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Social housing completions in Scotland drop by a quarter
The number of new social homes completed in Scotland has fallen by a quarter in the past year, according to official statistics.
In the 12 months to June 2024, the social housing sector in Scotland completed 5,053 homes and started work on 3,501 homes. Social housing completions were down 25% from the previous year, while social housing starts were down 5%.
Housing associations completed 3,480 homes in the 12-month period, down 26% on the previous year, while local authorities completed 1,573 homes, down 20%.
In the same period, the private sector built 14,240 homes and began work on 11,795 homes. All sector completions and starts were 17% lower than in the previous 12 months.
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The completion figures were the lowest since 2020, when COVID-19 impacted housebuilding, while the starts figures were the lowest since 2013 in both the social and private sectors.
Under the Scottish government’s Affordable Housing Supply Programme, in the 12 months to June 2024 there were 6,966 approvals, 6,422 starts and 9,295 completions of affordable homes.
Completions and starts through the grant funding programme were down by 14% (1,556 homes) and 10% (734 homes) respectively compared to the prior 12 months. However, approvals increased by 15% (906) between 2023 and 2024.
The Scottish government has a target of delivering 110,000 affordable homes by 2032, of which at least 70% will be for social rent and 10% will be in rural and island communities.
By June 2024, 22,743 affordable homes had been completed towards the target. These consist of 17,289, or 76%, homes for social rent, 3,219 (14%) for affordable rent and 2,235 (10%) for affordable homeownership.
Scotland’s affordable housing budget was cut by £196m in last year’s budget and has been slashed by 37% in the past two years.
The development figures were released at the same time as the number of homeless children living in temporary accommodation in Scotland surpassed 10,000 for the first time.
The Scottish Federation of Housing Associations (SFHA) claimed that the figures showed a “collapse in housebuilding” in Scotland.
Sally Thomas, chief executive of the SFHA, said: “Repeated Scottish government cuts to the affordable housing budget have made it ever more difficult for housing associations to deliver the safe, warm, affordable homes that everyone deserves as a basic human right.
“We’ve seen some recognition from Scottish government that this is an emergency, so ahead of the Scottish budget we need to see radical action to match that and to invest in our social homes. This is a dire situation, but there is time to turn things around if we act with purpose.”
Scottish housing minister Paul McLennan said: “We have a strong track record in supporting the delivery of affordable homes with more than 133,000 homes completed since 2007, including more than 94,000 social rented homes. We will continue to build on that record with a total investment of almost £600m in affordable housing this year.
“We have boosted the Affordable Housing Supply budget by £80m over the next two years to further increase the supply of social and affordable homes. Plus, we have committed an additional £2m this year to councils with the greatest and sustained pressures on temporary accommodation to make use of existing housing stock.
“We are also looking for innovative ways to boost investment in housebuilding and as part of this year’s Programme for Government we announced a £100m investment in mid-market rent homes, which will be grown alongside private investment to £500m.”
