Bromford Housing Association Limited (BHA), as well as its liabilities.

This would enable us to continue to deliver our operations and contractual agreements without stopping, making it a seamless process. BHA has agreed in-principle to the transfer and the Regulator for Social Housing has been informed of the proposed transfer. For it to go ahead, Merlin’s shareholders need to agree to it, and they will be asked to consider this later this year.

There would be no change to your tenancy agreement/lease, or to your rights. The only difference would be that the name of your landlord/freeholder would change to Bromford Housing Association Limited. You won’t need to sign a new tenancy agreement/lease. Whether you are a tenant, shared owner, leaseholder or want to buy your home using the Right to Buy, you would have the same rights and protection that you have now.

All colleagues would move into BHA – all colleagues are already on joint contracts of employment between BHA and Merlin. They have been fully briefed about the transfer and understand the reasons why this is being proposed by the Board.

Your rent and service charges are set to increase from April 2027, but this would still happen if your tenancy continued with Merlin. Rent increases for social housing tenants are regulated by the Regulator of Social Housing with a maximum increase of CPI (Consumer Price Index) plus 1%.

All services would continue to be provided through the teams you already know. You would still be able to contact us, report a repair and pay your rent all in the same way as you do now.

There would be no initial change to the contractors who carry out repairs and improvements to your home and the directly employed colleagues at Merlin would still complete your repairs as they do now. Shared owners and other leaseholders would remain responsible for repairs and maintaining their own homes, unless there are agreements in place for us to carry these out.

Our offices would continue to be open, and you would still be able to contact us on the usual telephone numbers.

The only disadvantage we have identified with the proposal is that Merlin would cease to exist following completion of the Transfer as it would become part of BHA.  However, we feel that the Transfer is in the interests of customers as it would put the new combined organisation in a better position to withstand external economic pressures, other benefits are listed below in question 1.

The Transfer of Engagements would inevitably involve initial colleagues time and external advisors’ costs. However, we are confident these costs would be quickly recovered through the savings that a larger, streamlined organisation would achieve. Customers will bear none of the costs of the consolidation and the savings made in the longer term would mean we are able to improve and add to the services customers benefit from.

Yes – both Merlin and BHA are committed to involving customers in the way services are shaped, improved and delivered.  There are opportunities for customers to be involved in decision-making which would continue. We remain committed to involving our customers in shaping both our services and communities. Through the delivery of the Customer Influence Framework, we are ensuring that every voice is heard and valued.

The Merlin Board will be considering the outcomes of consultation and whether to proceed with the transfer later this year. If the Merlin and BHA Boards vote in favour of the Transfer of Engagements, we are proposing that the transfer happens on or before the end of March 2027.    

We will let all customers know about the outcome of the Board discussions in XXXX.

You can submit additional questions using our webform at bromford.co.uk/merlin or call us for us to complete the webform on your behalf 0330 1234 034.