Subscribe to trusted local news
If you are accessing this story via Facebook but you are a subscriber then you will be unable to access the story. Facebook wants you to stay and read in the app and your login details are not shared with Facebook. If you experience problems with accessing the news but have subscribed, please contact subscriptions@thestrayferret.co.uk. In a time of both misinformation and too much information, quality journalism is more crucial than ever. By subscribing, you can help us get the story right.
- Subscription costs less than £1 a week with an annual plan.
Already a subscriber? Log in here.
01
Sept
Brierley Homes set to report another multi-million pound loss
Brierley Homes is expected to make a £5.8 million loss in the current financial year, a new report reveals.
The company, which is owned by North Yorkshire Council, was founded to build homes that fund council services.
However, the loss-making firm has been propped up by a £27 million council loan and faced criticism for wasting taxpayer money.
Now, according to a report before the council's shareholder committee on September 8, the company is forecast to report a loss of £5.8 million in 2026/27 — of which £3.7 million is loan interest due to the council.
It comes after the firm posted a £7.47 million loss in 2025/26.
The financial outlook for Brierley Group companies. Picture: NYC.
Kerry Metcalfe, assistant director of commercial, property and procurement at the council, said in the report that Brierley Homes had implemented a five-year business strategy and is predicted to move into profitability in 2027/28.
She said legacy debts and loan interest would continue to affect the company in the short term.
Ms Metcalfe said:
The short-term position remains difficult with loss making projects being completed and high loan interest costs and other legacy debts weighing heavily on the company’s performance.
However, it is forecast that the losses will start to reduce as new projects begin to have an impact before the company returns to a more sustainable trading position with annual surpluses from 27/28 being used to pay down loans and accrued debt.
It comes as the company reported a £1.05 million loss for the first quarter of the 2026/27 financial year.
Brierley Homes is one of eight council-owned companies that make up the Brierley Group.
The group is expected to report a loss of £2.6 million in 2026/27, which is largely driven by the forecast losses at Brierley Homes.
The report said delays in projects in the last year are expected to continue to affect the firm’s performance for the rest of this year.
Cashflow issues
Brierley Homes, which was founded in 2017, oversees housing developments across the county.
Current projects include Laverton Oaks at Kirkby Malzeard, The Paddocks at Great Ouseburn and Yew Tree Farm at Marton-cum-Grafton.
The company has been criticised by councillors for being too reliant on council loans to help its cashflow issues.
The council’s most recent decision in March saw it approve a £300,000 drawdown from a £27 million loan facility for the firm.
In May, council chiefs were warned that £7 million of the £27 million loan may still be outstanding in five years.
The move has led opposition councillors, including Greens and Liberal Democrats, to call for greater transparency over the company.
1