Rethink Cuts to Housing and Fuel Poverty to Boost Economy

The Scottish Government should rethink proposed cuts to affordable housing and tackling fuel poverty, to benefit society and boost the economy, the Scottish Federation of Housing Associations (SFHA) said as the Scottish Budget reaches its Stage 3 debate in the Scottish Parliament today (Wednesday 8th February 2012).

The Bill currently includes a 30% cut for affordable housing (1), one of the biggest cuts anywhere across government.

The energy efficiency/fuel poverty 2012-13 budget is being cut to £65m - well below the £100m which experts advise necessary to tackle fuel poverty and climate change (2).

Mary Taylor, Chief Executive of the SFHA said:

"As the Scottish Budget process nears its conclusion, the SFHA is urging the Scottish Government to reconsider the scale of the cuts to housing.

"While we recognise that the Scottish Government has listened to the sector by adding £10m to this year's budget for new affordable homes, our concerns about the scale of the cut in the year ahead remain.

"Given the current light of the economy with negative growth and high unemployment particularly youth unemployment, we urge the Scottish Government to rethink a cut of over 30% next year.

"We also, as part of the Existing Homes Alliance, urge the Scottish Government to commit more resources to the insulation of existing properties, to tackle climate change and fuel poverty."

Dr Taylor concluded:

"Building homes, and insulating existing ones will meet need and is one of the best ways of boosting the economy. Housing associations and construction firms are also one of the major employers of apprentices - important to bear in mind at a time of rocketing youth unemployment.

"We urge the Scottish Government to use the extra money at its disposal this year to invest in quality affordable housing that will provide a lasting benefit to Scotland."

ends

For further information, contact Claire Munro on t: 0141 567 6244 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
Follow us on Twitter @sfha_hq
Find us on Facebook SFHA- We're Housing Scotland

NOTES:

1) 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.

2) http://www.existinghomesalliance.org.uk/scotland/index.php

3) The SFHA's briefing for the Scottish Budget Stage 3 debate is available from our website here

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.

 

< Prev		Next >