New homes built by council and housing associations down almost a fifth

The number of new homes built by council and housing associations fell by almost a fifth last year, new figures have revealed.

Published 13th Sep 2016

The number of new homes built by council and housing associations fell by almost a fifth last year, new figures have revealed.

A total of 3,458 such properties were completed in 2015-16 - a drop of 18% from the previous year's total.

The number of housing association homes that were built fell by 24% in 2015-16 to 2,320, with 744 fewer constructed than in 2014-15, according to the new housing statistics published by the Scottish Government.

Meanwhile, councils across the country finished 1,138 homes in 2015-16 - 19 fewer than the previous year.

Overall affordable housing completions - which includes affordable properties for sale and rent, as well as the social housing sector - fell by 1% over the year, with 6,850 built.

Meanwhile, 12,396 homes were constructed by private housebuilding firms in 2015-16, a rise of 3%, or 408 properties.

This brings the total for the year to the end of March 2016 to 12,396, which is 3% (408 homes) higher than the 11,988 completions in the previous year.

Housing Minister Kevin Stewart insisted good early progress was being made towards the Scottish Government's target of building 50,000 affordable homes over the next five years.

The number of affordable homes approved in the 12 months up till the end of June 2016 is 26% higher than the previous year, with 8,067 properties given the go-ahead.

Mr Stewart said: "We have an excellent track record on housing. The number of affordable home completions from April 2007 to end March 2016 was 60,704 - on average 24% more per year than the 38,015 delivered between April 2000 and March 2007.

"In the previous session of Parliament, we exceeded our target of delivering 30,000 affordable homes, and our bold and ambitious More Homes Scotland approach will build on that achievement.

"We have committed to investing over ÂŁ3 billion to deliver at least 50,000 affordable homes over the next five years. This is accompanied by increased housing subsidy levels and a new Rural Housing Fund to boost the supply of affordable rural housing."

The Housing Minister continued: "We've also helped stimulate growing confidence in the private housing market and supported people into home ownership, in particular through our ÂŁ500 million Help to Buy (Scotland) scheme. This year alone we have invested ÂŁ160 million to support a further 5,000 households to buy a home through our Open Market Shared Equity and Help to Buy schemes.

The latest housing statistics were released as work was set to begin on a new affordable housing development which aims to transform a derelict part of Edinburgh.

The Shrubhill project will see 236 affordable homes built in the north of the capital - part of an overall plan to put 374 homes on the site.

Edinburgh's housing leader, councillor Cammy Day, said: "I'm pleased that partnership working and council loans through the National Housing Trust (NHT) will enable more than 370 new homes to be built at Shrubhill with over 60% of them being affordable.

"The development is a major part of the regeneration of Leith Walk, bringing life back into an area that has lain derelict for many years."

There was also a big rise in right to buy applications, ahead of the scheme being ended in Scotland at the end of July.

In the first three months of 2016, 1,833 applications were made, a rise of 82% on the previous year, with 507 sales going through, up by 34% on the same period in 2015.