Given the cyclical nature of the UK housing market and the changing political, regulatory and legislative conditions, risk identification, assessment and management are built into every aspect of Countryside’s operations.

The Board has ultimate responsibility for risk management within Countryside and determines the Group’s overall risk profile and appetite for risk in achieving its strategy for long-term value creation. This includes an assessment of the Group’s principal and emerging risks.

How we manage risk

Risk identification and management is built into every aspect of Countryside’s daily operations, ranging from the appraisal of new sites, assessment of the prospects of planning success, building safely and selling effectively to achieve long-term success through the property market cycle. Risk management is built into standardised processes for each part of the business at every stage of the housebuilding process. Financial risk is managed centrally through maintenance of a strong balance sheet, forward selling new homes and the careful allocation of funds to the right projects, at the right time and in the right locations.

Our approach to risk

Role and responsibilities:

  • Sets the Group strategy
  • Determines the Group’s risk policy, overall appetite for risk and the procedures that are put in place
  • Monitors the Group's emerging and principal risks
  • Assesses the progression of principal risks in comparison to the agreed appetite for each risk
  • Reviews the effectiveness of the Group’s risk management and internal control procedures

Role and responsibilities:

  • Has delegated responsibility from the Board to oversee risk management and internal controls
  • Monitors the integrity of the Group’s financial reporting process
  • Monitors the effectiveness of the Internal Audit function and the independence of the external audit

Role and responsibilities:

  • Manages the Group's risk register and assessment of net risk versus risk appetite
  • Determines the appropriate controls for the timely identification and management of risk
  • Monitors the effective implementation of action plans
  • Assesses the Group's emerging risks
  • Review reports from the Internal Audit function
  • Reviews principal claims and litigations
  • Review teh annual renewal of the Group's insurance cover

Role and responsibilities:

  • Undertakes independent reviews of effectiveness of internal control procedures
  • Reports on effectiveness of management actions
  • Provides assurance to the Audit Committee

Role and responsibilities:

  • Responsible for identification of operational and strategic risks
  • Responsible for ownership and control of specific risks
  • Responsible for establishing and managing the implementation of appropriate action plans

Board, Audit Committee and Risk Management Committee responsibility

The Board reviewed the Group’s risk register and the assessment of the Group’s principal and emerging risks.

The Audit Committee has considered the effectiveness of the Group’s systems and has taken this into account in preparing the Viability Statement (view within Annual Report 2021).

The Audit Committee reported on its findings at the Board’s 4 October 2021 meeting, in order to support it in making its confirmation that it had carried out a robust assessment of the principal and emerging risks.

Principal risks and uncertainties

The Group’s principal risks are monitored by the Risk Management Committee, the Audit Committee and the Board. To view the Board’s assessment of the principal and emerging risks, including those that would threaten its business model, future performance, solvency or liquidity please read our annual report. 

View principle risk and uncertainties

Emerging risks

The Risk Management Committee regularly undertakes an assessment of emerging risks and, where identified, agrees steps to monitor the likelihood of the risk developing further and its potential quantum. The results are reported to the Audit Committee and in turn the Board.

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