After careful consideration by the Board, external financial advisors and the Council, we are pleased to share that our business plan for FY2026–30 has been approved by the Council’s Shareholder Sub-committee at its meeting on 24 July. The approval of the plan demonstrates the Council’s clear confidence in This Land to deliver sustainable, high-quality developments that provide value for all of its stakeholders.
Like many other developers, This Land’s operations have been affected by the pandemic and challenging market conditions, including rising interest rates, inflation, and increased construction costs. These challenges were compounded by the original arrangements of the loan provided by the Council, resulting in high initial interest repayments. However, under the approved plan, This Land will return to the Council at least the equivalent of the original cash investment over the loan's lifetime, through a combination of loan repayments and interest payments, ensuring that Council taxpayers have not lost money.
Since 2016, This Land has paid over £42 million in loan interest to the Council. Under the approved plan, This Land will pay at least an additional £21 million in interest by 2029, alongside £60 million of principal repayments, generating a further £81 million of positive cashflow for the Council by 2030.