The Pioneer Group secures £55m funding for 250 new homes
9 July 2026
The long-term rent settlement last year has allowed us to increase our ambitions to 250 new homes.
The Pioneer Group has secured a £55 million funding package from long‑standing banking partners Santander and Nationwide, strengthening its ability to deliver around 250 new affordable homes over the next five years.
The funding comprises £35 million from Santander and £20 million from Nationwide, structured as revolving credit facilities over 5-8 years, giving Pioneer the flexibility to draw down funding as required to support its development programme.
The investment will underpin Pioneer’s Development Strategy, which sets out plans to grow by 10% and deliver high‑quality, affordable homes across north Birmingham. The organisation is aiming to build around 250 homes over the next five years, mainly for social rent, supporting local housing need while continuing its long‑standing commitment to creating strong, sustainable communities.
These latest agreements build on relationships spanning more than two decades. Nationwide has supported Pioneer since 2004, with Santander working alongside the organisation since 2009, partnerships that have been central to enabling Pioneer’s growth and stability.
Pioneer has already begun work on delivering new homes as part of its wider ambitions, with recent developments at Burcote Road and Lindridge Drive providing 36 new social rent homes and marking an important first step in its development pipeline.
Martyn Hencher, Finance Director at The Pioneer Group, said: “Birmingham has a desperate need for new social housing. The long-term rent settlement last year has allowed us to increase our ambitions to 250 new homes. This new funding provides us with the flexibility to commit to new sites as soon as they are ready.
“We are particularly proud to be continuing our long‑standing relationships, built over decades, with Nationwide and Santander. Having funders who truly understand us and our communities is incredibly important to us. The new funding has also improved our covenants so we have more financial headroom. That gives us confidence and capacity to develop more while knowing our financial plan is still very resilient.”
The revolving nature of the facility ensures Pioneer can draw funding as needed, reducing cost of carry and risk.
Pioneer will deliver its programme through a combination of land acquisitions, package deals and strategic partnerships, including several sites developed in partnership with Birmingham City Council.
Savills Financial Consultants acted as treasury arranger, with legal support provided by Addleshaw Goddard for Nationwide and Santander and Bevan Brittan for Pioneer.
Alex Mogan, Director at Savills Financial Consultants, said: “This round of financing represents another important milestone in two long-standing borrowing relationships for Pioneer, which introduces a great level of flexibility to the organisation as it embarks on the next phase of growth over the coming few years”
Deena Yadav, Relationship Director, Social Housing at Santander Corporate and Commercial Banking, said: “We are delighted to have supported our long-standing client The Pioneer Group with a funding package that will allow them to deliver much-needed new social housing. We have confidence in The Pioneer Group’s strategy and commitment to supporting affordable housing delivery, and as a long-term supporter of the sector, we are committed to delivering positive community outcomes through flexible, strategic financing.”
Steve Goodyer, Senior Relationship Manager at Nationwide Building Society, said: “We are delighted to provide a new £20 million facility to The Pioneer Group, a valued and long-standing Nationwide customer. Our relationship with Pioneer spans more than two decades, and this latest transaction reflects our continued confidence in the organisation, its strategy and its commitment to delivering much-needed affordable homes. The eight-year revolving credit facility will give Pioneer additional financial flexibility to invest in its housing stock and progress its development ambitions. We are proud to continue supporting Pioneer’s work and the communities it serves.”