Peabody and Catalyst merger confirmed

Peabody and Catalyst have confirmed plans to merge and create a 100,000-home housing association, following resident consultation and board approval. Catalyst will become part of the Peabody Group on 1 April, subject to lender consent and Catalyst shareholder approval. The proposals, revealed in July, would see Peabody chair Lord Kerslake become designate chair of the new company, with Catalyst’s Ravi Rajagopal as vice chair. Catalyst chief executive Ian McDermott (pictured) will take over the interim chief executive role at Peabody on 1 October. After four years leading Peabody and two decades as a chief executive in the sector, Brendan Sarsfield steps down today (30 September). Sarah Thomas, chief operating officer at Catalyst, will lead Catalyst until the merger. The companies said positive discussions with lenders have begun and “an early priority for both organisations will be to establish new structures to deliver a regional model with more locally based teams”. McDermott said: “Together, we can go further and faster on improving services and driving progress on all our strategic challenges. We’ll invest in our homes and in our people to make sure we’re doing everything we can to support people living in our neighbourhoods.” Lord Kerslake added: “This merger represents an opportunity to make a real difference and worthwhile contribution to so many lives. Our commitment to genuinely affordable rents in London and surrounding areas is undimmed, and the need has never been greater. “With upcoming cuts to universal credit and an emerging cost of living crisis already starting to hit, people are going to need support more than ever.” To send feedback, e-mail emma.rosser@eg.co.uk or tweet @EmmaARosser or @EGPropertyNews Image courtesy of Catalyst Housing