Latest Figures Show Further Slide in New Affordable Homes

Statistics showing a 15 per cent drop in new homes built by Scotland's housing associations and co-operatives represent a further slide in the number of new affordable homes, the SFHA said today (Tuesday, 29th November).

The Scottish Government's latest Housing and Regeneration Statistics (1) show there were 4,449 completions in year to end September 2011 - a 15 per cent reduction compared with the year to end September 2010.

In addition, 30 per cent fewer housing associations homes were completed in the latest quarter, compared with the same period last year. Although local authority completions for the quarter increased compared with last year, the increase was just 117. This still leaves a shortfall of 300.

In 2009-10, Scotland's housing associations and co-operatives rose to the challenge of the recession by building a record 8092 homes, with accelerated funds from the Scottish Government.

Dr Mary Taylor, CEO of the SFHA said:

"This drop in the number of new homes completed by Scotland's housing associations and co-operatives is the latest evidence of a slide in the number of new affordable homes , with a one-third cut to the budget last year, and a further 30 per cent cut planned in the draft budget for 2012 (2).

"This means the housing budget is suffering one of the biggest cuts across any government department. This is bad news for the 335,000 households on housing association and co-operative housing lists for affordable rented housing in Scotland (3). It's also bad news for Scotland's housing associations and co-operatives, who have the expertise to build the homes we need.

"We urge the Scottish Government to look at capital expenditure it's yet to allocated as a means to reverse some or all of the massive cut to its budget, in order to boost the economy and jobs, and meet the huge need for new affordable homes.

"At these levels, it is difficult to see how the government can possibly meet its target of 30,000 new socially-rented homes, even now that it has been watered down to 20,000."

ends

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NOTES:

1) The Scottish Government's latest Housing and Regeneration Statistics are available at http://www.scotland.gov.uk/Topics/Statistics/Browse/Housing-Regeneration

2) The overall amount of funding available for new investment in housing has been cut by over 30% and subsidy levels were cut for 2011-12 by around 48%. According to the 2012-15 Draft Scottish Budget, this is set to be cut further; by nearly 50% in the first two years. Scottish Spending Review 2011 and Draft Budget 2012-13 http://www.scotland.gov.uk/Resource/Doc/358356/0121130.pdf

3) Statistics supplied to SFHA by the Scottish Housing Regulator (5 July 2011) based on data in the 2009-10 Annual Performance and Statistical Return

4) The SFHA was established in 1975 and has around 170 members providing affordable housing and wider community services in Scotland, as well as a further 200 commercial members. The SFHA is owned by its membership and exists to support the work of housing associations and co-operatives in Scotland by providing services, advice and good practice guidance.

5) The SFHA is the voice of the principal builders and managers of new affordable housing for rent in Scotland. Housing Associations own and manage around 40% of the country's affordable rented housing stock, over a quarter of a million homes across Scotland.

6) Housing associations and co-operatives are not-for-profit bodies regulated by the Scottish Housing Regulator.

 

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