MSPs Must Invest in Housing Now to Save Later

SFHA Makes Call as SNP Backbencher Calls for Housing to be "Top Priority"

Following today's (Thursday 6th October 2011) debate on housing in the Scottish Parliament, the Scottish Federation of Housing Associations (SFHA) welcomed the focus of all parties on affordable housing, but stressed that efforts to meet the Government's target of 30,000 new affordable homes by 2015 was being put at risk by a huge cut in the housing budget.

The overall Housing and Regeneration Budget will fall from £393m this year to £276.4m in 2014-15, a huge cut of over £100m (1).

The SFHA also welcomed the call made by SNP MSP John Mason for housing to become the Scottish Government's "top priority." (2)

Dr Mary Taylor, CEO of the SFHA said:

"It's good to see Scotland's MSPs recognising the importance of tackling the shortage of affordable housing, in a robust debate in parliament today. I'm also glad to hear the SFHA's arguments being recognised by all parties on the fact that investing in housing will save Scotland money in the long-term, by helping to prevent health or environmental problems from developing.

"We also welcome the call by John Mason MSP for his party to make housing its top priority in government - pointing out that housing is the main issue that his constituents speak to him about. I'm sure this is the case for many MSPs.

"Scotland's housing associations and co-operatives, the main developers of new affordable housing, are finding it harder than ever to build new homes for social rent, with a huge cut in the overall budget, and also in the grant rate (3).

"This puts at risk the SNP's own manifesto commitment to build 6,000 socially rented homes per year. While our members have worked with the Scottish Government this year to deliver as many homes as possible at the lower grant rate, this will not be sustainable in the longer term without putting up rents, or borrowing more money.

"It would be a good start for the Scottish Government to target the £67m extra funding it's set to receive from Westminster to increase investment in much-needed new affordable homes, which will meet need and boost the economy."

Dr Taylor added:

"In addition to new build, we also need to invest sensibly in improving existing stock, energy efficiency and adapting homes for the needs of the elderly and the disabled. We look forward to working with the Scottish Government on tackling these issues."

 

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For further information, contact Claire Munro on t: 0141 567 6224 m: 07771926778 or e: This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Visit our website at www.sfha.co.uk

NOTES:

 

1) The Scottish Draft Budget 2012-13 is available here http://www.scotland.gov.uk/Resource/Doc/358356/0121130.pdf

2) In a press release released today (Thursday 6th October), John Mason MSP said:

"We have had a string of welcome investments in the transport infrastructure, which have been great but, personally, I believe the top focus must be building new affordable, socially rented housing.

"The main issue constituents speak to me about is housing. Over 50% of the casework I deal with relates to housing and there is clearly a real shortage of good quality, affordable housing in Glasgow.
"As well as improving the quality of people's lives, I believe that more house building will stimulate the economy and create jobs which can only be a good thing during these tough times.
"In Government the SNP have already built a record number of new affordable houses, but we must go even further than that. I was challenged in this morning's debate to make housing my priority and only minutes later I raised this with Ministers during general questions. My personal commitment to new housing - along with better primary schools - is my top priority over the next five years and I will continue to make that case in the Scottish Parliament".

3) Under the Scottish Government's Innovation and Investment Fund, the grant rate per home for housing associations and co-operatives was reduced from £66,500 per new home to £40,000. http://www.scotland.gov.uk/Topics/Built-Environment/Housing/investment/innovationfund/RSLs

4) Read the Scottish Government press release here http://www.scotland.gov.uk/News/Releases/2011/10/06094728

5) 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.

6) 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.

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

 

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